UPDATE: Credit Suisse Upgrades CF Industries Holdings As Stock Is Expected To Further Improve Industry Positioning

In a report published Wednesday, Credit Suisse analyst Christopher S. Parkinson upgraded the rating on

from Neutral to Outperform, and raised the price target from $228.00 to $315.00. In the report, Credit Suisse noted, “We believe CF will further improve its industry positioning over the next 2-3 years and generate best-in-class free cash flow versus peers. While we believe nitrogen prices will moderate slightly on a yr/yr basis in '15/'16, in our view this trend is well within market expectations and note even with materially lower pricing CF still has the ability to generate ~$32/share of FCF in '17. We are raising our 2015 EPS estimate to $22.13 (from $19.20) on a lower natural gas inputs, while our 2016 estimate goes to $25.47 (from $25.10).” CF Industries Holdings closed on Tuesday at $269.69.