Mideast war spurs potash prices

Article Excerpt

NUTRIEN LTD. $77 is a buy. The company (Toronto symbol NTR; Cyclical-Growth Payer Portfolio, Resources sector; Shares outstanding: 520.2 million; Market cap: $40.1 billion; Dividend yield: 3.8%; Dividend Sustainability Rating: Above Average; www.nutrien.com) is the world’s largest producer of agricultural fertilizers: it ships about 27 million tonnes annually. Nutrien last raised your quarterly dividend with the April 2023 payment. Investors now receive $0.53 U.S. a share, up 10.4% from $0.48 U.S. The new annual rate of $2.12 U.S. yields 3.8%. The stock moved up in the wake of Hamas’s attack on Israel, as the conflict could disrupt Israeli potash shipments through the port of Ashdod. That uncertainty has pushed up potash prices. Longer-term, Nutrien remains a solid way for investors to profit from the long-term need for more and better food. The stock also trades at a low 10.8 times the likely 2023 earnings of $5.16 U.S. a share. Nutrien is a buy. buy…