Critical Analysis: CVR Partners (NYSE:UAN) vs. Phosphate (OTCMKTS:PHOS)

CVR Partners (NYSE:UAN) and Phosphate (OTCMKTS:PHOS) are both basic materials companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, institutional ownership, risk, valuation, earnings, profitability and analyst recommendations.

Profitability

This table compares CVR Partners and Phosphate’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CVR Partners	15.27%	29.35%	8.76%
Phosphate	N/A	N/A	N/A

Analyst Recommendations

This is a summary of recent ratings and target prices for CVR Partners and Phosphate, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CVR Partners	0	0	1	0	3.00
Phosphate	0	0	0	0	0.00

Given Phosphate’s higher possible upside, analysts clearly believe Phosphate is more favorable than CVR Partners.

Institutional & Insider Ownership

43.8% of CVR Partners shares are held by institutional investors. 0.4% of CVR Partners shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares CVR Partners and Phosphate”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CVR Partners	$525.32 million	3.02	$60.90 million	$8.32	11.15
Phosphate	N/A	N/A	N/A	N/A	N/A

CVR Partners has higher revenue and earnings than Phosphate.

Summary

CVR Partners beats Phosphate on 8 of the 9 factors compared between the two stocks.

About CVR Partners

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 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 based in Sugar Land, Texas. CVR Partners, LP is a subsidiary of CVR Energy, Inc.

About Phosphate

Phosphate Holdings, Inc., together with its subsidiary, Mississippi Phosphates Corporation, engages in the production and sale of phosphate fertilizer in Pascagoula, Mississippi. The company also exports its products. Phosphate Holdings, Inc. was incorporated in 2004 and is based in Madison, Mississippi.