Nutrien price target raised to $85 from $80 at RBC Capital

RBC Capital raised the firm’s price target on Nutrien (NTR) to $85 from $80 and keeps an Outperform rating on the shares as part of a broader research note previewing Q1 results in Fertilizers. Fertilizer prices were higher than expected in Q1, as the Iran war restricted exports from the Middle East, a key region for nitrogen and phosphate supply, and Nitrogen in particular has been impacted, with significantly higher prices due to restricted supply and higher LNG prices pushing up global marginal costs, the analyst tells investors in a research note. RBC adds it sees continued strong operations from Nutrien, which allows the company to generate strong free cash flow and benefit when fertilizer prices enter an up-trend, such as with current higher nitrogen prices due to Iran-war related disruptions.