Big Fertilizer Names Hit By Citi Downgrades

Citigroup is out with some comments on a pair of big fertilizer names today and the news is not bullish. That may be what's behind a glum performance for the Agricultural Chemical and Fertilizer Stocks Index, which is down 1.1%. The Index is down about 5% in the past month.

Citigroup pared its ratings on Potash Corp of Saskatchew (NYSE: POT - News), the world's largest fertilizer producer, and Mosaic Company (NYSE: MOS - News), North America's second-largest producer of crop nutrients, to "hold" from "buy," citing valuation and a lack of near-term catalysts. Citi lowered its price target on Potash to $60 from $67 and reduced its price target on Mosaic to $84 from $92. Shares of Mosaic are down 2% while Potash is lower by 3%.

CF Industries Holdings (NYSE: CF - News) is down 1% despite analyst Gleacher saying the stock's valuation is "compelling." The research firm has a "buy" rating and $165 price target on CF Industries.

Agrium (NYSE: AGU - News) is also down 1% while Intrepid Potash (NYSE: IPI - News) and Monsanto Company (NYSE: MON - News) are both down 3%.