Mosaic (NYSE:MOS) Announces Quarterly Earnings Results, Misses Estimates By $0.20 EPS

Key Points

• Mosaic Company reported an EPS of $0.51, missing expectations by $0.20 compared to the consensus estimate of $0.71.
• Despite the earnings miss, Mosaic's revenue increased by 6.7% year-over-year, indicating growth in its core operations.
• Analysts have set a consensus price target of $36.75, with several firms maintaining an "outperform" rating on the stock.

Mosaic (NYSE:MOS - Get Free Report) announced its quarterly earnings data on Tuesday. The basic materials company reported $0.51 earnings per share for the quarter, missing the consensus estimate of $0.71 by ($0.20), Zacks reports. The firm had revenue of $3.01 billion for the quarter, compared to analyst estimates of $3.11 billion. Mosaic had a return on equity of 4.74% and a net margin of 8.35%. Mosaic's revenue for the quarter was up 6.7% compared to the same quarter last year. During the same period in the previous year, the business posted $0.54 EPS.

Mosaic Price Performance

MOS stock traded up $0.36 during midday trading on Friday, reaching $32.04. 3,024,601 shares of the company's stock traded hands, compared to its average volume of 5,590,330. The company has a 50-day simple moving average of $35.95 and a two-hundred day simple moving average of $30.84. The company has a quick ratio of 0.44, a current ratio of 1.14 and a debt-to-equity ratio of 0.26. Mosaic has a 1-year low of $22.36 and a 1-year high of $38.23. The company has a market cap of $10.17 billion, a price-to-earnings ratio of 10.86, a PEG ratio of 1.40 and a beta of 1.12.

Wall Street Analyst Weigh In

A number of research firms have weighed in on MOS. Royal Bank Of Canada reiterated an "outperform" rating on shares of Mosaic in a research note on Monday, July 14th. Wells Fargo & Company decreased their target price on shares of Mosaic from $38.00 to $34.00 and set an "equal weight" rating on the stock in a research report on Thursday. Oppenheimer reissued an "outperform" rating and issued a $43.00 target price (up previously from $39.00) on shares of Mosaic in a research note on Tuesday, July 15th. CIBC increased their price target on shares of Mosaic from $32.00 to $33.00 and gave the stock a "neutral" rating in a research report on Friday, May 9th. Finally, Scotiabank restated an "outperform" rating on shares of Mosaic in a research note on Wednesday, May 14th. Five equities research analysts have rated the stock with a hold rating, eight have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, Mosaic currently has a consensus rating of "Moderate Buy" and an average price target of $36.50.

Insider Buying and Selling

In other news, SVP Walter F. Precourt III sold 18,000 shares of the stock in a transaction on Thursday, May 29th. The stock was sold at an average price of $35.73, for a total transaction of $643,140.00. Following the sale, the senior vice president owned 128,546 shares in the company, valued at approximately $4,592,948.58. This represents a 12.28% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Corporate insiders own 0.50% of the company's stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Acadian Asset Management LLC lifted its position in shares of Mosaic by 300.1% during the first quarter. Acadian Asset Management LLC now owns 27,758 shares of the basic materials company's stock worth $749,000 after purchasing an additional 20,821 shares in the last quarter. Geneos Wealth Management Inc. boosted its position in Mosaic by 169.3% in the 1st quarter. Geneos Wealth Management Inc. now owns 956 shares of the basic materials company's stock valued at $26,000 after buying an additional 601 shares during the last quarter. Woodline Partners LP increased its stake in shares of Mosaic by 40.7% in the 1st quarter. Woodline Partners LP now owns 26,836 shares of the basic materials company's stock valued at $725,000 after buying an additional 7,760 shares during the period. Empowered Funds LLC raised its position in shares of Mosaic by 170.5% during the first quarter. Empowered Funds LLC now owns 54,176 shares of the basic materials company's stock worth $1,463,000 after acquiring an additional 34,151 shares during the last quarter. Finally, United Services Automobile Association acquired a new position in shares of Mosaic during the first quarter valued at $201,000. Institutional investors and hedge funds own 77.54% of the company's stock.

Mosaic Company Profile

The Mosaic Company, through its subsidiaries, produces and markets concentrated phosphate and potash crop nutrients in North America and internationally. The company operates through three segments: Phosphates, Potash, and Mosaic Fertilizantes. It owns and operates mines, which produce concentrated phosphate crop nutrients, such as diammonium phosphate, monoammonium phosphate, and ammoniated phosphate products; and phosphate-based animal feed ingredients primarily under the Biofos and Nexfos brand names, as well as produces a double sulfate of potash magnesia product under K-Mag brand name.