Shares of several fertilizer manufacturers fell Thursday after one of the sector's second-biggest player CF Industries Holdings, Inc.'s CF posted disappointing third quarter results.
CF's revenue for the recent period missed Wall Street's expectations by 30 percent. Results were hurt by lower prices and higher costs, the company said.
CF opened sharply lower but recovered somewhat, trading down recently 1.2 percent at $250.53 per share.
Two smaller nitrogen producers, LSB Industries, Inc. LXU and Terra Nitrogen Company, L.P. TNH were each off by about 1.5 percent.
Major U.S. competitors Agrium Inc. AGU and Potash Corp./Saskatchewan POT were nearly unchanged, while Koch Nitrogen Co. is privately held.
CVR Partners LP UAN, which last week missed third-quarter revenue expectations by 6.5 percent, was nearly unchanged Thursday although it's fallen more than 5 percent in recently.
CF Industries on Wednesday said nitrogen revenue grew 5 percent in the recent quarter, although volume grew 6 percent on "marginally lower prices."
Profits were hurt by sales of inventory manufactured in earlier months when gas prices were higher, as well as by bad bets on natural gas derivatives.
Net earnings were $140.6 million, or $2.62 per share, versus analysts expectation of $3.47 per share.
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