The Mosaic Company reported earnings of $2.42 per share in third-quarter 2022, compared to 97 cents per share in the year-ago quarter. The company’s adjusted earnings came in at $3.22 per share, below Zacks Consensus Estimate of $3.52 (as reported by Zacks.com).
Net sales climbed +56% year over year to $5,348.5 million, missing the Zacks Consensus Estimate of $6,010.1.
The Potash division generated net sales of $1.4 billion in the quarter, up around +137% year-over-year, on the back of higher prices and volumes. Phosphate segment’s net sales increased around +23% year over year to $1.6 billion, on higher prices. Revenue from the Mosaic Fertilizantes segment climbed +44% year over year to around $2.6 billion in the quarter, driven by a price rise.
The Mosaic Company indicated that it is anticipating persistently tight grain and oilseed markets through the balance of 2022 and into 2023, with the war in Ukraine coupled with challenging growing conditions in regions such as the Americas, Europe and China having dampened global agricultural production. The company expects total capital expenditures of $1.3 billion for full-year 2022, and selling, general and administrative expenses in the range of $460-$490 million.
MOS saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on May 30, 2023. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 46 instances where the indicator turned negative. In of the 46 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where MOS declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for MOS entered a downward trend on June 02, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where MOS's RSI Indicator exited the oversold zone, of 33 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 5 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
MOS may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (0.924) is normal, around the industry mean (3.483). P/E Ratio (4.059) is within average values for comparable stocks, (10.797). MOS's Projected Growth (PEG Ratio) (0.193) is slightly lower than the industry average of (1.268). Dividend Yield (0.021) settles around the average of (0.070) among similar stocks. P/S Ratio (0.612) is also within normal values, averaging (517.819).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. MOS’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. MOS’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 84, placing this stock better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a producer of phosphate and potash
A.I.dvisor indicates that over the last year, MOS has been closely correlated with NTR. These tickers have moved in lockstep 82% of the time. This A.I.-generated data suggests there is a high statistical probability that if MOS jumps, then NTR could also see price increases.