CVR Partners (UAN) AI Stock Analysis

• Market Cap: $914.38M
• Dividend Yield: 10.51%
• Average Volume (3M): 25.47K
• Price to Earnings (P/E): 10.3
• Beta (1Y): 0.54
• Revenue Growth: 8.15%
• EPS Growth: 77.68%
• Country: US
• Employees: 316
• Sector: Basic Materials
• Sector Strength: 62
• Industry: Agricultural Inputs
• EPS (TTM): 3.67
• Shares Outstanding: 10,569,637
• 10 Day Avg. Volume: 16,737
• 30 Day Avg. Volume: 25,473
• PEG Ratio: -0.20
• Price to Book (P/B): 2.74
• Price to Sales (P/S): 1.53
• P/FCF Ratio: 7.08
• Enterprise Value/Market Cap: 1.54
• Enterprise Value/Revenue: 2.44
• Enterprise Value/Gross Profit: 9.47
• Enterprise Value/Ebitda: 6.85
• 1Y Price Target: $97.00
• Price Target Upside: 12.13% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 0

• Rating: 72 Outperform
• Price Target: $97.00 ▲(12.13% Upside)

CVR Partners' strong financial performance and attractive valuation are key strengths, supported by a positive earnings call outlook. However, technical indicators suggest caution due to potential bearish momentum.

Positive Factors

Revenue Growth

The recent revenue growth indicates a recovery in demand for CVR Partners' products, suggesting improved market conditions and effective sales strategies.

Operational Improvements

Increasing plant utilization and capacity expansion at the Coffeyville facility will enhance production efficiency and support future growth.

Strong Financial Performance

Strong financial metrics and cash distributions reflect robust profitability and shareholder value, reinforcing the company's financial health.

Negative Factors

High Leverage

Significant leverage could pose risks to financial stability, especially if earnings fluctuate, limiting the company's ability to invest in growth.

Declining Cash Flow

Declining cash flow generation may hinder the company's ability to fund operations and growth initiatives, impacting long-term sustainability.

Increased Operating Expenses

Rising operating expenses can pressure margins and profitability, potentially affecting the company's competitive position in the market.

CVR Partners Business Overview & Revenue Model

Company Description

CVR Partners, LP, together with its subsidiaries, engages in the production and sale of nitrogen fertilizer products in the United States. The company offers ammonia products for agricultural and industrial customers; and urea and ammonium nitrate products to agricultural customers, as well as retailers and distributors. CVR GP, LLC serves as the general partner of the company. CVR Partners, LP was incorporated in 2007 and is headquartered in Sugar Land, Texas.

How the Company Makes Money

CVR Partners generates revenue primarily through the sale of its nitrogen fertilizers, particularly UAN solution. The company operates a revenue model based on the production and distribution of these fertilizers, which are sold to agricultural retailers and directly to farmers. Key revenue streams include the sale of UAN and other nitrogen-based products, which are influenced by factors such as crop pricing, demand for fertilizers, and agricultural trends. Additionally, CVR Partners benefits from partnerships with agricultural distributors and retailers that help in expanding its market reach. The company's earnings are also significantly impacted by the global supply and demand dynamics for nitrogen fertilizers, production costs, and market pricing for raw materials.

CVR Partners Financial Statement Overview

Summary

CVR Partners demonstrates solid financial performance with strong operational efficiency and cash flow management. Despite high leverage, profitability and returns on equity are robust. However, sluggish revenue growth is a concern.

Income Statement

CVR Partners has shown a mixed performance in its income statement. The TTM (Trailing-Twelve-Months) gross profit margin stands at approximately 24.77%, which is stable. However, the net profit margin is 13.95%, indicating moderate profitability. Revenue growth has been sluggish, with a recent decline from previous periods. EBIT and EBITDA margins are healthy at 19.40% and 35.57% respectively, showcasing strong operational efficiency.

Balance Sheet

The balance sheet reflects a solid equity ratio of about 29.75%, suggesting a reasonable degree of financial stability. The debt-to-equity ratio is high at 1.90, indicating significant leverage, which could pose risks in a volatile market. Return on equity (ROE) is robust at 24.99%, highlighting effective use of shareholder funds.

Cash Flow

CVR Partners' cash flow metrics reveal a strong operating cash flow to net income ratio of 2.17, indicating good cash generation relative to net income. The free cash flow growth rate is positive, though slowing, and the free cash flow to net income ratio of 1.65 signifies efficient cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	576.18M	525.32M	681.48M	835.58M	532.58M	349.95M
Gross Profit	148.68M	118.86M	232.46M	352.37M	162.04M	24.84M
EBITDA	205.66M	178.90M	281.10M	403.16M	212.67M	41.35M
Net Income	87.96M	60.90M	172.43M	286.80M	78.16M	-98.18M
Balance Sheet
Total Assets	998.00M	1.02B	975.33M	1.10B	1.13B	1.03B
Cash, Cash Equivalents and Short-Term Investments	114.40M	90.86M	45.28M	86.34M	112.52M	30.56M
Total Debt	583.89M	585.25M	550.48M	549.73M	610.64M	639.49M
Total Liabilities	681.46M	725.65M	672.45M	688.59M	784.86M	718.64M
Stockholders Equity	316.54M	293.07M	302.88M	286.80M	342.20M	314.24M
Cash Flow
Free Cash Flow	66.83M	113.47M	219.33M	256.80M	168.13M	1.14M
Operating Cash Flow	99.52M	150.54M	243.53M	301.46M	188.72M	19.74M
Investing Cash Flow	-31.85M	-31.89M	-2.72M	-44.62M	-20.34M	-18.55M
Financing Cash Flow	-80.28M	-73.07M	-281.86M	-283.02M	-86.43M	-7.63M

CVR Partners Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 86.51
• 50DMA: Negative
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For UAN, the sentiment is Neutral. The current price of 86.51 is below the 20-day moving average (MA) of 89.26, below the 50-day MA of 88.15, and above the 200-day MA of 77.01, indicating a neutral trend. The MACD of -0.63 indicates Positive momentum. The RSI at 40.08 is Neutral, neither overbought nor oversold. The STOCH value of 15.29 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for UAN.

CVR Partners Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
UAN	72 Outperform	$914.38M	10.26	28.37%	10.51%	8.15%	77.68%
CF	71 Outperform	$13.95B	11.36	24.98%	2.34%	9.53%	36.15%
MOS	65 Neutral	$10.60B	11.33	7.80%	2.58%	-7.71%	297.49%
Sector *	61 Neutral	$10.48B	7.52	-0.05%	2.87%	2.87%	-36.73%
FMC	58 Neutral	$4.61B	46.80	2.88%	6.07%	1.16%	-92.85%
IPI	52 Neutral	$388.43M	―	-34.48%	―	11.93%	-311.34%
SMG	52 Neutral	$3.56B	78.97	4.98%	4.28%	-2.05%	―

CVR Partners Corporate Events

CVR Partners Reports Strong Q2 2025 Financial Results

CVR Partners reported a net income of $39 million and EBITDA of $67 million for the second quarter of 2025, marking an increase from the previous year’s figures. The company announced a cash distribution of $3.89 per common unit, reflecting strong market conditions for nitrogen fertilizers, despite a decrease in production compared to the previous year. The average realized gate prices for ammonia and UAN saw significant increases, contributing to the positive financial results.