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Mosaic (MOS) Increases Despite Market Slip: Here's What You Need to Know

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Mosaic (MOS - Free Report) ended the recent trading session at $36.36, demonstrating a +0.61% swing from the preceding day's closing price. This move outpaced the S&P 500's daily loss of 0.5%. Elsewhere, the Dow saw an upswing of 0.12%, while the tech-heavy Nasdaq depreciated by 1.23%.

The fertilizer maker's stock has dropped by 6.95% in the past month, falling short of the Basic Materials sector's loss of 5.28% and the S&P 500's loss of 2.4%.

The investment community will be paying close attention to the earnings performance of Mosaic in its upcoming release. The company is forecasted to report an EPS of $0.80, showcasing a 75.16% downward movement from the corresponding quarter of the prior year. Meanwhile, our latest consensus estimate is calling for revenue of $3.16 billion, down 40.92% from the prior-year quarter.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.88 per share and revenue of $13.21 billion. These totals would mark changes of -64.76% and -30.95%, respectively, from last year.

Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Mosaic. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.

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.

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. The Zacks Consensus EPS estimate has moved 0.26% lower within the past month. Right now, Mosaic possesses a Zacks Rank of #3 (Hold).

In terms of valuation, Mosaic is currently trading at a Forward P/E ratio of 9.3. Its industry sports an average Forward P/E of 10.8, so one might conclude that Mosaic is trading at a discount comparatively.

It's also important to note that MOS currently trades at a PEG ratio of 1.33. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Fertilizers stocks are, on average, holding a PEG ratio of 1.37 based on yesterday's closing prices.

The Fertilizers industry is part of the Basic Materials sector. Currently, this industry holds a Zacks Industry Rank of 79, positioning it in the top 32% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.


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