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Nutrien (NTR) Outpaces Stock Market Gains: What You Should Know

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Nutrien (NTR - Free Report) closed the most recent trading day at $62.26, moving +0.4% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.23%.

Heading into today, shares of the producer of potash and other fertilizers had lost 2.52% over the past month, outpacing the Basic Materials sector's loss of 4.58% and lagging the S&P 500's gain of 0.65% in that time.

Wall Street will be looking for positivity from NTR as it approaches its next earnings report date. The company is expected to report EPS of $1.07, up 365.22% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $5.74 billion, up 36.5% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $4.78 per share and revenue of $25.18 billion. These totals would mark changes of +165.56% and +20.69%, respectively, from last year.

Any recent changes to analyst estimates for NTR should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

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. Over the past month, the Zacks Consensus EPS estimate has moved 9.32% higher. NTR is holding a Zacks Rank of #1 (Strong Buy) right now.

In terms of valuation, NTR is currently trading at a Forward P/E ratio of 12.98. For comparison, its industry has an average Forward P/E of 12.67, which means NTR is trading at a premium to the group.

We can also see that NTR currently has a PEG ratio of 1.62. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. NTR's industry had an average PEG ratio of 1.41 as of yesterday's close.

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 includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

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


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