Core Viewpoint - CF Industries Holdings, Inc. (CF) is well-positioned to benefit from increasing nitrogen fertilizer demand and decreasing natural gas costs, making it a promising investment opportunity [1]. Group 1: Earnings Estimates - Earnings estimates for CF have increased significantly, with the Zacks Consensus Estimate for 2024 rising by 21.2% and the estimate for Q3 2024 up by 55.4% over the past 60 days, boosting investor confidence [2]. Group 2: Return on Equity - CF's Return on Equity (ROE) stands at 13%, surpassing the industry average of 8.6%, indicating efficient utilization of shareholders' funds [3]. Group 3: Valuation - CF's shares are trading below the industry average, with a trailing 12-month EV/EBITDA multiple of 7.23 compared to the industry average of 9.81, suggesting potential for upside [4]. Group 4: Demand and Supply Dynamics - The company is benefiting from rising global demand for nitrogen fertilizers, driven by agricultural needs and recovering industrial demand post-pandemic. High corn planting and low nitrogen inventories in North America are expected to further drive demand [5]. - CF anticipates a positive global supply-demand balance, particularly due to nitrogen import requirements in Brazil and India, alongside lower natural gas prices, which have decreased from $2.75 per MMBtu to $1.90 per MMBtu year-over-year [6]. Group 5: Shareholder Value - CF is committed to enhancing shareholder value, having repurchased 8.3 million shares for $652 million in the first half of 2024, with a remaining $1.9 billion in its $3 billion share repurchase program. The company also increased its quarterly dividend by 25% to $0.50 per share [7].

Group 1 - CF Industries is a member of the Basic Materials sector, which includes 236 individual stocks and holds a Zacks Sector Rank of 15 [1] - CF Industries has a Zacks Rank of 2 (Buy), indicating a favorable earnings outlook [1] - Over the past three months, the Zacks Consensus Estimate for CF's full-year earnings has increased by 19.1%, reflecting stronger analyst sentiment [2] Group 2 - CF Industries has returned approximately 2.7% year-to-date, outperforming the Basic Materials sector, which has lost an average of 2.6% [2] - CSW Industrials, another Basic Materials stock, has significantly outperformed the sector with a return of 72.9% since the beginning of the year [2] - CF Industries belongs to the Fertilizers industry, which has lost an average of 18.8% year-to-date, indicating that CF is performing better than its industry peers [3] Group 3 - CSW Industrials is part of the Chemical - Specialty industry, which has a year-to-date decline of 16.7% [3] - Both CF Industries and CSW Industrials are showing solid performance, suggesting they are worth monitoring for investors interested in Basic Materials stocks [3]

The proven Zacks Rank system focuses on earnings estimates and estimate revisions to find winning stocks. Nevertheless, we know that our readers all have their own perspectives, so we are always looking at the latest trends in value, growth, and momentum to find strong picks.Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they believe are undervalued at ...

CF Industries Holdings, Inc.’s (CF) shares have gained 10.8% over the past three months. The company has outperformed its industry’s decline of 4.3% over the same time frame. CF has also topped the S&P 500’s roughly 2.9% rise over the same period.Let’s take a look into the factors that are driving this leading nitrogen fertilizer maker.  Image Source: Zacks Investment ResearchHealthy Nitrogen Demand, Lower Gas Costs Aid CF StockCF Industries is benefiting from the rising global demand for nitrogen fertilize ...

A month has gone by since the last earnings report for CF Industries (CF) . Shares have lost about 1.2% in that time frame, underperforming the S&P 500.Will the recent negative trend continue leading up to its next earnings release, or is CF due for a breakout? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. CF Industries' Q2 Earnings Surpass Estimates, Sales MissCF In ...

CF Industries Holdings, Inc.’s (CF) shares have gained 9% in the past month, outperforming the Zacks Fertilizers industry’s rise of 3%. CF is benefiting from higher nitrogen fertilizer demand in major markets and lower natural gas costs amid headwinds from weaker nitrogen prices.Technical indicators show that CF crossed above the 200-day simple moving average (SMA) in early Aug. 2024. The stock also eclipsed the 50-day SMA around the same time, signaling a bullish trend.CF Stock Trades Above 50-Day SMA Imag ...

The Zacks Fertilizers industry is hamstrung by softer fertilizer prices on demand weakness as growers have reduced application rates partly due to affordability issues. Elevated costs of key raw materials partly due to the Russia-Ukraine war have also put pressure on the margins of companies in this space.   However, favorable global agricultural fundamentals and healthy farm economics augur well for the industry. Fertilizer players such as CF Industries Holdings, Inc. (CF) , Yara International ASA (YARIY) ...

Financial Data and Key Metrics Changes - For Q2 2024, the company generated adjusted EBITDA of over $750 million, bringing the first half adjusted EBITDA to $1.2 billion [7][16] - Net earnings attributable to common stockholders for Q2 2024 were approximately $420 million, or $2.30 per diluted share, while for the first half, net earnings were about $614 million, or $3.31 per diluted share [16][17] - Trailing 12-month net cash from operations was $2 billion, with free cash flow at approximately $1.2 billion [17] Business Line Data and Key Metrics Changes - The ammonia plant operated at a 99% utilization rate in Q2 2024, following a challenging first quarter [9] - The Waggaman ammonia production facility operated approximately 10% above nameplate capacity after maintenance [9] Market Data and Key Metrics Changes - North American spring application season saw strong demand for urea and UAN due to higher-than-expected planted corn acres [12] - Global nitrogen supply-demand balance tightened as natural gas curtailments in Egypt led to production outages [14] - Brazil is projected to grow in urea consumption and imports, while India is expected to require substantial import volumes to meet demand [15] Company Strategy and Development Direction - The company is focused on decarbonization and clean energy projects, including carbon capture and sequestration initiatives [10] - The Donaldsonville project is on track for sequestration to begin in 2025, with a new project in Yazoo City expected to start in 2028 [10] - The company is evaluating the construction of a greenfield low-carbon ammonia facility in Louisiana [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the future, citing expected nitrogen demand growth and a tightening supply-demand balance [30] - The company noted that the agricultural sector is increasingly interested in low-carbon products, which could enhance pricing [25][26] - Management highlighted the importance of maintaining a disciplined approach to investments while continuing to return capital to shareholders [17][21] Other Important Information - The company has approximately $1.9 billion remaining on its share repurchase authorization, which is expected to be completed by December 2025 [17][56] - Recent transactions in the industry have reinforced the view that the company's enterprise value is significantly undervalued [17][20] Q&A Session Summary Question: Interest in low carbon ammonia from agriculture - Management noted a shift in demand towards low carbon ammonia from the agricultural sector, which was previously more focused on industrial applications [23][24] Question: Ammonia supply and potential oversupply - Management indicated that expected new demand is outpacing new construction, leading to a tightening in the supply-demand balance [30] Question: Valuation of assets based on recent transactions - Management discussed the need to consider the total cost of construction when evaluating asset values, emphasizing the importance of integrated plant costs [32][33] Question: Production rates and import trends in India and China - Management projected that India would import about 5 to 6 million tons of urea in 2024, while Brazil has become the largest importer [50][52] Question: Buyer behavior changes in the fertilizer market - Management observed a trend of delayed purchases among U.S. domestic customers due to lower corn prices and farmer liquidity issues [61] Question: Termination of supply agreement with Mosaic - Management confirmed ongoing negotiations with Mosaic for continued supply, emphasizing a strong relationship [62][64]

For the transition period from to Commission file number 001-32597 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, DC 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2024 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 CF INDUSTRIES HOLDINGS, INC. (Exact name of registrant as specified in its charter) (State or other jurisdiction of incorpora ...

CF Industries Holdings, Inc. (CF) reported second-quarter 2024 earnings of $2.30 per share, down from $2.70 in the year-ago quarter. The figure surpassed the Zacks Consensus Estimate of $1.80.Net sales fell around 11.4% year over year to $1,572 million in the quarter, missing the Zacks Consensus Estimate of $1,580.2 million.Average selling prices in the second quarter were lower year over year due to a fall in global energy costs, which reduced the global market clearing price required to meet demand. Sales ...