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Nutrien (NTR) Stock Sinks As Market Gains: What You Should Know

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Nutrien (NTR - Free Report) closed the most recent trading day at $113.34, moving -1.01% from the previous trading session. This move lagged the S&P 500's daily gain of 1.61%. At the same time, the Dow added 1.45%, and the tech-heavy Nasdaq gained 0.36%.

Coming into today, shares of the producer of potash and other fertilizers had gained 8.82% in the past month. In that same time, the Basic Materials sector gained 5.16%, while the S&P 500 lost 1.42%.

Nutrien will be looking to display strength as it nears its next earnings release, which is expected to be May 2, 2022. On that day, Nutrien is projected to report earnings of $2.62 per share, which would represent year-over-year growth of 803.45%. Meanwhile, our latest consensus estimate is calling for revenue of $7.94 billion, up 70.47% from the prior-year quarter.

NTR's full-year Zacks Consensus Estimates are calling for earnings of $13.58 per share and revenue of $37.11 billion. These results would represent year-over-year changes of +117.98% and +33.9%, respectively.

It is also important to note the recent changes to analyst estimates for Nutrien. 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.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 5.76% higher. Nutrien is holding a Zacks Rank of #1 (Strong Buy) right now.

Investors should also note Nutrien's current valuation metrics, including its Forward P/E ratio of 8.43. For comparison, its industry has an average Forward P/E of 8.43, which means Nutrien is trading at a no noticeable deviation to the group.

Meanwhile, NTR's PEG ratio is currently 1.05. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. NTR's industry had an average PEG ratio of 0.98 as of yesterday's close.

The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 2, which puts it in the top 1% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. 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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