There's more to Yara International (OTCPK:YARIY)
than run-of-the-mill commodity fertilizers, but I have to wonder
whether the market is already sufficiently pricing in the advantages of
the company's increasing leverage to value-added and specialty products.
The ADRs have been quite strong over the past year (up about 29%) while
most fertilizer stocks have lagged the market, and up almost 20% over
the past three months despite very weak urea prices. I don't want to
undersell the company's ability to leverage lower input costs and
premiums for its nitrate and NK sales, but the valuation already appears
to factor in a pretty healthy recovery from this trough.
Please continue here:
Yara International Offers A Tricky Balance Of Quality And Value
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