NTR - Mosaic raised to Buy at Goldman as fertilizer supply shock in early stages

Mosaic (MOS -0.4%) tilts lower even after Goldman Sachs upgrades shares to Buy from Neutral with an $83 price target, raised from $50, anticipating a sharp acceleration in free cash flow generation based on higher than forecast fertilizer prices. Goldman's Adam Samuelson says he has rising confidence in even tighter grain and oilseed markets into 2023 and expects "material fertilizer supply shocks" across nutrients, with Mosaic a major beneficiary in the current environment. Samuelson figures Mosaic's EBITDA is increased by $53M with every $10/metric ton move in realized muriate of potash fertilizer prices Samuelson now has Buy ratings on shares of all three top fertilizer companies - Mosaic, Nutrien (NTR -1.4%) and CF Industries (CF -1.2%) - but all have pulled back from multiyear highs reached a few days ago, as fertilizer prices surged to all-time highs.

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Mosaic raised to Buy at Goldman as fertilizer supply shock in early stages