The Analyst Landscape: 5 Takes On CF Industries Holdings

CF Industries Holdings CF has been analyzed by 5 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have recently evaluated CF Industries Holdings and provided 12-month price targets. The average target is $81.2, accompanied by a high estimate of $85.00 and a low estimate of $78.00. Highlighting a 4.69% decrease, the current average has fallen from the previous average price target of $85.20.

Exploring Analyst Ratings: An In-Depth Overview

The standing of CF Industries Holdings among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts respond to changes in market conditions and company performance, frequently updating their recommendations. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to CF Industries Holdings. This information offers a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of CF Industries Holdings compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of CF Industries Holdings's stock. This analysis reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of CF Industries Holdings's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on CF Industries Holdings analyst ratings.

Delving into CF Industries Holdings's Background

CF Industries is a leading producer and distributor of nitrogen, which is primarily used in fertilizers. The company operates nitrogen manufacturing plants primarily in North America. CF also produces nitrogen in the United Kingdom and holds a joint venture interest in a nitrogen production facility in Trinidad and Tobago. CF makes nitrogen primarily using low-cost US natural gas as its feedstock, making CF one of the lowest-cost nitrogen producers globally. The company is also investing in carbon-free blue and green ammonia, which can be used an alternative fuel to hydrogen or as a means to transport hydrogen.

Unraveling the Financial Story of CF Industries Holdings

Market Capitalization Analysis: The company's market capitalization surpasses industry averages, showcasing a dominant size relative to peers and suggesting a strong market position.

Negative Revenue Trend: Examining CF Industries Holdings's financials over 3 months reveals challenges. As of 31 March, 2024, the company experienced a decline of approximately -26.94% in revenue growth, reflecting a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Materials sector.

Net Margin: CF Industries Holdings's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 13.2% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): The company's ROE is a standout performer, exceeding industry averages. With an impressive ROE of 3.48%, the company showcases effective utilization of equity capital.

Return on Assets (ROA): CF Industries Holdings's ROA stands out, surpassing industry averages. With an impressive ROA of 1.37%, the company demonstrates effective utilization of assets and strong financial performance.

Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 0.59, caution is advised due to increased financial risk.

Understanding the Relevance of Analyst Ratings

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.

This article was generated by Benzinga's automated content engine and reviewed by an editor.