On February 13, 2023, Scotiabank downgraded their outlook for CF Industries Holdings from Sector Outperform to Sector Perform.
Analyst Price Forecast Suggests 24.70% Upside
As of February 13, 2023, the average one-year price target for CF Industries Holdings is $112.84. The forecasts range from a low of $75.75 to a high of $138.60. The average price target represents an increase of 24.70% from its latest reported closing price of $90.49.
The projected annual revenue for CF Industries Holdings is $10,100MM, a decrease of 9.16%. The projected annual EPS is $14.64, a decrease of 4.67%.
CF Industries Holdings Declares $0.40 Dividend
On January 31, 2023 the company declared a regular quarterly dividend of $0.40 per share ($1.60 annualized). Shareholders of record as of February 14, 2023 will receive the payment on February 28, 2023. Previously, the company paid $0.40 per share.
At the current share price of $90.49 / share, the stock's dividend yield is 1.77%. Looking back five years and taking a sample every week, the average dividend yield has been 2.62%, the lowest has been 1.09%, and the highest has been 5.44%. The standard deviation of yields is 0.81 (n=237).
The current dividend yield is 1.05 standard deviations below the historical average.
Additionally, the company's dividend payout ratio is 0.10. The payout ratio tells us how much of a company's income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company's income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend - not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.
The company's 3-Year dividend growth rate is 0.33%, demonstrating that it has increased its dividend over time.
What are large shareholders doing?
Price T Rowe Associates holds 11,790K shares representing 6.01% ownership of the company. In it's prior filing, the firm reported owning 11,246K shares, representing an increase of 4.62%. The firm decreased its portfolio allocation in CF by 31.98% over the last quarter.
VTSMX - Vanguard Total Stock Market Index Fund Investor Shares holds 5,945K shares representing 3.03% ownership of the company. In it's prior filing, the firm reported owning 6,144K shares, representing a decrease of 3.35%. The firm increased its portfolio allocation in CF by 13.24% over the last quarter.
Geode Capital Management holds 4,672K shares representing 2.38% ownership of the company. In it's prior filing, the firm reported owning 4,694K shares, representing a decrease of 0.47%. The firm increased its portfolio allocation in CF by 15.83% over the last quarter.
VIMSX - Vanguard Mid-Cap Index Fund Investor Shares holds 4,588K shares representing 2.34% ownership of the company. In it's prior filing, the firm reported owning 4,801K shares, representing a decrease of 4.66%. The firm increased its portfolio allocation in CF by 12.16% over the last quarter.
VFINX - Vanguard 500 Index Fund Investor Shares holds 4,517K shares representing 2.30% ownership of the company. In it's prior filing, the firm reported owning 4,617K shares, representing a decrease of 2.21%. The firm increased its portfolio allocation in CF by 13.59% over the last quarter.
What is the Fund Sentiment?
There are 1691 funds or institutions reporting positions in CF Industries Holdings. This is an increase of 9 owner(s) or 0.54% in the last quarter. Average portfolio weight of all funds dedicated to CF is 0.36%, an increase of 5.81%. Total shares owned by institutions decreased in the last three months by 2.12% to 209,267K shares. The put/call ratio of CF is 1.03, indicating a bearish outlook.
CF Industries Holdings Background Information
(This description is provided by the company.)
CF Industries Holdings Inc. is a leading global manufacturer of hydrogen and nitrogen products for clean energy, emissions abatement, fertilizer, and other industrial applications. The company operates manufacturing complexes in the United States, Canada, and the United Kingdom, which are among the most cost-advantaged, efficient, and flexible in the world, and an unparalleled storage, transportation and distribution network in North America. Its 3,000 employees focus on safe and reliable operations, environmental stewardship and disciplined capital and corporate management, driving its strategy to leverage and sustainably grow the world's most advantaged hydrogen and nitrogen platform to serve customers, creating long-term shareholder value.
This story originally appeared on Fintel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
