PotashCorp's (NYSE: POT)
stock has been on the run for the past year as it climbed up from $80 to $190 barrier. However, this nice, smooth run could be disrupted by some spammers, who apparently are spreading negative information about this stock.
At 11:26AM ET yesterday, the stock had already faced major pressure sliding down nearly %5 to $191 since Friday's closing at $201.06. Ultimately, the shares closed yesterday at $180.14, down over 10% for the day and today were quoted at $178.50 in the pre-market!
From a stock chart below, you can a see a smooth stock's ride over the past year. It looks as if it had a good kick in the back and rushed to the new avalanche. But now, the stock might be at the crossroads, as unknown individuals are targeting the company's stock.
Nice and smooth ride
Well, according to the company's 2Q report there is no reason why the company's investors should really be concerned. About two weeks ago, the company said its second-quarter profit more than tripled! It seems that the company had an outstanding 2Q. The world's largest producer of crop nutrient, hit a profit record of $905.1 million for the quarter. During the same period last year, Potash made $285.7 million. Revenue jumped 94% to $2.62 billion, from $1.35 billion a year ago.
However, Potash should be worried about a possible workers strike, as almost 500 employees have been working without a new contract since April 30th, when the previous agreement expired.
At the end of the day, Potash is still looks to be an attractive investment. During the 2Q the company has performed exceptionally well, and I cannot see why this ride up should stop.