Why CVR Partners Is Poised to Bounce Back

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, nitrogen fertilizer producer has earned a coveted five-star ranking.

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

CVR facts

Headquarters (founded)

Sugar Land, Texas (2007)

Market Cap

$1.8 billion

Industry

Fertilizers and agricultural chemicals

Trailing-12-Month Revenue

$305.4 million

Management

CEO Byron Kelley (since 2011)

CFO Susan Ball (since 2012)

Trailing-12-Month Return on Equity

24.8%

Cash/Debt

$153.2 million / $127.5 million

Dividend Yield

10%

Competitors

Agrium

CF Industries

Terra Nitrogen


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

On CAPS, 99% of the 341 members who have rated CVR believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, All-Star PsychoDr, succinctly summed up the CVR bull case for our community:

I like the potential of this company. Their stock took a bit of a hit recently, but it had nothing to do with fundamentals. In fact recent earnings were depressed as company built out capacity to refine more [urea ammonium nitrate] than they had in the past. This is important because [urea ammonium nitrate] is the next step in fertilizer production and has significantly higher profit margin. I also like their dividend policy which I will leave for you to research.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a perfect five-star rating, CVR may not be your top choice.

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The article Why CVR Partners Is Poised to Bounce Back originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool owns shares of CF Industries Holdings. 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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