So all the literature about share buyback = dividends is BS? Come on. If they announce a buyback the stock will go up considerably.
The analyst @Credit Suisse has always been positive about the stock. It had a very high target price before slashing it to $38. Anyway the rationale behind the inclusion in the focus list is the following: "We acknowledge that further concerns over Chinese Yuan depreciation and the consequent effects on global urea prices will lead to further volatility. However, we believe the market significantly under-appreciates CF's best-in-class
transportation and logistics capabilities and its ability to generate strong free cash flow, even at a cyclical low. In our view ASPs in both ammonia and UAN will surprise to the upside, further supporting our constructive view".
It is more or less the reasoning of John Burbank when he bought the stock. The company operates in the commodity space, it is cyclical, but they have strategic operations not appreciated by the market. As always the market is only focusing on the earnings trend and that has been awful. We need a catalyst to unlock value in the shares that is obvious @current prices.
Exactly. Wouldn't it be wonderful to wake up and read a news like "we are considering strategic alternatives to create value for our shareholders"? It would be nice to see the panic buying.
Looking at the corporate bond. No stress whatsoever. Mr Bond is always right so the stock has to go up.
Completely true. There are lots of trading machines that keep on selling the shares. You can see the dynamics: the opening price is usually the high of the day...those selling at the opening or in the first couple of hrs of trading are making lots of money. Until this dynamics is broken fundamentals cannot re-assess themselves but the company could and should buy back at this rock-bottom valuations. Otherwise this might become the no.1 company to be taken private..at least in the $40s.
After the big Brexit sell-off this is a must own stock. Dividend of over 8%, defensive sector and Draghi supporting the corporate spread via the ECB buying program. Next week I'll start buying.
Weird. They got cash from one deal and saved cash by canceling a deal. Maybe the insiders like to buy before announcing the buyback. I don't know why so long passed without any announcement. For sure nitrogen is not turning the corner, cereal prices are coming back and nat gas is on the rise. Patience is the key anyway. I wonder where all buyers have gone. John Burbank of Passport Capital silent as well.
I am devasted ...it's behaving worse than Brexit-sensitive stocks. At least I did not buy more. I thought bottom is in. Lots of smart managers shorted POT/MOS to buy CF I think now they closed the trade. One day it will recover and zoom higher but now the chart is saying otherwise.
it was another smart deal that the market pretended not to see. I can't understand why. Only reason is earning estimates were way too high and they cratered. Next year it might happen the opposite. I will make of CF my biggest holding but I want to see strength in the charts first.
i am afraid estimates were too high...anyway I'm stuck with it...
then? If they decided so it means the benefits were small and uncertain. I am #$%$ off but I think the management has vision. It paid throughout the years.