Why PotashCorp Is Ready to Rebound

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 has earned a respected four-star ranking.

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

PotashCorp facts

Headquarters (founded)

Saskatoon, Canada (1953)

Market Cap

$34.4 billion

Industry

Fertilizers and agricultural chemicals

Trailing-12-Month Revenue

$7.4 billion

Management

CEO William Doyle (since 1998)

CFO Wayne Brownlee (since 1999)

Return on Equity (average, past 3 years)

30.9%

Cash/Debt

$562.0 million / $4.1 billion

Dividend Yield

2.9%

Competitors

BASF

Mosaic

Yara International


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

On CAPS, 97% of the 4,958 members who have rated PotashCorp believe the stock will outperform the S&P 500 going forward.

Earlier this week, one of those Fools, Nehams, succinctly summed up the PotashCorp bull case for our community: "Enjoys economies of scale as a leader in an essential nutrient, gets a part of revenue from the always-in-demand nutrient nitrogen, heavy warchest, and improving dividends."

Of course, that short pitch doesn't even come close to telling the entire story for PotashCorp. As the global leader in potash production, PotashCorp has several barriers to entry established that make it nearly impossible for competition to break through. Click here now to access The Motley Fool's new premium research report on PotashCorp, in which we cover precisely what these barriers to entry are and detail several other key reasons why this company presents such a compelling investment opportunity today.

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

The article Why PotashCorp Is Ready to Rebound originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool has no position in any of the stocks 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 Motley Fool has a disclosure policy.

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