Miller Tabak reported on Tuesday that it has lowered its price target on agricultural company, Agrium Inc. (AGU).
The firm has reiterated a “Hold” rating on AGU, and has reduced the company’s price target from $104 to $101. This price target suggests that the stock remain flat at its current price of $99.28.
An analyst from the firm commented, “although our initial top-line Q1 estimate was below consensus, we are trimming our Q1 revenue assumption again to $3.55bn from $3.65bn or below consensus of $3.67bn. We now expect retail revenue to decline by 1-3% y/y vs. +2-4% previously. We note that a prolonged winter in Canada and late winter storms in the US corn-belt have pushed spring planting back by 2-4 weeks depending on locale. Furthermore, the magnitude of y/y linearity has been difficult to peg, due to a record early start last year and a head fake by Punxsutawney Phil this year.”
Agrium shares were mostly flat during premarket trading Tuesday. The stock has increased 15% in the past year.
The Bottom Line
Shares of Agrium Inc. (AGU) have a 1.01% yield, based on Monday’s closing price of $99.28.
Agrium Inc. (AGU) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.