Mosaic (MOS) Smashed After Disappointing Results

Shares of Mosaic (NYSE: MOS) are getting smashed over 30% today following a mixed Q1 earnings report. Mosaic also lowered its FY09 phosphate sales volume, but left its Potash sales guidance unchanged.

Comments from Mosaic on its conference call, that the outlook for phosphates look positive and that the potash market remains tight, is doing little to calm investors fears about a major global slowdown.

The concerning earnings picture at Mosaic is also bringing down other ag names: Potash (NYSE: POT) is down about 20% since the close, Agrium (NYSE: AGU) is down 21%, Monsanto (NYSE: MON) is down more than 12%, CF Industries (NYSE: CF) is down 23%, and Interpid Potash (NYSE: IPI), the new-comer to the popular ag sector, is down nearly 9%.

This morning, Merrill Lynch cut its rating on all the fertilizer names, citing concerns the slumping prices and lower demand may hurt profits. Merrill said, "with phosphate prices falling, nitrogen prices peaking and potash prices rising less than expected, there is considerably uncertainty surrounding the near-term outlook."

The Mosaic Company engages in the production and marketing of concentrated phosphate and potash crop nutrients for the agriculture industry worldwide.

You May Also Be Interested In

• UBS names Houlihan and Hutchens as market executives in Southeast
• Bank of America crosses 5% threshold in Lakefront Biotherapeutics