Potash Corp. Fair Around $90

The Potash Corporation of Saskatchewan, Inc. (POT), a Canadian corporation based in Saskatoon, Saskatchewan, is the world's largest fertilizer enterprise producing three primary plant nutrients potash, phosphate and nitrogen. The company was created by the government of Saskatchewan in 1975.

Potash Corp. has benefited from higher fertilizer application rates, higher crop plantings, increasing demand for biofuels and rising crop prices. Rising fertilizers prices, especially potash, will expand POT’s margin.

The company’s manufacturing plants are located in low-cost areas and its financials are solid. However, rising raw material prices force us to rate the stock a Hold with a target of $90. This is 7.0x our 2008 estimate.

Read the full analyst report on POT

Read the full analyst report on POT