(CMP) Compass Minerals - Ratings and Ratios

Compass Minerals International, Inc. is a leading provider of essential minerals across North America, the UK, and globally, operating through two primary segments: Salt and Plant Nutrition. The Salt segment is a major producer of sodium chloride and magnesium chloride products, including rock salt, evaporated salt, and magnesium chloride flakes, which are used for de-icing, consumer and industrial applications, and as ingredients in chemical production. Additionally, the company offers records management services. The Plant Nutrition segment specializes in producing sulfate of potash specialty fertilizers under the Protassium+ brand, catering to the agricultural sector, as well as turf and ornamental markets. The company also develops magnesium chloride-based fire retardant products.

With a history dating back to 1844, Compass Minerals has evolved significantly, changing its name from Salt Holdings Corporation to Compass Minerals International, Inc. in 2003. Headquartered in Overland Park, Kansas, the company has established itself as a key player in the diversified metals and mining sub-industry. Its product portfolio is diverse, serving various sectors including road de-icing, consumer goods, industrial applications, agriculture, and fire management.

Analyzing the technical data, Compass Minerals stock (CMP) is currently priced at $18.87, below its 20-day Simple Moving Average (SMA) of $19.57, indicating a short-term bearish trend. However, it is above its 50-day SMA of $16.55 and significantly above its 200-day SMA of $13.01, suggesting a longer-term bullish outlook. The Average True Range (ATR) is $0.95, representing a 5.04% daily price movement, which indicates moderate volatility.

From a fundamental perspective, Compass Minerals has a market capitalization of $834.91 million and a forward Price-to-Earnings (P/E) ratio of 24.15, suggesting that the market expects the company to grow in the future. However, the current Return on Equity (RoE) is -50.51%, indicating that the company is currently facing challenges in generating profits for its shareholders.

Forecasting the future performance of CMP based on both technical and fundamental data, it is likely that the stock will continue to experience volatility in the short term. However, given its position above the 50-day and 200-day SMAs, there is potential for long-term growth. The companys diversified product portfolio and presence in essential minerals markets are positive factors. Nonetheless, the negative RoE is a concern that needs to be addressed. If Compass Minerals can improve its profitability, the forward P/E ratio suggests there is room for the stock price to increase. Therefore, a potential strategy could be to monitor the companys progress in improving its RoE and wait for a breakout above the 20-day SMA to confirm a short-term bullish trend.