CF Industries Holdings, Inc. (CF), a leading nitrogen fertilizer producer, has shown bullish momentum as the fertilizer sector prepares for recovery through 2026. The company reported a 6% earnings beat in Q3 2023 with ammonia network utilization at 97% year-to-date. It maintains full-year production guidance of 10 million tons of gross ammonia for 2025, reflecting robust demand across North America, India, and Brazil.
As of November 2023, CF’s valuation stands at approximately $13 billion with a Forward PE ratio of 12, while investors anticipate increased earnings, with estimates rising from $2.07 to $2.55 for the current quarter, a 23% jump. Analysts have set price targets up to $95, indicating potential upside as the company navigates tight global nitrogen supply and strengthening fertilizer market dynamics.
Founded in 1946 and based in the Chicago area, CF operates significant nitrogen fertilizer complexes in Donaldsonville, Louisiana, and Medicine Hat, Alberta. With its scale and low-cost production tied to North American natural gas, the company is well-positioned for profitable growth.
