Ag Stocks Moving Again (POT, MOS, AGU, IPI)

Ag stocks are moving sharply higher for the second straight sesson today on solid volume. While we see nothing specific today, the positive vibe from yesterday's analyst call in the sector could be behind the move.

Yesterday, Broadpoint.AmTech analyst Edlain Rodriguez made a proclamation that the "worst is over" for the sector and the negative news flow is fading.

Rodriguez noted that harvesting is nearly completed, as cooperating weather conditions have allowed farmers to make significant progress in harvesting their crops over the past few weeks. Rodriguez said "channel checks continue to indicate that as farmers complete their harvest, they appear more inclined to resume buying potash if they can salvage any Fall application."

Rodriguez raised price targets on PotashCorp (NYSE: POT), Mosaic Co. (NYSE: MOS), Agrium Inc. (NYSE: AGU) to $130, $65 and $65 from $116, $60 and $63, respectively. All are rated Buy. Intrepid Potash's (NYSE: IPI) price target was maintained a $35, also with a Buy rating.

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