UPDATE: JP Morgan Upgrades CF Industries Holdings to Overweight on Fundamentals and Buybacks

JP Morgan raised its rating on CF Industries Holdings CF from Neutral to Overweight and increased its price target from $225 to $253. JP Morgan noted, "Business fundamentals for CF strengthened materially through 2012: the price of corn is above $7.00/bushel, making for excellent farm economics; the stocks to use ratio for corn and soy are low values of 6.5% and 4.3%; domestic corn plantings in 2013 should again exceed 95 million acres; and finally, with stocks to use ratios very depressed in multiple grain categories, it will take more than one year to rebuild grain stocks, which could protect grain prices from sharp near-term negative volatility. CF announced a $3 billion share repurchase program, which, at current prices would lower its share count 20%, and it plans a number of high-return North American brown-field projects." CF Industries Holdings closed at $220.45 on Thursday.