Why PotashCorp Is Poised to Bounce Back

Updated
Why PotashCorp Is Poised to Bounce Back

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 coveted five-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

$26.0 billion

Industry

Fertilizers and agricultural chemicals

Trailing-12-Month Revenue

$7.5 billion

Management

CEO William Doyle (since 1998)

CFO Wayne Brownlee (since 1999)

Return on Equity (average, past three years)

29.2%

Cash/Debt

$630.0 million / $3.5 billion

Dividend Yield

4.7%

Competitors


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

On CAPS, 96% of the 5,004 members who have rated PotashCorp believe the stock will outperform the S&P 500 going forward.

Just last week, one of those Fools, keithelane, tapped PotashCorp as a particularly attractive bargain opportunity:

Fear over the end of the potash cartel by Uralkali is overblown. [PotashCorp] is financially strong enough to overcome a temporary drop in prices resulting from this, and I expect any significant drop to be just that -- temporary. This stock may take a while to recover, but I believe that they will recover and pay a nice dividend in the meantime.

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The article Why PotashCorp 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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