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CF

CF Industries Holdings NYSE:CF Stock Report

Last Price

US$85.28

Market Cap

US$17.8b

7D

-1.8%

1Y

65.3%

Updated

04 Jul, 2022

Data

Company Financials +
CF fundamental analysis
Snowflake Score
Valuation4/6
Future Growth1/6
Past Performance6/6
Financial Health5/6
Dividends5/6

CF Stock Overview

CF Industries Holdings, Inc. manufactures and sells hydrogen and nitrogen products for energy, fertilizer, emissions abatement, and other industrial activities worldwide.

CF Industries Holdings Competitors

Price History & Performance

Summary of all time highs, changes and price drops for CF Industries Holdings
Historical stock prices
Current Share PriceUS$85.28
52 Week HighUS$113.49
52 Week LowUS$43.19
Beta1.02
1 Month Change-11.04%
3 Month Change-17.02%
1 Year Change65.30%
3 Year Change87.35%
5 Year Change186.95%
Change since IPO2,532.10%

Recent News & Updates

Jul 01
We Ran A Stock Scan For Earnings Growth And CF Industries Holdings (NYSE:CF) Passed With Ease

We Ran A Stock Scan For Earnings Growth And CF Industries Holdings (NYSE:CF) Passed With Ease

It's common for many investors, especially those who are inexperienced, to buy shares in companies with a good story...

Jun 19

CF Industries: From Boom To Bust - Sell Into The Rallies

This is a dedicated price action analysis of CF Industries stock. We discuss why investors need to pay attention to its ominous double top bull trap. CF stock has come under selling pressure over the past month. But, we think the stage has been set for even more selling moving ahead. Our price action analysis suggests two significant bull traps have occurred, highlighting the market's rejection of buying momentum. It also includes a potent double top bull trap. We rate CF stock as a Sell. We urge investors to consider layering out and selling more into potential short-term rallies before the market moves into the rapid liquidation phase.

Jun 07
Why We Like The Returns At CF Industries Holdings (NYSE:CF)

Why We Like The Returns At CF Industries Holdings (NYSE:CF)

If you're not sure where to start when looking for the next multi-bagger, there are a few key trends you should keep an...

Jun 05

Mosaic Is Good, But CF Industries Is Better

Now is a good time to consider adding agricultural stocks to hedge against inflation and geopolitical uncertainties. Leading stocks like Mosaic and CF Industries are attractive candidates. Profitability is near a peak level in a decade, yet valuations are in the single-digit and very reasonable. High commodity prices, record low grain and oil seed stock and the Russian/Ukraine situation all can persist longer than anticipated and create tailwinds for both. CF Industries is the stronger buy in comparison. Its higher profitability can more than compensate for its valuation premium and leads to higher total returns.

Shareholder Returns

CFUS ChemicalsUS Market
7D-1.8%-3.1%-2.2%
1Y65.3%-12.2%-21.2%

Return vs Industry: CF exceeded the US Chemicals industry which returned -12.2% over the past year.

Return vs Market: CF exceeded the US Market which returned -21.2% over the past year.

Price Volatility

Is CF's price volatile compared to industry and market?
CF volatility
CF Average Weekly Movement7.4%
Chemicals Industry Average Movement6.9%
Market Average Movement8.1%
10% most volatile stocks in US Market16.9%
10% least volatile stocks in US Market3.3%

Stable Share Price: CF is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: CF's weekly volatility (7%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
19462,985Tony Willhttps://www.cfindustries.com

CF Industries Holdings, Inc. manufactures and sells hydrogen and nitrogen products for energy, fertilizer, emissions abatement, and other industrial activities worldwide. Its principal products include anhydrous ammonia, granular urea, urea ammonium nitrate, and ammonium nitrate products. The company also offers diesel exhaust fluid, urea liquor, nitric acid, and aqua ammonia products; and compound fertilizer products with nitrogen, phosphorus, and potassium.

CF Industries Holdings Fundamentals Summary

How do CF Industries Holdings's earnings and revenue compare to its market cap?
CF fundamental statistics
Market CapUS$17.79b
Earnings (TTM)US$1.65b
Revenue (TTM)US$8.36b

10.8x

P/E Ratio

2.1x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
CF income statement (TTM)
RevenueUS$8.36b
Cost of RevenueUS$4.56b
Gross ProfitUS$3.80b
Other ExpensesUS$2.15b
EarningsUS$1.65b

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

Aug 01, 2022

Earnings per share (EPS)7.91
Gross Margin45.42%
Net Profit Margin19.73%
Debt/Equity Ratio51.3%

How did CF perform over the long term?

See historical performance and comparison

Dividends

1.9%

Current Dividend Yield

16%

Payout Ratio
We’ve recently updated our valuation analysis.

Valuation

Is CF undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CF?

Other financial metrics that can be useful for relative valuation.

CF key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue2.6x
Enterprise Value/EBITDA4.8x
PEG Ratio-0.2x

Price to Earnings Ratio vs Peers

How does CF's PE Ratio compare to its peers?

CF PE Ratio vs Peers
The above table shows the PE ratio for CF vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average15.8x
MOS Mosaic
6.4x-31.0%US$17.0b
SQM Sociedad Química y Minera de Chile
18.4x-2.7%US$24.2b
FMC FMC
16.2x8.0%US$13.5b
CTVA Corteva
22.1x12.0%US$39.2b
CF CF Industries Holdings
10.8x-46.5%US$17.8b

Price-To-Earnings vs Peers: CF is good value based on its Price-To-Earnings Ratio (10.8x) compared to the peer average (15.8x).


Price to Earnings Ratio vs Industry

How does CF's PE Ratio compare vs other companies in the US Chemicals Industry?

Price-To-Earnings vs Industry: CF is good value based on its Price-To-Earnings Ratio (10.8x) compared to the US Chemicals industry average (15.2x)


Price to Earnings Ratio vs Fair Ratio

What is CF's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CF PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio10.8x
Fair PE Ratio5.3x

Price-To-Earnings vs Fair Ratio: CF is expensive based on its Price-To-Earnings Ratio (10.8x) compared to the estimated Fair Price-To-Earnings Ratio (5.3x).


Share Price vs Fair Value

What is the Fair Price of CF when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CF ($85.28) is trading below our estimate of fair value ($115.27)

Significantly Below Fair Value: CF is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: CF's earnings are forecast to decline next year, so we can't calculate its PEG ratio.


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Future Growth

How is CF Industries Holdings forecast to perform in the next 1 to 3 years based on estimates from 18 analysts?

Future Growth Score

1/6

Future Growth Score 1/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


-46.5%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: CF's earnings are forecast to decline over the next 3 years (-46.5% per year).

Earnings vs Market: CF's earnings are forecast to decline over the next 3 years (-46.5% per year).

High Growth Earnings: CF's earnings are forecast to decline over the next 3 years.

Revenue vs Market: CF's revenue is expected to decline over the next 3 years (-19.2% per year).

High Growth Revenue: CF's revenue is forecast to decline over the next 3 years (-19.2% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: CF's Return on Equity is forecast to be high in 3 years time (38.7%)


Discover growth companies

Past Performance

How has CF Industries Holdings performed over the past 5 years?

Past Performance Score

6/6

Past Performance Score 6/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


36.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: CF has high quality earnings.

Growing Profit Margin: CF's current net profit margins (19.7%) are higher than last year (9.5%).


Past Earnings Growth Analysis

Earnings Trend: CF has become profitable over the past 5 years, growing earnings by 36.7% per year.

Accelerating Growth: CF's earnings growth over the past year (312.3%) exceeds its 5-year average (36.7% per year).

Earnings vs Industry: CF earnings growth over the past year (312.3%) exceeded the Chemicals industry 30.2%.


Return on Equity

High ROE: CF's Return on Equity (31.6%) is considered high.


Discover strong past performing companies

Financial Health

How is CF Industries Holdings's financial position?

Financial Health Score

5/6

Financial Health Score 5/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: CF's short term assets ($3.8B) exceed its short term liabilities ($2.2B).

Long Term Liabilities: CF's short term assets ($3.8B) do not cover its long term liabilities ($4.8B).


Debt to Equity History and Analysis

Debt Level: CF's net debt to equity ratio (12.5%) is considered satisfactory.

Reducing Debt: CF's debt to equity ratio has reduced from 90.6% to 51.3% over the past 5 years.

Debt Coverage: CF's debt is well covered by operating cash flow (106.5%).

Interest Coverage: CF's interest payments on its debt are well covered by EBIT (10.7x coverage).


Balance Sheet


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Dividend

What is CF Industries Holdings's current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Cash Flow Coverage


1.88%

Current Dividend Yield

Dividend Yield vs Market

Notable Dividend: CF's dividend (1.88%) is higher than the bottom 25% of dividend payers in the US market (1.6%).

High Dividend: CF's dividend (1.88%) is low compared to the top 25% of dividend payers in the US market (4.25%).


Stability and Growth of Payments

Stable Dividend: CF's dividends per share have been stable in the past 10 years.

Growing Dividend: CF's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its low payout ratio (15.5%), CF's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: With its low cash payout ratio (10.5%), CF's dividend payments are thoroughly covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

5.8yrs

Average management tenure


CEO

Tony Will (56 yo)

8.5yrs

Tenure

US$11,685,670

Compensation

Mr. W. Anthony Will, also known as Tony, has been the Chief Executive Officer and President of CF Industries Holdings, Inc. since January 2, 2014. Mr. Will has been the Chief Executive Officer and Presiden...


CEO Compensation Analysis

Compensation vs Market: Tony's total compensation ($USD11.69M) is about average for companies of similar size in the US market ($USD13.34M).

Compensation vs Earnings: Tony's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: CF's management team is seasoned and experienced (5.8 years average tenure).


Board Members

Experienced Board: CF's board of directors are considered experienced (5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: CF insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

CF Industries Holdings, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: CF Industries Holdings, Inc.
  • Ticker: CF
  • Exchange: NYSE
  • Founded: 1946
  • Industry: Fertilizers and Agricultural Chemicals
  • Sector: Materials
  • Implied Market Cap: US$17.790b
  • Shares outstanding: 208.60m
  • Website: https://www.cfindustries.com

Number of Employees


Location

  • CF Industries Holdings, Inc.
  • 4 Parkway North
  • Suite 400
  • Deerfield
  • Illinois
  • 60015
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/07/04 00:00
End of Day Share Price2022/07/01 00:00
Earnings2022/03/31
Annual Earnings2021/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.