Mosaic (MOS) Buyback A Question of Timing, Not Magnitude - Goldman
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Price: $26.31 +0.11%
Rating Summary:
11 Buy, 19 Hold, 7 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 0 | Down: 0 | New: 0
Rating Summary:
11 Buy, 19 Hold, 7 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 0 | Down: 0 | New: 0
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Yesterday it was learned that Mosaic (NYSE: MOS) was not able to reach a deal with Cargill class A shareholders that would allow share repurchases. As a result, Mosaic is not permitted to engage in open market or negotiated share repurchases until after November 26, 2013.
Commenting, Goldman Sachs analyst Adam Samuelson said, "While we view the announcement as a modest disappointment, as it means a five-month delay to the start of MOS' cash return to shareholders, we view the issue as one of timing, not ultimate magnitude. We continue to expect MOS to repurchase roughly $5bn of stock (roughly 20% of market cap) by mid-2014, consistent with the company's stated goal of optimizing its capital structure once Cargill-related buyback restrictions are removed."
Goldman Sachs has a Buy rating on Mosaic with a price target of $73.00
For an analyst ratings summary and ratings history on Mosaic (NYSE: MOS) click here. For more ratings news on Mosaic click here.
Shares of Mosaic closed at $55.91 yesterday.
Commenting, Goldman Sachs analyst Adam Samuelson said, "While we view the announcement as a modest disappointment, as it means a five-month delay to the start of MOS' cash return to shareholders, we view the issue as one of timing, not ultimate magnitude. We continue to expect MOS to repurchase roughly $5bn of stock (roughly 20% of market cap) by mid-2014, consistent with the company's stated goal of optimizing its capital structure once Cargill-related buyback restrictions are removed."
Goldman Sachs has a Buy rating on Mosaic with a price target of $73.00
For an analyst ratings summary and ratings history on Mosaic (NYSE: MOS) click here. For more ratings news on Mosaic click here.
Shares of Mosaic closed at $55.91 yesterday.
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