UPDATE: JP Morgan Raises PT to $64 on Mosaic on Outlook for Share Repurchase
JP Morgan reiterated its Overweight rating on Mosaic (NYSE: MOS) and raised the price target from $56.00 to $64.00.
JP Morgan noted, "Global potash prices are ready to move lower with Chinese contracts signed $70/t below the prior-year price. Phosphate is trading down slowly as Indian demand has dried up and the rest of the world is reluctant to purchase, awaiting further price erosion. We believe, however, that Mosaic is likely to use its $2.6 billion (or $6.00/per share) net cash position to engineer a material share repurchase in the second half of 2013 and spur shareholder value creation."
Mosaic closed at $59.74 on Friday.
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Tags: JP Morgan