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MOS Stock Hits 52-Week High: What's Driving Its Performance?

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Key Takeaways

  • MOS hits a 52-week high of $37.43 as strong Q1 earnings and favorable market dynamics instill optimism.
  • Global phosphate and potash demand is rising, supported by robust farm economics and low inventories.
  • Mosaic's transformation and cost-efficiency initiatives are likely to deliver $150 million in savings.

Shares of The Mosaic Company (MOS - Free Report) scaled a new 52-week high of $37.43, before retracing to close the session at $36.95. 

The company’s shares have gained 26.8% in a year compared with the industry’s growth of 16.8%.

Zacks Investment Research
Image Source: Zacks Investment Research

Mosaic currently has a market capitalization of roughly $11.7 billion and a Zacks Rank #2 (Buy).

Let’s take a look at the factors that are driving MOS stock.

What’s Aiding Mosaic Stock?

MOS posted adjusted earnings of 49 cents per share in the first quarter of 2025, topping the Zacks Consensus Estimate of 39 cents. 

Mosaic is capitalizing on the strong global demand for phosphate and potash, supported by favorable agricultural conditions. Favorable farm economics are fueling global fertilizer demand, as strong crop demand and relatively low input costs continue to benefit farmers across major growing regions.

Global demand for grains and oilseeds remains elevated, and improved farmer affordability is expected to sustain fertilizer usage. Higher crop prices have further encouraged growers to increase fertilizer application. In North America, high yields and the need to restore soil nutrients have created a positive market backdrop. In Brazil, strong grower economics and low inventory levels are anticipated to drive demand. Similarly, in India, pent-up demand and reduced inventory are expected to boost fertilizer consumption.

Mosaic is also actively working to lower costs in response to ongoing operational challenges. Its transformation initiatives aimed at improving cost efficiency are expected to enhance profitability. The company is progressing with its cost-reduction strategy, which is expected to deliver $150 million in annualized savings by the end of 2025.

Mosaic projects second-quarter sales volumes for its Potash segment to range between 2.3 million and 2.5 million tons. In the Phosphate segment, sales volumes are expected to fall between 1.7 million and 1.9 million tons, driven by strong global demand. For its Mosaic Fertilizantes unit, the company anticipates second-quarter sales volumes to be approximately 30% higher than the first quarter. The distribution margin is expected to align with the annual normalized range of $30-$40 per ton.

Other Stocks to Consider

Other top-ranked stocks in the basic materials space are Carpenter Technology Corporation (CRS - Free Report) , Alamos Gold Inc. (AGI - Free Report) and Hawkins, Inc. (HWKN - Free Report)

Carpenter Technology currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here.

CRS beat the Zacks Consensus Estimate in each of the last four quarters, with the average earnings surprise being 11.1%. The company's shares have soared 110% in the past year. 

The Zacks Consensus Estimate for Alamos Gold's current-year earnings is pegged at $1.29 per share. AGI, sporting a Zacks Rank of 1 at present, surpassed the Zacks Consensus Estimate in two of the trailing four quarters, while missing twice, with an average earnings surprise of 1.4%. The company's shares have rallied 58.1% in the past year.

Hawkins, which currently carries a Zacks Rank of 2, beat the consensus estimate in one of the trailing four quarters, while missing thrice. In this time frame, it has delivered an earnings surprise of roughly 8.2%, on average. The company's shares have rallied 43.6% in the past year.


 

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