There's only one perfect stock - Potash Corp. (POT)

Submitted by Ted Gottsegen on Mon, 03/10/2008 - 16:07

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Financial News

Potash Corp./Saskatchewan (NYSE:POT) is a stock I've been waiting to buy and now that it's under $150 a share, I'm interested. Potash is one of the few companies that raised their 2008 and 2009 guidance. The American recession means nothing to their success and vision for the future. Wall Street and the analysts covering the stock love Potash, but can it keep going?

The analysts covering Potash Corp. can't get enough of them, let's look at the past 3 months thanks to NewRatings.com:

Date	Rating	Target Price	Analyst
3/5/2008	Outperform	$ 200.00	BMO Capital Markets
2/29/2008	Buy	$ 195.00	Citigroup
1/28/2008	Strong Buy	$ 160.00	Wall Street Access
1/25/2008	Buy	$ 165.00	UBS
1/22/2008	Outperform	$ 195.00	RBC Capital Markets
1/18/2008	Sector Outperform	-	Scotia Capital Markets

	Avg. Target Price	$ 183.00

Daniel Jacome talked up Potash over an year ago and he was right on the money. Daniel can be reached at info@cevichefund.com and his call about the Bull Case for Potash should not be overlooked nor should his bright future at Ceviche Fund Partners LP.

Daniel saw what all the analysts now see in Potash Corp., a global demand for their product, and they've got the market cornered. Potash Corp is the world's largest maker of crop nutrients and they hold 75% of the world's excess capacity that can be used to supply the expected growth in demand. That demand in food is coming from an expanding middle class in China and India is boosting grain prices for years to come.

``When you see India tripling their middle class, China going from 200 million people in the middle class to 600 million people in the middle class, there is a tremendous competition for food,'' Potash Chief Executive Officer William Doyle, 57, said back on Feb 19th on Bloomberg Television.

Masters, we are all about looking for safe bets for your portfolios, and Potash Corp. is one of those gems. But everyone has caught on now, including a recent spotlight by Cramer on Mad Money. So is it too late?

Chart for Potash Corp. of Saskatchewan, Inc. (POT)

We don't think so and stock falling below $150 is great news for investors standing on the side. Just try to find one negative article on Potash Corp. that isn't just hype or some guy trying to make a name for himself. Look no further than SeekingAlpha.com for some positive feedback on Potash, happy safe investing Masters.