5-Star Stocks Poised to Pop: PotashCorp

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, fertilizer giant PotashCorp (NYS: POT) has earned a coveted five-star ranking.

With that in mind, let's take a closer look at PotashCorp's business and see what CAPS investors are saying about the stock right now.

PotashCorp facts

Headquarters (founded)

Saskatoon, Canada (1953)

Market Cap

$35.1 billion

Industry

Fertilizers and agricultural chemicals

Trailing-12-Month Revenue

$7.9 billion

Management

CEO William Doyle (since 1998)
CFO Wayne Brownlee (since 1999)

Return on Equity (average, past 3 years)

29.1%

Cash/Debt

$491.0 million / $4.2 billion

Dividend Yield

1.4%

Competitors

BASF
Mosaic
Yara International


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 97% of the 4,896 members who have rated PotashCorp believe the stock will outperform the S&P 500 going forward.

A few months ago, one of those bulls, MoneyAndWealth, succinctly summed up the PotashCorp bull case for our community:

- Demand for food and fertilizer will increase with population growth
- [PotashCorp] controls 20% of world capacity
- [Potash] reserves are heavily concentrated to a few select countries
- High barriers to entry (large investment $and 7 years to build a potash mine)

If you want market-thumping returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite its five-star rating, PotashCorp may not be your top choice.

If that's the case, we've compiled a special free report for investors called "The 3 Dow Stocks Dividend Investors Need," which uncovers a few other juicy income opportunities. The report is 100% free, but it won't be around forever, so click here to access it now.

Want to see how well (or not so well) the stocks in this series are performing? Follow theTrackPoisedToCAPS account.

The article 5-Star Stocks Poised to Pop: PotashCorp originally appeared on Fool.com.

Fool contributor Brian Pacampara owns no position in any of the companies mentioned. Try any of our Foolish newsletter services free for 30 days.We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Fool's disclosure policy always gets a perfect score.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement