(1888PressRelease)
March 27, 2009 - Mira, Portugal – SADIF Investment Analytics SA, today announced the release of a new equity research report covering PotashCorp (POT). The report utilizes SADIF's powerful StockMarks™ stock rating system and is required reading for any current or potential PotashCorp investor.
Report Summary: Shares in Canadian agriculture products company Potash Corporation of Saskatchewan fell in-line with the TSX Composite Index since March 2008, dropping just over 33%. Farmers globally have cut back on fertilizer use due to frozen credit markets, with this effect peaking in the fourth quarter of 2008. Nevertheless, during the third quarter the company's quarterly profit exceeded PotashCorp's 2007 total profit. As the largest potash producer in the world PotashCorp has significant control over the material's wholesale price. The company announced that it will curtail 2009 production of potash by a further 1.5M tonnes bringing production reductions from the company's curtailment program to at least 3.5M tonnes during 2009. However, PotashCorp CEO Bill Doyle believes that the weakness in demand seen in the past quarter is not sustainable and that farmers are simply deferring demand rather than reducing demand for fertilizer products.
PotashCorp management believes that the company is in a good position for the future due to the ever-increasing demand for crops. However, in order to objectively assess the company's long-term outlook, we should focus on the company's underlying long-term fundamentals. We can analyze the company's fundamentals through the use of the StockMarks framework. PotashCorp currently has an overall long-term investment attractiveness rating (Totals StockMark or SMT) of 50, placing the company in-line with the Canadian market average. This rating places the company sixth when compared to ten of its closest peers, selected on the basis of similarity of business, market positioning factors such as size and share comparisons.
The complete report breaks down the Total StockMark into its three components – Business, Management and Price, performing a thorough analysis of PotashCorp for long-term investors.
A summary of the StockMarks™ ratings for PotashCorp is available here:
http://sadifanalytics.com/stockmarks/company.php?ticker=POT&cod_country=18
The report has been distributed to Reuters, and forwarded to Yahoo Finance and FT.com. It is available under 'Analyst Reports' from these websites, from multiple professional platforms including Reuters Knowledge, TheMarkets.com and Thomson Research or directly from SADIF-Investment Analytics SA at:
http://sadifanalytics.com/stockmarks/article/hist_article.php?cod_country=18
About SADIF-Investment Analytics SA:
SADIF-Investment Analytics SA is an independent investment research company covering sixteen different markets and over 12,000 companies. The StockMarks™ system is based on proven investment principles and is designed to drive long-term shareholder returns.
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