UPDATE: Piper Jaffray Downgrades CF Industries to Neutral; Earnings Upside Already Priced In

Piper Jaffray reduced its rating on CF Industries

from Overweight to Neutral and reduced its price target from $250 to $227. Piper Jaffray commented, "We are downgrading shares of CF from Overweight to Neutral as we believe the favorable earnings set-up for 2013 is largely priced into the stock and that fears of cyclical peak earnings next year will limit further multiple expansion. We acknowledge that the earnings outlook for FY13 remains very positive and our estimates are above consensus, but the impending optimism surrounding a large corn crop next growing season (much like was anticipated this year before the drought set in) will likely resurface fears of cyclical peak earnings." CF Industries closed at $19.57 on Friday.