Agrium Downgraded To Sell, But Raises Price Target


27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


Despite a recovering ag cycle, CLSA gets even more bearish on Agrium. Earlier Thursday, CLSA released a note saying that Agrium would need retail to have a dramatic uptick to keep up with their aspirations.One of the reasons for the downgrade, according to the analyst, is that their aren't any levers to pull. After nitrogen plants have stabilized, and getting Vanscoy working, there aren't many ways to keep up with its new targets. One piece of good news CLSA says, is that Agrium's assets are functioning well and urea prices will move up soon, helping margins. However, Agrium has yet to revise its guidance to incorporate a wide potential of outcomes.Although CLSA downgraded Agrium to Sell, shares are up 3.71% on the day at $12.86/share. The estimates in the note do not change for Agrium's earnings, but CLSA adjusts price target upwards from $84 to $86/share.

27% profit every 20 days?

This is what Nic Chahine averages with his option buys. Not selling covered calls or spreads… BUYING options. Most traders don’t even have a winning percentage of 27% buying options. He has an 83% win rate. Here’s how he does it.


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Posted In: Analyst ColorDowngradesPrice TargetAnalyst Ratings