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CF Industries (CF) Stock Moves -0.88%: What You Should Know

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CF Industries (CF - Free Report) closed at $104.80 in the latest trading session, marking a -0.88% move from the prior day. This move was narrower than the S&P 500's daily loss of 2.8%. At the same time, the Dow lost 2.11%, and the tech-heavy Nasdaq lost 0.1%.

Coming into today, shares of the fertilizer maker had gained 3.19% in the past month. In that same time, the Basic Materials sector gained 0.51%, while the S&P 500 lost 4.08%.

Investors will be hoping for strength from CF Industries as it approaches its next earnings release. The company is expected to report EPS of $3.53, up 267.71% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $2.42 billion, up 77.77% from the prior-year quarter.

CF's full-year Zacks Consensus Estimates are calling for earnings of $19.31 per share and revenue of $11.75 billion. These results would represent year-over-year changes of +355.42% and +79.64%, respectively.

Any recent changes to analyst estimates for CF Industries should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. 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.

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. The Zacks Consensus EPS estimate has moved 0.72% higher within the past month. CF Industries currently has a Zacks Rank of #3 (Hold).

Digging into valuation, CF Industries currently has a Forward P/E ratio of 5.47. For comparison, its industry has an average Forward P/E of 5.17, which means CF Industries is trading at a premium to the group.

Also, we should mention that CF has a PEG ratio of 0.91. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Fertilizers industry currently had an average PEG ratio of 0.6 as of yesterday's close.

The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 157, which puts 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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