NEW YORK (AP) -- A Citi analyst on Friday upgraded CF Industries Holdings Inc. to "Buy" from "Neutral," saying that it's unlikely that global nitrogen fertilizer prices will fall much further.
P.J. Juvekar, who also boosted his price target from $199 to $240, said nitrogen prices have weakened for much of this year, but suppliers are beginning to respond to that by cutting capacity.
That view was backed up by what Citi analysts saw during a recent trip to China, Juvekar said.
The analyst noted that CF shares have been flat so far this year, making them an attractive investment ahead of expected improvements in supply and demand dynamics heading into 2014.
Shares of Deerfield, Ill.-based CF Industries Holdings Inc. were unchanged in premarket trading from their Thursday close at $206.12.