09:49:17 EDT Fri 10 May 2024
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Potash Corp of Saskatchewan Inc
Symbol POT
Shares Issued 834,064,270
Close 2015-05-01 C$ 39.52
Market Cap C$ 32,962,219,950
Recent Sedar Documents

Successful Inv says keep holding Potash

2015-05-01 21:18 ET - In the News

The Successful Investor, in the May, 2015, issue, says hold Potash Corp. of Saskatchewan Inc., recently $42. The Investor said buy four times from February, 2010, to April, 2013, at prices ranging from $41 to $122 (the stock split 3 for 1 on Feb. 14, 2011). A $1,000 investment for each of the four buys is now worth $4,200. Potash Corp. has been hit by two recent setbacks. First, the government of Saskatchewan has started reviewing the way it taxes potash projects, and also plans to change the timing of tax breaks for new potash mines and expansion projects. Potash Corp. reckons that the new rules will lower its pretax earnings by $75-milion to $100-million in 2015. (To put that in perspective, the company earned $1.5-billion (U.S.) or $1.82 (U.S.) a share in 2014.) Second, Canpotex, which is owned one-third by Potash Corp. and sells potash fertilizer to customers outside Canada and the United States, has finalized its 2015 contracts with its major Chinese customers and is likely facing a lower price than before. It did not disclose the price, but potash is currently trading at around $315 (U.S.) a tonne, down from over $400 (U.S.) in mid-2013. Roughly 40 per cent of Potash Corp.'s revenue comes from bulk potash sales. Hold.

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