Raymond James raises the Nutrien(NTR:TSX) to $160 from $133

STA Research
by: STA Research

Raymond James Capital raises the target to $160 from $133, and maintains the Outperform rating.

BMO Financial sets a Buy rating and $125 target on Nutrien.

TD Research maintained the Buy rating on the company and raised the target to $167 from $156 per share.

Nutrien Ltd Stock Analysis:

Based on the Nutrien Ltd stock forecasts from 11 analysts, the average analyst target price for Nutrien Ltd is CAD 110.42 over the next 12 months. Nutrien Ltd’s average analyst rating is Buy . Stock Target Advisor’s own stock analysis of Nutrien Ltd is Bullish , which is based on 9 positive signals and 3 negative signals. At the last closing, Nutrien Ltd’s stock price was CAD 135.50Nutrien Ltd’s stock price has changed by +6.85% over the past week, +4.39% over the past month and +97.18% over the last year.

What we like:

High market capitalization

This is one of the largest entities in its sector and is among the top quartile. Such companies tend to be more stable.

Low volatility

The stock’s annual returns have been stable and consistent compared to its sector peers(for a hold period of at least 12 months) and is in the top quartile. Although stability is good, also keep in mind it can limit returns.

Superior total returns

The stock has outperformed its sector peers on average annual total returns basis in the past 5 years (for a hold period of at least 12 months) and is in the top quartile.

Underpriced compared to earnings

The stock is trading low compared to its peers on a price to earning basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Underpriced compared to book value

The stock is trading low compared to its peers on a price to book value basis and is in the top quartile. It may be underpriced but do check its financial performance to make sure there is no specific reason.

Positive cash flow

The company had positive total cash flow in the most recent four quarters.

Positive free cash flow

The company had positive total free cash flow in the most recent four quarters.

Superior Earnings Growth

This stock has shown top quartile earnings growth in the previous 5 years compared to its sector.

Superior Revenue Growth

This stock has shown top quartile revenue growth in the previous 5 years compared to its sector.

What we don’t like:

Overpriced on cashflow basis

The stock is trading high compared to its peers on a price to cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

Highly leveraged

The company is in the bottom half compared to its sector peers on debt to equity and is highly leveraged. However, do check the news and look at its sector and management statements. Sometimes this is high because the company is trying to grow aggressively.

Overpriced on free cash flow basis

The stock is trading high compared to its peers on a price to free cash flow basis. It is priced above the median for its sectors. Proceed with caution if you are considering to buy.

 

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