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CIBC Opens Coverage on CF Industries (CF) With a Neutral Stance

CF Industries Holdings, Inc. (NYSE:CF) is included among the 14 Best US Stocks to Buy for Long Term.

On December 2, CIBC analyst Hamir Patel initiated coverage on CF Industries Holdings, Inc. (NYSE:CF) with a Neutral rating and an $87 price target.

The company is investing heavily in decarbonizing production by developing low-carbon ammonia. These aspects have already helped it to gain a very high rate of return for shareholders. The company’s trailing twelve-month operating cash flow came in at $2.63 billion, with free cash flow amounting to $1.7 billion for the period. During the third quarter, CF Industries repurchased 4.3 million shares worth $364 million and also announced the completion of $3 billion share repurchase program authorized in 2022.

For the first nine months of the fiscal year, CF Industries Holdings, Inc. (NYSE:CF) reported its gross ammonia production of 7.6 million tons, compared with 7.2 million tons in the same period last year. For FY25, the company expects gross ammonia production to be approximately 10 million tons.

CF Industries Holdings, Inc. (NYSE:CF) is a manufacturer and distributor of hydrogen and nitrogen products for clean energy, fertilizers, and other industrial applications.

While we acknowledge the potential of CF as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than CF and that has a 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 15 Blue Chip Dividend Stocks to Build a Passive Income Portfolio and 15 Dividend Stocks That Outperform the S&P 500.

Disclosure: None.

The $250 Trillion AI Hype is Real. A few years from now, you’ll probably wish you’d bought this stock.

When Jeff Bezos said that one breakthrough technology would shape Amazon’s destiny, even Wall Street’s biggest analysts were caught off guard.

Fast forward a year and Amazon’s new CEO Andy Jassy described generative AI as a “once-in-a-lifetime” technology that is already being used across Amazon to reinvent customer experiences.

At the 8th Future Investment Initiative conference, Elon Musk predicted that by 2040 there would be at least 10 billion humanoid robots, with each priced between $20,000 and $25,000.

Do the math. According to Musk, this technology could be worth $250 trillion by 2040.

Put another way, that’s roughly equal to:

  • 175 Teslas
  • 107 Amazons
  • 140 Metas
  • 84 Googles
  • 65 Microsofts
  • And 55 Nvidias

And here’s the wild part — this $250 trillion wave isn’t tied to one company, but to an entire ecosystem of AI innovators set to reshape the global economy.

It’s a leap so massive, it could reshape how businesses, governments, and consumers operate worldwide.

Even if that $250 trillion figure sounds ambitious, major firms like PwC and McKinsey still see AI unlocking multi-trillion-dollar potential.

How could anything be worth that much?

The answer lies in a breakthrough so powerful it’s redefining how humanity works, learns, and creates.

And this breakthrough has already set off a frenzy among hedge funds and Wall Street’s top investors.

What most investors don’t realize is that one under-owned company holds the key to this $250 trillion revolution.

In fact, Verge argues this company’s supercheap AI technology should concern rivals.

Before I reveal the details, let’s talk about how some of the richest people on the planet are positioning themselves.

  • Bill Gates sees artificial intelligence as the “biggest technological advance in my lifetime,” more transformative than the internet or personal computer, capable of improving healthcare, education, and addressing climate change.
  • Larry Ellison — through Oracle, is spending billions on Nvidia chips and partnering with Cohere to embed generative AI across Oracle’s cloud and apps.
  • Warren Buffett — not known for tech hype — says this breakthrough could have a ‘hugely beneficial social impact.

When billionaires from Silicon Valley to Wall Street line up behind the same idea — you know it’s worth paying attention to.

Even as we admire what Tesla, Nvidia, Alphabet, and Microsoft have built, we believe an even greater opportunity lies elsewhere…

But the real story isn’t Nvidia — it’s a much smaller company quietly improving the critical technology that makes this entire revolution possible.

And judging by what I’m hearing from both Silicon Valley insiders and Wall Street veterans…

This prediction might not be bold at all:

A few years from now, you’ll wish you’d owned this stock.

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