Potash Corp. (POT) shares are down more than 5% on high volume, afternoon trade after the company lowered its 3rd-quarter and full-year earnings guidance Friday after the Bell.
Potash said sales volumes continue to lag as distributors are slow to replenish depleted inventories. The Canadian fertilizer seller now expects 3rd quarter earnings to come in at the low end of the range between $1.20 and 80 cents per share.
2009 full-year earnings are now projected to fall between $3.25 and $3.75, down from the company’s July guidance between $4 and $5. Potash added that it does see a return to growth in 2010 as lower levels of potash in farm soil curtails yields and production.
Shares of POT, a Zacks #4 Rank Stock (Sell), have spent most of the last 6 months trading sideways, under pressure from continued downward estimate revisions.
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