With 2012 just beginning, now's a smart time to gauge how the stocks you're interested in are likely to do this year and beyond. By knowing what stock analysts and fellow investors expect from a stock, you'll be smarter about whether you should buy it for your portfolio -- or sell it if you already own it.
Today, let's take a look at Rentech
Forecasts on Rentech
|Median Target Stock Price||$2|
|Fiscal 2012 EPS Estimate||$0.10|
|Fiscal 2013 EPS Estimate||($0.02)|
Source: S&P Capital IQ.
Will Rentech grow in 2012?
Rentech faces a mixed bag of expectations. Analysts are somewhat neutral on the stock, with an aggressive price target but weak long-term expectations for earnings. Motley Fool CAPS members have a similar middle-of-the-road impression of the company.
Those mixed feelings may come from the company's two competing directions. On the fertilizer front, Rentech can depend on favorable conditions in the agricultural markets to provide valuable cash. Terra Nitrogen
At the same time, biofuel represents a potential long-term gold mine for Rentech, despite its being in early stage development. The company has a huge advantage over rival Amyris
Obviously, Rentech's success will depend on commodity prices in both the ag and energy sectors. High crop and oil prices could give Rentech another great year in 2012.
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