Scotia Capital Has Sector Outperform On CF Industries Following Earnings

Scotia Capital is out with a research report on CF Industries CF after it reported earnings, and it has a Sector Outperform and a $195 price target on shares. In a note to clients, Scotia Capital writes, "N volumes/prices were in line with our estimates, although CF's realized P prices came in a little light, which supports our bearish view on phosphates. Natgas was up 3% QOQ, but should trend lower in Q4." Scotia went on to say, "With 93.5M acres (+1.6M acres YOY) of corn likely to be planted in the U.S. next year, a milder La Nina, a potentially more prohibitive Chinese urea export tax, a sub-$4/mmBtu NYMEX forward strip (through June), and high European contract gas, it is hard to find weaknesses to the NA nitrogen story over the mid-term." Shares of CF are up $6.21 to $175.52 today.