Don't Buy Nutrien Before Checking Its Fundamentals!

With gains of 4.1%, Nutrien was one of the winners on Wall Street today. Its shares are now trading at $55.65 and have logged a 1.0% daily outperformance of the S&P 500. Don't join the feeding frenzy before checking some basic facts about this stock:

  • NTR has an average analyst rating of buy and is -22.88% away from its mean target price of $72.16 per share

  • Its trailing earnings per share (EPS) is $4.4

  • Nutrien has a trailing 12 month Price to Earnings (P/E) ratio of 12.6 while the S&P 500 average is 15.97

  • Its forward earnings per share (EPS) is $5.0 and its forward P/E ratio is 11.1

  • The company has a Price to Book (P/B) ratio of 1.09 in contrast to the S&P 500's average ratio of 2.95

  • Nutrien is part of the Industrials sector, which has an average P/E ratio of 20.49 and an average P/B of 3.78

  • NTR has reported YOY quarterly earnings growth of -94.9% and gross profit margins of 0.3%

  • The company has a free cash flow of $2.02 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter

  • Nutrien Ltd. provides crop inputs and services. The company operates through Retail, Potash, Nitrogen, and Phosphate segments. The Retail segment distributes crop nutrients, crop protection products, seeds, and merchandise products. The Potash segment provides granular and standard potash products. The Nitrogen segment offers ammonia, urea, urea ammonium nitrate, industrial grade ammonium nitrate, and ammonium sulfate. The Phosphate segment provides solid fertilizer, liquid fertilizer, and industrial and feed products. In addition, it provides services directly to growers through a network of farm centers in North America, South America, and Australia. The company was incorporated in 2017 and is headquartered in Saskatoon, Canada.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.