CF Industries Holdings, Inc. (NYSE:CF)

CAPS Rating: 5 out of 5

The Company is a manufacturers and distributors of nitrogen and phosphate fertilizer products in North America.

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Player Avatar TMF1000 (99.66) Submitted: 8/9/2011 11:10:17 AM : Outperform Start Price: $136.86 CF Score: +23.35

I think the fertilizer companies are very important holdings for me. I own Potash, but I feel CF is another good one. They recorded net earnings of $6.75 per diluted share, compared to $105.1 million, or $1.54 per diluted share, in the 2010 second quarter. They quadrupled their dividend. Last year, farmers held off on Potash purchases, but you can't just keep delaying fertilizer purchases. If you do, the soil becomes depleted of nutrients and crops yield less. You can put it off just so long. This year, Potash recorded some big numbers which may have been a clue that CF would also do better. Calendar year 2011 looks to be a good one for fertilizer companies. And I think CF is a goog buy today. I entered into my Caps in 2008 at a price of $141.37. If the market isn't moving up after today big Dow rise, I think CF will be my next new stock target for my portfolio. I would like to get it under my caps price, but with record quarters being reported by CF and Potash and may not happen. But that is my target price to add this stock to my portfolio. If I don't get it, I am very happy with Potash.

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Member Avatar dstwhit (67.73) Submitted: 8/13/2011 10:35:28 AM
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Thanks, Tom. What are your thoughts on SQM?

Member Avatar dstwhit (67.73) Submitted: 8/13/2011 10:46:15 AM
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I am interested in SQM, because it is a stock recommended by a tmf newsletter, offers a div over 1% and, in addition to its fertilizers, has a strong corner on natural resources used to for key technologies today, including lithium (http://www.google.com/finance?q=NYSE%3ASQM&authuser=1). Thanks.

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