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Mosaic (MOS) Gains As Market Dips: What You Should Know

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Mosaic (MOS - Free Report) closed at $30.93 in the latest trading session, marking a +0.06% move from the prior day. The stock outpaced the S&P 500's daily loss of 1.91%. Meanwhile, the Dow lost 2.02%, and the Nasdaq, a tech-heavy index, lost 2.26%.

Heading into today, shares of the fertilizer maker had lost 14.47% over the past month, lagging the Basic Materials sector's loss of 4.21% and the S&P 500's loss of 2.51% in that time.

MOS will be looking to display strength as it nears its next earnings release, which is expected to be February 18, 2019. In that report, analysts expect MOS to post earnings of $0.55 per share. This would mark year-over-year growth of 61.76%. Meanwhile, our latest consensus estimate is calling for revenue of $2.26 billion, up 8.08% from the prior-year quarter.

MOS's full-year Zacks Consensus Estimates are calling for earnings of $1.91 per share and revenue of $9.38 billion. These results would represent year-over-year changes of +75.23% and +26.6%, respectively.

Investors might also notice recent changes to analyst estimates for MOS. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 1.62% higher within the past month. MOS currently has a Zacks Rank of #2 (Buy).

Investors should also note MOS's current valuation metrics, including its Forward P/E ratio of 16.2. Its industry sports an average Forward P/E of 21.05, so we one might conclude that MOS is trading at a discount comparatively.

We can also see that MOS currently has a PEG ratio of 2.31. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Fertilizers industry currently had an average PEG ratio of 1.71 as of yesterday's close.

The Fertilizers industry is part of the Basic Materials sector. This group has a Zacks Industry Rank of 23, putting it in the top 9% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow MOS in the coming trading sessions, be sure to utilize Zacks.com.


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