Mosaic slides after BofA downgrades citing delayed margin recovery

Mosaic

20/03/2026 14:39

** Shares of fertilizer company Mosaic MOS.N down 5.2% at $24.82 after BofA Global Research downgrades to "neutral" from "buy"

** BofA cuts PT to $30 from $33, implying a 14.5% upside to stock's last close

** "We are downgrading as margin expansion in phosphate fertilizers is likely delayed a year" - BofA

** BofA remains bullish on phosphates with expectations of sustained price strength, but says inflationary pressure on raw materials due to the Iran conflict complicates profit outlook

** Says cash flow will remain pressured by another year of elevated capex, while muted earnings could keep the shares rangebound until the backdrop improves

** 9 of 21 brokerages rate the stock "buy" or higher, 10 "hold" and 2 "sell"; median PT is $32 - data compiled by LSEG

** Including session's moves, MOS up 2.5% YTD

(Reporting by Sumit Saha in Bengaluru)

((Sumit.Saha@thomsonreuters.com;))