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Mosaic (MOS) to Report Q1 Earnings: What's in the Cards?

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The Mosaic Company (MOS - Free Report) is set to release first-quarter 2022 results on May 2, after the closing bell.

The fertilizer maker delivered an earnings surprise of around 3.7%, on average, over the trailing four quarters. The company’s first-quarter results are likely to reflect the benefits of higher prices and demand for phosphate and potash.
 
Shares of Mosaic have rallied 76.1% in the past year compared with 52.3% rise of the industry.

 

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Let’s see how things are shaping up for this announcement.

Zacks Model

Our proven model predicts an earnings beat for Mosaic this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earning beat.

Earnings ESP: Earnings ESP for Mosaic is +0.89%. The Zacks Consensus Estimate for the first quarter is currently pegged at $2.44. You can uncover the best stocks to buy or sell before they’re reported with our Earnings ESP Filter.

Zacks Rank: Mosaic currently carries a Zacks Rank #1.

What Do the Estimates Indicate?

The Zacks Consensus Estimate for Mosaic’s first-quarter consolidated sales is currently pegged at $4,106 million, which calls for an increase of 78.8% from the year-ago quarter’s tally.

The Zacks Consensus Estimate for net sales in the Phosphates segment is currently pegged at $1,454 million, which calls for an increase of 45.3% year over year.

The consensus mark for net sales in the Potash segment is currently pinned at $1,083 million, which suggests an increase of 127% year over year.

The Zacks Consensus Estimate for net sales in the Mosaic Fertilizantes segment is currently pegged at $1,409 million, which calls for a rise of 84.4% year over year.

Some Factors at Play

Mosaic is likely to have benefited from strong demand and prices for phosphate and potash in the to-be-reported quarter. Higher agricultural commodity prices and attractive farm economics are driving demand for fertilizers globally. Global phosphate markets remain robust on solid demand and pricing dynamics.

The phosphate market is benefiting from higher global demand and tight availability. Potash prices are also likely to strengthen on the back of robust global demand, aided by strong grower economics and higher crop prices.

Mosaic is also likely to have benefited from actions to reduce costs amid a still-challenging operating environment. Its actions to improve operating cost structure through transformation plans are expected to have boosted its profitability. Transformational savings are also likely to have supported margins in the Mosaic Fertilizantes segment in the March quarter.

 

The Mosaic Company Price and EPS Surprise

 

The Mosaic Company Price and EPS Surprise

The Mosaic Company price-eps-surprise | The Mosaic Company Quote

 

Stocks That Warrant a Look

Here are some companies in the basic materials space you may want to consider as our model shows these too have the right combination of elements to post an earnings beat this quarter:

Westlake Corporation (WLK - Free Report) , slated to release earnings on May 3, has an Earnings ESP of +17.30% and carries a Zacks Rank #1. You can see the complete list of today’s Zacks #1 Rank stocks here.

The Zacks Consensus Estimate for Westlake's first-quarter earnings has been revised 22.1% upward over the past 60 days. The consensus estimate for WLK’s earnings for the quarter is currently pegged at $4.53.

Huntsman Corporation (HUN - Free Report) , expected to release earnings on Apr 28, has an Earnings ESP of +1.88% and carries a Zacks Rank #3.

The consensus estimate for Huntsman’s first-quarter earnings has been revised 4.2% upward over the past 60 days. The Zacks Consensus Estimate for HUN’s earnings for the quarter stands at $1.

The Chemours Company (CC - Free Report) , scheduled to release earnings on May 2, has an Earnings ESP of +3.83% and carries a Zacks Rank #3.

The Zacks Consensus Estimate for Chemours’ first-quarter earnings has been revised 2.2% upward in the past 60 days. The consensus estimate for CC’s earnings for the quarter is currently pegged at 92 cents.

Stay on top of upcoming earnings announcements with the Zacks Earnings Calendar.