Scotiabank Issues Pessimistic Forecast for Mosaic Earnings

Key Points

• Scotiabank cut its FY2026 EPS forecast for Mosaic to $1.79 from $2.49 (while keeping a "Sector Outperform" rating and $35 target), versus a consensus full-year estimate of $2.04.
• Mosaic missed the most recent quarter with $0.22 EPS vs. $0.48 expected and $2.97B revenue vs. $3.02B expected, signaling near-term softness in results.
• Multiple brokers have trimmed price targets (MarketBeat average target $30.94 and consensus rating "Hold"), Mosaic pays a $0.22 quarterly dividend (about a 3.4% yield) and institutional ownership is roughly 77.5%.

The Mosaic Company (NYSE:MOS - Free Report) - Equities research analysts at Scotiabank lowered their FY2026 earnings per share (EPS) estimates for shares of Mosaic in a research note issued to investors on Monday, March 2nd. Scotiabank analyst B. Isaacson now expects that the basic materials company will earn $1.79 per share for the year, down from their previous forecast of $2.49. Scotiabank currently has a "Sector Outperform" rating and a $35.00 target price on the stock. The consensus estimate for Mosaic's current full-year earnings is $2.04 per share. Scotiabank also issued estimates for Mosaic's FY2027 earnings at $2.71 EPS.

Several other equities research analysts have also recently weighed in on MOS. Canadian Imperial Bank of Commerce reduced their price objective on Mosaic from $34.00 to $32.00 and set a "neutral" rating on the stock in a research note on Thursday, November 6th. Wells Fargo & Company cut their target price on Mosaic from $28.00 to $27.00 and set an "equal weight" rating on the stock in a research report on Friday, January 23rd. UBS Group decreased their price target on Mosaic from $38.00 to $33.00 and set a "buy" rating on the stock in a report on Monday, January 12th. Mizuho lifted their price objective on shares of Mosaic from $28.00 to $30.00 and gave the stock a "neutral" rating in a research note on Wednesday, February 25th. Finally, HSBC reduced their target price on shares of Mosaic from $35.00 to $26.00 and set a "hold" rating on the stock in a research note on Monday, November 24th. Six equities research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and two have given a Sell rating to the company. According to MarketBeat.com, the company currently has an average rating of "Hold" and an average price target of $30.94.

Mosaic Stock Performance

Mosaic stock opened at $26.04 on Thursday. The company's 50-day moving average price is $27.36 and its 200-day moving average price is $28.61. The company has a quick ratio of 0.47, a current ratio of 1.32 and a debt-to-equity ratio of 0.35. The company has a market cap of $8.27 billion, a PE ratio of 15.41, a price-to-earnings-growth ratio of 1.47 and a beta of 0.95. Mosaic has a twelve month low of $22.36 and a twelve month high of $38.23.

Mosaic (NYSE:MOS - Get Free Report) last posted its earnings results on Tuesday, February 24th. The basic materials company reported $0.22 earnings per share for the quarter, missing analysts' consensus estimates of $0.48 by ($0.26). Mosaic had a net margin of 4.49% and a return on equity of 5.80%. The business had revenue of $2.97 billion during the quarter, compared to analysts' expectations of $3.02 billion. During the same period last year, the business posted $0.45 earnings per share. The company's revenue for the quarter was up 5.6% compared to the same quarter last year.

Institutional Trading of Mosaic

Several institutional investors and hedge funds have recently made changes to their positions in the company. AQR Capital Management LLC raised its holdings in shares of Mosaic by 632.6% in the 3rd quarter. AQR Capital Management LLC now owns 8,447,324 shares of the basic materials company's stock valued at $291,348,000 after purchasing an additional 7,294,205 shares in the last quarter. Norges Bank purchased a new stake in Mosaic during the second quarter valued at approximately $158,085,000. Bank of New York Mellon Corp boosted its stake in Mosaic by 102.3% in the third quarter. Bank of New York Mellon Corp now owns 7,701,610 shares of the basic materials company's stock valued at $267,092,000 after acquiring an additional 3,894,947 shares in the last quarter. Invesco Ltd. grew its holdings in Mosaic by 28.9% in the fourth quarter. Invesco Ltd. now owns 11,840,398 shares of the basic materials company's stock worth $285,235,000 after purchasing an additional 2,653,969 shares during the last quarter. Finally, Merewether Investment Management LP purchased a new position in Mosaic in the second quarter worth $72,380,000. 77.54% of the stock is currently owned by institutional investors.

Mosaic Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, March 19th. Investors of record on Monday, March 9th will be paid a $0.22 dividend. The ex-dividend date of this dividend is Monday, March 9th. This represents a $0.88 annualized dividend and a yield of 3.4%. Mosaic's dividend payout ratio is 52.07%.

About Mosaic

Mosaic Co is one of the world's leading producers and marketers of concentrated phosphate and potash crop nutrients. The company's primary business activities center on the extraction, processing and distribution of phosphate rock, phosphate-based fertilizers and potash products. These core nutrients are essential components in modern agriculture, supporting crop yields and soil health across a range of farming applications.

In its phosphate segment, Mosaic operates mining and production facilities that convert phosphate rock into concentrated phosphates, finished phosphate fertilizers and feed phosphates for animal nutrition.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.