Farmer Brown here…
Just a quick follow-up to my Monsanto piece from last week.
We discussed the fact that analysts are getting antsy about seeing through the valley on the farm stocks. Today, Citigroup spit the bit on two big agriculture names. Mosaic (MOS) and Potash (POT) were both cut to hold from buy at Citi following channel checks that indicated that farmers are spending a lot less on fertilizers this fall.
The dichotomy of the ultra-bright future/ horrid near-term fundamentals continues for the ag space and analysts have ceased to ignore the ugly picture of today, despite their longer-term love affair with the “supercycle” thesis.
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