On March 23, 2023 at 11:01:47 ET an unusually large $297.50K block of Call contracts in CF Industries Holdings (CF) was sold, with a strike price of $80.00 / share, expiring in 57 days (on May 19, 2023). Fintel tracks all large options trades, and the premium spent on this trade was 1.58 sigmas above the mean, placing it in the 92.10 percentile of all recent large trades made in CF options.

This trade was first picked up on Fintel’s real time Unusual Option Trades tool, where unusual option trades are highlighted.

Analyst Price Forecast Suggests 48.03% Upside

As of March 23, 2023, the average one-year price target for CF Industries Holdings is $105.38. The forecasts range from a low of $75.75 to a high of $132.30. The average price target represents an increase of 48.03% from its latest reported closing price of $71.19.

See our leaderboard of companies with the largest price target upside.

The projected annual revenue for CF Industries Holdings is $10,100MM, a decrease of 9.71%. The projected annual non-GAAP EPS is $14.64.

What is the Fund Sentiment?

There are 1718 funds or institutions reporting positions in CF Industries Holdings. This is an increase of 24 owner(s) or 1.42% in the last quarter. Average portfolio weight of all funds dedicated to CF is 0.32%, a decrease of 11.99%. Total shares owned by institutions decreased in the last three months by 1.38% to 206,099K shares. The put/call ratio of CF is 0.86, indicating a bullish outlook.

What are Large Shareholders Doing?

Price T Rowe Associates holds 12,144K shares representing 6.20% ownership of the company. In it’s prior filing, the firm reported owning 11,790K shares, representing an increase of 2.92%. The firm decreased its portfolio allocation in CF by 10.47% over the last quarter.

VTSMX – Vanguard Total Stock Market Index Fund Investor Shares holds 5,962K shares representing 3.05% ownership of the company. In it’s prior filing, the firm reported owning 5,945K shares, representing an increase of 0.29%. The firm decreased its portfolio allocation in CF by 18.01% over the last quarter.

VIMSX – Vanguard Mid-Cap Index Fund Investor Shares holds 4,570K shares representing 2.33% ownership of the company. In it’s prior filing, the firm reported owning 4,588K shares, representing a decrease of 0.38%. The firm decreased its portfolio allocation in CF by 19.00% over the last quarter.

Geode Capital Management holds 4,544K shares representing 2.32% ownership of the company. In it’s prior filing, the firm reported owning 4,672K shares, representing a decrease of 2.81%. The firm decreased its portfolio allocation in CF by 20.38% over the last quarter.

VFINX – Vanguard 500 Index Fund Investor Shares holds 4,535K shares representing 2.32% ownership of the company. In it’s prior filing, the firm reported owning 4,517K shares, representing an increase of 0.40%. The firm decreased its portfolio allocation in CF by 18.12% over the last quarter.

CF Industries Holdings Declares $0.40 Dividend

On January 31, 2023 the company declared a regular quarterly dividend of $0.40 per share ($1.60 annualized). Shareholders of record as of February 15, 2023 received the payment on February 28, 2023. Previously, the company paid $0.40 per share.

At the current share price of $71.19 / share, the stock’s dividend yield is 2.25%. Looking back five years and taking a sample every week, the average dividend yield has been 2.60%, the lowest has been 1.09%, and the highest has been 5.44%. The standard deviation of yields is 0.81 (n=237).

The current dividend yield is 0.43 standard deviations below the historical average.

Additionally, the company’s dividend payout ratio is 0.09. The payout ratio tells us how much of a company’s income is paid out in dividends. A payout ratio of one (1.0) means 100% of the company’s income is paid in a dividend. A payout ratio greater than one means the company is dipping into savings in order to maintain its dividend – not a healthy situation. Companies with few growth prospects are expected to pay out most of their income in dividends, which typically means a payout ratio between 0.5 and 1.0. Companies with good growth prospects are expected to retain some earnings in order to invest in those growth prospects, which translates to a payout ratio of zero to 0.5.

The company’s 3-Year dividend growth rate is 0.33%, demonstrating that it has increased its dividend over time.

CF Industries Holdings Background Information
(This description is provided by the company.)

CF Industries Holdings Inc. is a leading global manufacturer of hydrogen and nitrogen products for clean energy, emissions abatement, fertilizer, and other industrial applications. The company operates manufacturing complexes in the United States, Canada, and the United Kingdom, which are among the most cost-advantaged, efficient, and flexible in the world, and an unparalleled storage, transportation and distribution network in North America. Its 3,000 employees focus on safe and reliable operations, environmental stewardship and disciplined capital and corporate management, driving its strategy to leverage and sustainably grow the world’s most advantaged hydrogen and nitrogen platform to serve customers, creating long-term shareholder value.

This article originally appeared on Fintel

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