I recently sold POT due to valuation and replaced it with MOS. I feel that the demand for commodities will eventually grow, and companies will need to buy fertilizer. In fact, this could blow up much more than a year ago. So far my move from POT has been inconsequential. I realize this has a low Zacks Rank and recommendation, and this is a long term pick based upon a trend and the relative valuation compared to past pricing.
O6/08 This stock was selling for $161.00 But when the 1st Q09 earnings were announced at $2.65 which was 300% over 1st Q08, because [1] ANALYST had predicted an ernings of $2.94 the stock has taken a sharp nose dive. The ROE IS 48.9, has highest growth rate in industry and is one of the most effecient companies financially in the industry.This is the largest fertilizer company in the industry and when or before the next growing season approaches this company will triple in price.
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