CF Industries (CF) Stock Moves -0.83%: What You Should Know
In the latest trading session, CF Industries (CF) closed at $96.25, marking a -0.83% move from the previous day. This move was narrower than the S&P 500's daily loss of 1.51%. Elsewhere, the Dow lost 1.71%, while the tech-heavy Nasdaq lost 0.02%.
Coming into today, shares of the fertilizer maker had lost 5.23% in the past month. In that same time, the Basic Materials sector lost 10.7%, while the S&P 500 lost 9.52%.
Investors will be hoping for strength from CF Industries as it approaches its next earnings release. On that day, CF Industries is projected to report earnings of $3.48 per share, which would represent year-over-year growth of 262.5%. Our most recent consensus estimate is calling for quarterly revenue of $2.42 billion, up 77.77% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $19.18 per share and revenue of $11.75 billion. These totals would mark changes of +352.36% and +79.64%, respectively, from last year.
It is also important to note the recent changes to analyst estimates for CF Industries. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.03% higher. CF Industries is currently sporting a Zacks Rank of #3 (Hold).
Looking at its valuation, CF Industries is holding a Forward P/E ratio of 5.06. Its industry sports an average Forward P/E of 5.05, so we one might conclude that CF Industries is trading at a premium comparatively.
Investors should also note that CF has a PEG ratio of 0.84 right now. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Fertilizers stocks are, on average, holding a PEG ratio of 0.57 based on yesterday's closing prices.
The Fertilizers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 158, putting it in the bottom 38% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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