Thursday, January 25, 2007

PotashCorp - About Us:A Fertilizer companies "take" on rising prices

chart 1 This will make the investors and management happy. The blue line is increasing margin. (Note the spike) Not as happy a item to farmers, but it does indicate a healthy business.
chart 2 The gold line indicates low inventory. Low inventory is a logistics problem for a fertilizer company, but it creates higher prices and ramped up production, good things for said company
chart 3 This chart speaks to demand. We all know prices for cereals are up. You can see the price spikes here, green is corn, red is wheat. Of course the logic is better price = more acres = more demand = higher price. Demand driven markets are great to sell into. I know I'm a salesman. Price decomes less of a issue, the buyer needs the product.
chart 4 And here's the price. Note the price spikes across the board. And this is only Nitrogen



PotashCorp - About Us I know 3 of those four charts don't enlarge that well. Link the posted link and find the charts for a better look and more information.