MOS' Potash Volumes Improve: Will Hydrofloat Drive Them Further?

Group 1: Company Performance - The Mosaic Company (MOS) reported improved potash sales volumes in Q2, totaling 2.3 million tons, up from 2.1 million tons in the previous quarter due to increased production [1][7] - MOS raised its full-year 2025 potash production guidance to between 9.3 million and 9.5 million tons, driven by stronger market conditions and demand [2][7] - The Esterhazy Hydrofloat project, which added 400,000 tons in milling capacity, is complete and began production in July 2025, with further ramp-up expected by year-end [3][7] Group 2: Industry Comparison - Nutrien Ltd. (NTR) reported potash sales volumes of approximately 3.99 million tons in Q2, achieving record highs due to favorable affordability and robust consumption [4] - Intrepid Potash, Inc. (IPI) experienced a 25% increase in potash sales volumes to 69,000 tons, driven by production increases, and expects production of 270,000-280,000 tons for full-year 2025 [5] Group 3: Financial Metrics - MOS stock has gained 32.6% year-to-date, outperforming the Zacks Fertilizers industry, which rose by 18% [6] - The Zacks Consensus Estimate for MOS' earnings implies a year-over-year rise of 60.1% for 2025, followed by an 11.8% decline in 2026, with EPS estimates trending higher over the past 60 days [8] - MOS is currently trading at a forward 12-month earnings multiple of 11.18, which is about 14.1% lower than the industry average of 13.01X [9]