Mosaic (MOS) Downgraded by Barclays as Geopolitical Tensions Raise Cost Risks

The Mosaic Company (NYSE:MOS) is included among the 14 Best Dividend Stocks to Invest in Under $50.

On March 3, Barclays downgraded The Mosaic Company (NYSE:MOS) to Equal Weight from Overweight. It kept its price target unchanged at $31. The firm said the recent U.S. and Israel strikes on Iran could lead to higher ammonia input costs for phosphate production. Barclays also pointed to what it described as Mosaic’s “continued underperformance from asset issues” as a reason for the downgrade.

A day earlier, on March 2, Scotiabank lowered its price target on Mosaic to $35 from $36 while maintaining an Outperform rating on the shares. The analyst said FY25 “wasn’t great” for the company. High input costs, volume challenges, and a profit margin that “imploded” weighed on results. The firm added that its recent upgrade of the stock reflects a different outlook going forward. Profit expectations are now structurally tighter, and volume expectations have been reset. Scotiabank also believes improved free cash flow could help strengthen the company’s fundamentals. MOS was also recently included in our list of the 13 Best Long-Term Dividend Stocks to Invest in Right Now.

The Mosaic Company (NYSE:MOS) produces and markets concentrated phosphate and potash crop nutrients. Its operations are organized into three segments: Phosphates, Potash, and Mosaic Fertilizantes.

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