Top 10 Newsworthy Upgrades and Downgrades

4. CF Industries Holdings, Inc. (NYSE:CF)

Number of Hedge Fund Holders: 42

CF Industries Holdings, Inc. (NYSE:CF) is one of the stocks that made it to our list of top 10 newsworthy upgrades and downgrades. On June 12, Wolfe Research downgraded the company’s stock from “Outperform” to “Peer Perform.” This comes after a recent appreciation in the company’s stock, which now reflects a limited upside potential. Notably, the company’s stock has increased by over ~10% in a month. The firm opines that the balance between risk and reward for CF Industries Holdings, Inc. (NYSE:CF) is currently balanced, while there are worries about the risks associated with narrowing natural gas spreads, mainly in H2 of the year.

Despite the downgrade, the firm continues to recognize CF Industries Holdings, Inc. (NYSE:CF) as a leading global natural gas producer, lauding its healthy FCF profile. Net sales in Q1 2025 came in at $1.66 billion as compared to $1.47 billion in Q1 2024. The average selling prices for most of the company’s major products were higher in Q1 2025 compared to Q1 2024, with higher global energy costs increasing the global market clearing price needed to meet demand. In the near term, CF Industries Holdings, Inc. (NYSE:CF) anticipates that the supply-demand balance is expected to remain constructive because of projected healthy demand from the global corn stocks-to-use ratio touching its lowest level since 2013, below average inventories, as well as tough production economics in Europe.

CF Industries Holdings, Inc. (NYSE:CF) is engaged in the manufacturing and selling of hydrogen and nitrogen products for energy, fertilizer, emissions abatement, and other industrial activities.