Based on the aggregated intelligence of 115,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, fertilizer Sociedad Quimica y Minera (NYSE:SQM), a.k.a. Chemical & Mining Co. of Chile, has earned a respected four-star ranking. While five-star stocks have been the best performers, our data has shown that four-star stocks still outshine the market by a significant margin and shouldn't be taken lightly; conversely, low-rated stocks have woefully lagged the market average.

With that in mind, let's take a closer look at SQM's business, and see what CAPS investors are saying about the stock right now.

SQM facts


Santiago, Chile (1968)

Market Cap

$5.35 billion


Fertilizers & Agricultural Chemicals

TTM Revenue

$1.42 billion


CEO Patricio Contesse (since 1990)

CFO Ricardo Ramos (since 1994)

TTM Return on Equity



Rockwood Holdings (NYSE:ROC)


CAPS members bullish on SQM also bullish on

PotashCorp (NYSE:POT)


CAPS members bearish on SQM also bearish on

Mosaic (NYSE:MOS)

JPMorgan Chase (NYSE:JPM)

Sources: Capital IQ, a division of Standard & Poor's, and Motley Fool CAPS. TTM = trailing 12 months.

Over on CAPS, fully 945 of 966 of the members who have rated SQM -- some 98% -- believe the stock will outperform the S&P 500 going forward. The All-Star bulls include rudolphsteiner and uclayoda87, both of whom are ranked in the top 15% of our community.

In June, rudolphsteiner reminded our community that SQM "claims to be the world's largest lithium producer (batteries!). Add fertilizer to that, and it might keep going up for quite a while, no doubt with some significant corrections along the way."

A more recent pitch from uclayoda87 last month shares that bullish feeling, elaborating on the stock's several long-term tailwinds:

Diversified Cash Cow.
Along with its stable fertilizer business, it has the potential for large profits from its Lithium production. Batteries for hybrid cars and storage batteries for wind and solar electricity production makes this company well positioned to benefit from new energy technology. ... Its assets maybe so valuable that it may be bought whole at a significant premium to secure control of its lithium supply.

What do you think about SQM, or any other stock for that matter? Make your voice heard on Motley Fool CAPS today. More than 115,000 investors are waiting to hear what you have to say. CAPS is 100% free, so simply click here to get started.

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Foolish contributor Brian Pacampara owns no position in any of the companies mentioned. JPMorgan Chase is a Motley Fool Income Investor recommendation. The Fool's disclosure policy always gets a perfect score.