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

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In the latest trading session, Mosaic (MOS - Free Report) closed at $31.34, marking a +0.13% move from the previous day. This change outpaced the S&P 500's 0.32% loss on the day. Elsewhere, the Dow lost 0.32%, while the tech-heavy Nasdaq lost 0.11%.

Prior to today's trading, shares of the fertilizer maker had gained 1.92% over the past month. This has lagged the Basic Materials sector's gain of 3.49% and the S&P 500's gain of 4.4% in that time.

MOS will be looking to display strength as it nears its next earnings release. In that report, analysts expect MOS to post earnings of $0.49 per share. This would mark year-over-year growth of 916.67%. Meanwhile, our latest consensus estimate is calling for revenue of $2.31 billion, up 28.3% from the prior-year quarter.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $2.55 per share and revenue of $10.69 billion. These totals would mark changes of +200% and +23.1%, respectively, from last year.

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.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 12.78% higher. MOS is holding a Zacks Rank of #1 (Strong Buy) right now.

Digging into valuation, MOS currently has a Forward P/E ratio of 12.3. This valuation marks a discount compared to its industry's average Forward P/E of 21.86.

It is also worth noting that MOS currently has a PEG ratio of 1.76. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Fertilizers stocks are, on average, holding a PEG ratio of 2.49 based on yesterday's closing prices.

The Fertilizers industry is part of the Basic Materials sector. This industry currently has a Zacks Industry Rank of 25, which puts it in the top 10% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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