Raymond James downgrades Nutrien on valuation after rally

Raymond James analyst Steve Hansen downgraded Nutrien (NTR) to Market Perform from Outperform with an unchanged price target of $68. The firm cites valuation for the downgrade with the shares up 40% year-to-date. While the recent settlement of marquee potash contracts in China and India likely supports additional spot momentum, key benchmarks have all already staged strong moves since the end of 2024, the analyst tells investors in a research note. The firm says further upside will likely be tempered by several factors, including affordability, seasonality and supply. Meanwhile, the recent drop in corn prices “represents a clear decoupling” versus Nutrien’s “outstanding” share performance, a “dynamic that’s rarely proven sustainable,” contends Raymond James. As such, the firm stepped to the sidelines pending a more attractive entry point.