Early on Friday, analysts at Dahlam Rose downgraded fertizlier company Potash Corp. (POT) as a part of a sector-wide call.
The analysts downgraded POT from “Hold” to “Sell” with a price target of $35. This target suggests about a 12% downside to Thursday’s closing price of $39.60.
A Dahlman Rose analyst said, “We believe that the best market conditions for N, P, and K are behind them as new capacity moves forcefully ahead. Although 1H13 looks good, the industry maybe just one crop away from a significant earnings downdraft driven by crop and capacity issues.”
Potash Corp. shares were up slightly during pre-market trading on Friday. The stock is down about -14% over the past year.
The Bottom Line
Shares of Potash Corp. (POT) have a dividend yield of 2.83% based on last night’s closing price of $39.60 and the company’s annualized dividend payout of $1.12 per share.
Potash Corp. (POT) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.3 out of 5 stars.
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