5 Best Farmland and Agriculture Stocks to Buy Today

3. The Mosaic Company (NYSE:MOS)

Number of Hedge Fund Holders: 50

The Mosaic Company (NYSE:MOS) 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. As of August 22, The Mosaic Company (NYSE:MOS) has gained 73.67% year-to-date.

On August 1, The Mosaic Company (NYSE:MOS) announced Q2 earnings per share of $3.64 and revenue of $5.37 billion, the latter up 91.85% year-over-year. On August 18, The Mosaic Company (NYSE:MOS) announced that its board of directors has declared a quarterly cash dividend of $0.15 per share, payable on September 15 to investors of record on August 31. As of August 22, The Mosaic Company (NYSE:MOS) is trading at a PE ratio of 6.19x and its stock has a forward dividend yield of 1.12%, which the company backs with free cash flow of $1.68 billion.

On August 3, Citi analyst P.J. Juvekar upgraded The Mosaic Company (NYSE:MOS) to ‘Buy’ from ‘Neutral’ and raised his price target to $61 from $57. The analyst expects agriculture stocks to outperform in an economic downturn.

At the end of Q2, 50 hedge funds were long The Mosaic Company (NYSE:MOS) with stakes worth $896 million. Soroban Capital Partners was the largest shareholder in the company with a $318 million stake.

Here is what Carillon Tower Advisers had to say about The Mosaic Company (NYSE:MOS) in its “Carillon Scout Mid Cap Fund” first-quarter 2022 investor letter:

“Despite a rally near the end of the quarter, major equity indexes closed lower as fear of U.S. Federal Reserve (FED) balance sheet tapering, interest rate hikes, and war in the Ukraine sent the bulls into retreat. Supply chains eased for some goods, but remained challenged for many commodities including energy, agriculture, and fertilizer due to war and general scarcity, and also in many consumer products as semiconductors remained in short supply. Potash and phosphate fertilizer producer Mosaic (NYSE:MOS) performed strongly as war exacerbated already short supplies of key oil and gas exploration.”