Postash, Mosaic, and MOO Love Goldman Sachs (POT, MOS, MOO)

Posted in pre-market 
December 21st, 2009

Potash Corp. (NYSE: POT) is trading higher this morning after Goldman Sachs raised the potash maker to the Conviction Buy List to take advantage of a sharp sell off in fertilizer stocks last week.  Mosaic Co. (NYSE: MOS) was also raised to Buy from Neutral.  Goldman Sachs’ view of a fundamental demand recovery in potash in 2010 remains unchanged and it sees that weak 2010 potash pricing is discounted into the price of the stocks.  The weakness in the past week and the comments that were bullish from the same sources responsible for negative sentiment were ignored.

Mosaic shares are up 3.5% at $57.18 on 33,000 shares as of 8:48 AM EST and Potash Corp. (NYSE: POT) shares are up 3% at $108.15 on 66,000 shares.

We would keep an eye on the MOO this morning.  The Market Vectors Agribusiness ETF (NYSE: MOO) is u only 1%, but this is the agriculture ETF and these two stocks alone account for over 15.5% of the entire weighting of that ETF.

JON OGG

Comments are closed

-->