Friday, July 16, 2010

JPMorgan (NYSE:JPM) Upgrades Mosaic (MOS), Raises Price Target

Mosaic was upgraded by JP Morgan (NYSE:JPM), with the company raising them from "Neutral" to "Overweight."

The fertilizer producer, and overall sector, should perform strongly in the near term, probably the reasoning behind the upgrade. Long-term, there are a lot more challenges for Mosaic and others, and there isn't anything that can be seen which will change that.

Unfortunately Mosaic focuses on concentrated potash and phosphate, which will remain under pricing pressure after this season. Nitrogen should be a more profitable fertilizer, and that isn't the specialty of Mosaic.

Even so, the price target was raised by JP Morgan for Mosaic from $45 to $52.

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