UPDATE: Goldman Sachs Upgrades CF Industries Holdings to Neutral, Raises PT as Cash Return Potential Surprises on Upside

In a report published Thursday, Goldman Sachs analyst Adam Samuelson upgraded the rating on

from Sell to Neutral, and raised the price target from $184.00 to $232.00. In the report, Goldman Sachs noted, “We upgrade CF to Neutral from Sell and raise our 12-month price target to $232 from $184. On Wednesday, CF outlined new multi-year capital allocation plans that point to a significantly higher cash return to shareholders over the next 12-24 months than we had previously contemplated. While our base view of Nitrogen (N) industry fundamentals is unchanged, we believe this alone no longer supports a Sell rating, given the recent re-rating on prospects of continued shareholder friendly actions, including buybacks and exploration of ‘MLP or MLP-like structures'. Since being added to the Americas Sell List on Dec. 11, 2012, CF shares are +9% vs. the S&P 500 +26%.” CF Industries Holdings closed on Wednesday at $237.07.