Dahlman Rose Downgrades CVR Partners (UAN) to Sell; Large Corn Crop Spells Pricing Reduction and Trouble for Fertilizers
Tweet
Share
E-mailGet Alerts UAN Hot Sheet
Price: $123.50 --0%
Rating Summary:
2 Buy, 3 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 6 | Down: 11 | New: 17
Rating Summary:
2 Buy, 3 Hold, 0 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 6 | Down: 11 | New: 17
Join SI Premium – FREE
Dahlman Rose downgraded CVR Partners (NYSE: UAN) from Hold to Sell with a price target of $22.00.
Analyst, Charles Neivert, said, "In our view, the potential for an exceptional corn crop under a variety of acreage and yield scenarios, counters almost all of the bullish theses for fertilizer shares. As such, we are downgrading the shares of both CF Industries (NYSE: CF) and UAN to Sell from Hold and the shares of Rentech Nitrogen (NYSE: RNF) to Hold from Buy. We believe that the WASDE report will be a catalyst for a reassessment of fertilizer shares. The forecast of a large carryout could prove to be very destructive for corn prices and, subsequently, fertilizer shares. We are struck by the range of scenarios with outcomes that could not only drive corn below $5/bushel, but even $4/bushel in the more bearish cases."
For an analyst ratings summary and ratings history on CVR Partners click here. For more ratings news on CVR Partners click here.
Shares of CVR Partners closed at $25.43 yesterday.
Analyst, Charles Neivert, said, "In our view, the potential for an exceptional corn crop under a variety of acreage and yield scenarios, counters almost all of the bullish theses for fertilizer shares. As such, we are downgrading the shares of both CF Industries (NYSE: CF) and UAN to Sell from Hold and the shares of Rentech Nitrogen (NYSE: RNF) to Hold from Buy. We believe that the WASDE report will be a catalyst for a reassessment of fertilizer shares. The forecast of a large carryout could prove to be very destructive for corn prices and, subsequently, fertilizer shares. We are struck by the range of scenarios with outcomes that could not only drive corn below $5/bushel, but even $4/bushel in the more bearish cases."
For an analyst ratings summary and ratings history on CVR Partners click here. For more ratings news on CVR Partners click here.
Shares of CVR Partners closed at $25.43 yesterday.
Serious News for Serious Traders! Try StreetInsider.com Premium Free!
You May Also Be Interested In
- Clear Street Downgrades Kinetik Holdings, Inc. (KNTK) to Hold Citing Valuation
- Keefe, Bruyette & Woods Downgrades Bain Capital Specialty Finance (BCSF) to Market Perform
- Deutsche Bank Downgrades SentinelOne Inc (S) to Hold
Create E-mail Alert Related Categories
DowngradesSign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
