Stock Buyback Program Announced by Mosaic (NYSE:MOS) Board

Mosaic (NYSE:MOSGet Rating) declared that its Board of Directors has approved a share repurchase plan on Monday, August 1st, RTT News reports. The company plans to buyback $2.00 billion in outstanding shares. This buyback authorization permits the basic materials company to reacquire up to 10.8% of its shares through open market purchases. Shares buyback plans are often a sign that the company’s board of directors believes its shares are undervalued.

Wall Street Analysts Forecast Growth

A number of brokerages recently issued reports on MOS. Piper Sandler increased their price objective on Mosaic from $80.00 to $85.00 and gave the stock an “overweight” rating in a report on Tuesday, May 31st. Barclays began coverage on Mosaic in a report on Wednesday, June 1st. They set an “underweight” rating and a $59.00 price objective on the stock. BNP Paribas cut Mosaic from an “outperform” rating to a “neutral” rating and set a $82.00 price objective on the stock. in a report on Wednesday, April 20th. Mizuho dropped their price objective on Mosaic from $89.00 to $84.00 and set a “maintains” rating on the stock in a report on Friday. Finally, Royal Bank of Canada increased their price objective on Mosaic from $80.00 to $85.00 and gave the stock an “outperform” rating in a report on Thursday, April 21st. One equities research analyst has rated the stock with a sell rating, seven have issued a hold rating and eight have assigned a buy rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average price target of $65.76.

Mosaic Price Performance

Shares of Mosaic stock opened at $51.39 on Tuesday. The company has a current ratio of 1.23, a quick ratio of 0.57 and a debt-to-equity ratio of 0.29. The firm has a market capitalization of $18.60 billion, a PE ratio of 7.28, a price-to-earnings-growth ratio of 0.56 and a beta of 1.62. The business’s 50-day moving average price is $51.14 and its 200-day moving average price is $55.43. Mosaic has a 12 month low of $29.14 and a 12 month high of $79.28.

Mosaic (NYSE:MOSGet Rating) last released its earnings results on Monday, August 1st. The basic materials company reported $3.64 EPS for the quarter, missing analysts’ consensus estimates of $3.94 by ($0.30). The firm had revenue of $5.37 billion during the quarter, compared to analysts’ expectations of $5.62 billion. Mosaic had a net margin of 18.99% and a return on equity of 23.80%. The company’s revenue for the quarter was up 91.8% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.17 EPS. Sell-side analysts forecast that Mosaic will post 13.53 EPS for the current fiscal year.

Mosaic Increases Dividend

The business also recently disclosed a quarterly dividend, which was paid on Thursday, June 16th. Investors of record on Thursday, June 2nd were given a dividend of $0.15 per share. This represents a $0.60 dividend on an annualized basis and a yield of 1.17%. The ex-dividend date of this dividend was Wednesday, June 1st. This is a positive change from Mosaic’s previous quarterly dividend of $0.11. Mosaic’s dividend payout ratio (DPR) is 8.50%.

Insider Activity at Mosaic

In related news, Director Denise C. Johnson sold 24,427 shares of the firm’s stock in a transaction that occurred on Monday, May 16th. The stock was sold at an average price of $65.00, for a total transaction of $1,587,755.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. In other Mosaic news, Director Denise C. Johnson sold 24,427 shares of Mosaic stock in a transaction on Monday, May 16th. The stock was sold at an average price of $65.00, for a total value of $1,587,755.00. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Gregory L. Ebel bought 15,600 shares of Mosaic stock in a transaction on Friday, May 6th. The stock was acquired at an average cost of $63.49 per share, with a total value of $990,444.00. Following the acquisition, the director now owns 80,068 shares in the company, valued at approximately $5,083,517.32. The disclosure for this purchase can be found here. 0.57% of the stock is owned by corporate insiders.

Mosaic Company Profile

(Get Rating)

The Mosaic Company, through its subsidiaries, produces and markets concentrated phosphate and potash crop nutrients in North America and internationally. The company operates through three segments: Phosphates, Potash, and Mosaic Fertilizantes. It owns and operates mines, which produce concentrated phosphate crop nutrients, such as diammonium phosphate, monoammonium phosphate, and ammoniated phosphate products; and phosphate-based animal feed ingredients primarily under the Biofos and Nexfos brand names, as well as produces a double sulfate of potash magnesia product under K-Mag brand name.

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