Nutrien is a great way to play supply disruptions in urea, ammonia, nitrogen and other fertilizer components. Demand is not going away, but constrained supply is pushing prices higher, which is good for profits. x.com 

Food inflation is about to skyrocket within months, lifting agricultural commodities. Per @kannbwx, poor crop health and a record-low planted area mean the US will produce its smallest wheat crop since 1972. The economy offsets excess central bank balance sheets through energy, food and shelter inflation, and a Strait of Hormuz disruption to 20% of oil supply implies a comparable GDP hit, with food inflation adding more. x.com 

Adecoagro has underperformed because oil prices have been suppressed, so it is likely to keep lagging for now. The original case rested on spiking urea prices and its cheap natural gas until 2027 via Vaca Muerta from the Profertil deal, and it may still win eventually. x.com  x.com 

CF Industries, Nutrien, Mosaic and ICL Group are poor long-term holdings despite surging 10-30% on the Hormuz-driven urea spike. Fertilizer shares Maersk's flaws of cyclicality, weak capital allocation and no economic moat, and amplifies them. Demand follows farmer budgets: when crop prices are high farmers splurge on inputs, and when crops fall they cut back. Urea's 80% jump to $730 a ton reflects a supply shock as Gulf exports are cut off, not a durable advantage. x.com 

CF Industries should surge as the Middle East crisis cuts fertilizer supply just as planting demand peaks. Roughly a third of the world's fertilizer moves through the Strait of Hormuz, winter planting is starting, and farmers cannot delay, so they must pay whatever the price is. Surging gas prices also raise production costs. The stock pulled back as the market priced in the strait reopening, which has not happened, and could reach $150 short term. Oil is the obvious, mostly priced trade. x.com  … Show more

AdvanSix is an under-the-radar way to profit from a Strait of Hormuz shutdown, because its US plants run on cheap domestic natural gas while overseas fertilizer and chemical rivals face soaring feedstock costs. The shutdown cuts off seaborne gas and fertilizer trade just as spring planting begins, when demand for its ammonium sulfate is inelastic. As European and Asian rivals cut output, AdvanSix can take share at peak prices. Per the WSJ, reducing the Iran threat could take a month or more. … Show more

Nutrien's downgrade to sell by UBS comes in the middle of a fertilizer shortage, which makes the call look badly misjudged. x.com 

The Hormuz-driven fertilizer shortage could flood the market with used machinery and undercut Deere's new equipment sales. Farmers who can't source or afford fertilizer plant less and get lower output with higher costs, so they defer purchases or sell equipment to raise cash. A used-equipment glut would collapse used prices, cannibalize new sales and force residual-value writedowns in Deere's financing book, as in the long 2014-16 ag downturn. Management's trough-and-recovery call ignores this. … Show more

Mosaic is a hedge against widespread famine and a massive fertilizer shortage. x.com 

CF Industries is the top stock in agriculture, a sector drawing key inflows while tech struggles. It broke out on volume about 80% above average, and the pattern targets $160 or more. x.com