CF Industries (NYSE:CF) Trading Down 3.3% - Time to Sell?

Key Points

• CF Industries shares fell 3.3% to $120.99 in mid-day trading, although trading volume was significantly below average.
• Analysts have recently lowered price targets, with the stock carrying a consensus “Hold” rating and an average target of $116.69.
• CF Industries increased its quarterly dividend from $0.50 to $0.60 per share, resulting in a 2.0% yield; institutional investors own 93.06% of the company’s stock.

CF Industries Holdings, Inc. (NYSE:CF - Get Free Report) was down 3.3% during mid-day trading on Monday . The company traded as low as $119.14 and last traded at $120.99. Approximately 296,313 shares changed hands during mid-day trading, a decline of 92% from the average session volume of 3,529,214 shares. The stock had previously closed at $125.07.

Analysts Set New Price Targets

Several brokerages have recently commented on CF. UBS Group lowered their target price on shares of CF Industries from $140.00 to $130.00 in a report on Friday, May 8th. Royal Bank Of Canada cut their price target on CF Industries from $125.00 to $115.00 and set a "sector perform" rating for the company in a research note on Friday, July 17th. The Goldman Sachs Group reduced their price target on CF Industries from $133.00 to $115.00 and set a "neutral" rating on the stock in a research report on Tuesday, June 23rd. BMO Capital Markets lowered their price objective on CF Industries from $140.00 to $135.00 and set an "outperform" rating on the stock in a research note on Tuesday, June 30th. Finally, BNP Paribas Exane dropped their price objective on CF Industries from $140.00 to $120.00 and set a "neutral" rating for the company in a report on Monday, June 15th. Two research analysts have rated the stock with a Strong Buy rating, five have issued a Buy rating, ten have assigned a Hold rating and three have issued a Sell rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Hold" and an average target price of $116.69.

CF Industries Stock Performance

The stock's fifty day moving average price is $114.25 and its two-hundred day moving average price is $111.16. The company has a debt-to-equity ratio of 0.39, a quick ratio of 3.15 and a current ratio of 3.54. The company has a market cap of $18.63 billion, a P/E ratio of 10.88 and a beta of 0.40.

CF Industries Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Monday, August 31st. Shareholders of record on Friday, August 14th will be given a dividend of $0.60 per share. This is an increase from CF Industries's previous quarterly dividend of $0.50. This represents a $2.40 annualized dividend and a yield of 2.0%. The ex-dividend date is Friday, August 14th. CF Industries's dividend payout ratio (DPR) is presently 17.97%.

Institutional Investors Weigh In On CF Industries

Large investors have recently modified their holdings of the business. Wedge Capital Management L L P NC raised its holdings in shares of CF Industries by 3.6% during the 2nd quarter. Wedge Capital Management L L P NC now owns 106,966 shares of the basic materials company's stock worth $11,580,000 after buying an additional 3,701 shares in the last quarter. Insight Wealth Strategies LLC bought a new position in CF Industries in the second quarter valued at about $5,931,000. Tema ETFs LLC grew its position in CF Industries by 9.4% in the second quarter. Tema ETFs LLC now owns 5,051 shares of the basic materials company's stock valued at $547,000 after acquiring an additional 435 shares during the last quarter. E. Ohman J or Asset Management AB grew its position in CF Industries by 73.7% in the second quarter. E. Ohman J or Asset Management AB now owns 6,600 shares of the basic materials company's stock valued at $715,000 after acquiring an additional 2,800 shares during the last quarter. Finally, Contravisory Investment Management Inc. acquired a new position in CF Industries during the second quarter worth about $65,000. Institutional investors and hedge funds own 93.06% of the company's stock.

About CF Industries

CF Industries Holdings, Inc is a leading global manufacturer of hydrogen and nitrogen products for agricultural and industrial customers. The company specializes in the production of ammonia, granular urea, urea ammonium nitrate (UAN), nitric acid and ammonium nitrate, which serve as key inputs for fertilizer blends, industrial chemicals and other downstream applications.

Headquartered in Deerfield, Illinois, CF Industries operates production facilities and distribution terminals across North America and the United Kingdom.

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