Nutrien Ltd. (NYSE:NTR), a major global agribusiness player, is implementing a cost reduction program to boost efficiency. The company operates in three segments: potash, nitrogen, and retail.
In Q3 2025, Nutrien beat expectations with adjusted EPS of $0.97. The nitrogen division showed particularly strong performance.
The cost reduction program targets $200 million in savings, including a 5% cut in SG&A and a 10% reduction in capital expenditures. Nutrien is also divesting non-strategic assets.
Nutrien shut down its Trinidad nitrogen facilities due to high port fees and natural gas shortages. The company maintains annual ammonia production guidance of 10.7-11.0 million tons.
Potash and retail segments are performing well. Analysts project a free cash flow yield of 9-9.5% for 2025 and 2026.
The stock trades at 6.4 times EBITDA with leverage below 2 times. Management is aggressively buying back shares and the dividend yield is 3.07%.
One major financial institution rated Nutrien shares Equal Weight, suggesting limited upside potential. The strategic review of the phosphate business continues.
