FMC (FMC) Expects Tariff Headwinds for Q1 as Q4 Earnings Slip

FMC Corp. (NYSE:FMC) is one of the best high-upside materials stocks to buy. On February 8, FMC Corp. (NYSE:FMC) reported fourth quarter 2025 sales of $1.08 billion, down 11% year over year, and $280 million in adjusted EBITDA, down 17%, while its adjusted EPS slid 33% to $1.20.

FMC (FMC) Expects Tariff Headwinds for Q1 as Q4 Earnings Slip

For 2026, FMC Corp. (NYSE:FMC) projects full‑year sales of $3.6 billion to $3.8 billion and adjusted EBITDA of $670 million to $730 million, with first‑quarter sales down around 5% and EBITDA down nearly 60% year over year, partly due to one‑off costs and tariff headwinds. The company expects about $20 million of tariff‑related headwinds in 2026, with almost all of it hitting in the first quarter. Meanwhile, the company’s management is targeting more than $1 billion in debt reduction through asset sales and licenses, aiming to end 2026 with net debt around $3.5 billion and about a half‑turn lower leverage.

Meanwhile, on February 5, Moody’s downgraded FMC Corp. (NYSE:FMC) senior unsecured ratings to Ba1 from Baa3, pushing the agricultural chemicals company into junk status. The ratings agency also assigned a negative outlook to the company, citing challenges stemming from patent expirations of its insect-control product Rynaxypyr in multiple countries.

FMC Corp. (NYSE:FMC) is an agricultural sciences company that engages in creating products for crop protection, plant health, agriculture, pest control, and turf management. The company offers insect control products, herbicides, insecticides, flutriafol-based fungicides, and bionematicides.

While we acknowledge the risk and potential of FMC as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than FMC and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.