Agricultural Inputs · NYSE
Current Price
$74.13
Intrinsic Value
Use the calculator below to estimate
Run a full DCF analysis on Nutrien Ltd. with auto-filled fundamentals, adjustable assumptions, and sensitivity heatmap.
Nutrien Ltd. provides crop inputs and services. It offers potash, nitrogen, phosphate, and sulfate products; and financial solutions. The company also distributes crop nutrients, crop protection products, seeds, and merchandise products through approximately 2,000 retail locations in the United States, Canada, South America, and Australia. In addition, it provides services directly to growers through a network of farm centers in North America, South America, and Australia. The company was founded in 2017 and is headquartered in Saskatoon, Canada.
ROIC (TTM)
6.3%
ROE (TTM)
9.1%
FCF Yield
5.56%
Based on trailing twelve-month data, NTR shows a free cash flow per share of N/A and a ROIC of 6.3%, key inputs for stock valuation using the DCF method. The P/FCF ratio of N/A and FCF yield of 5.56% are important context metrics when evaluating NTR's stock valuation relative to peers.
The intrinsic value of NTR depends on assumptions about future growth rate, discount rate (WACC), and terminal value. A DCF model discounts projected free cash flows back to present value — small changes in WACC can shift the estimate by 20% or more, which is why sensitivity analysis is essential.
Whether NTR is undervalued depends on comparing the DCF-derived intrinsic value to the current market price of $74.13. A positive margin of safety (intrinsic value above market price) suggests potential undervaluation, but the degree of confidence depends on the reliability of your growth and discount rate assumptions.
To perform a DCF valuation on Nutrien Ltd.: (1) Start with the trailing free cash flow per share as the base, (2) project future FCF growth over 5-10 years based on Agricultural Inputs industry trends and company fundamentals, (3) apply a discount rate (WACC) reflecting NTR's risk profile, and (4) add a terminal value for cash flows beyond the projection period.
DCF (Discounted Cash Flow) estimates what a company is worth today based on its future cash generation. For Nutrien Ltd., this means projecting how much free cash flow the Agricultural Inputs will produce over the next 5-10 years, then discounting those amounts to today's dollars. NTR's ROIC of 6.3% suggests the company may face challenges generating returns above its cost of capital.
WACC (Weighted Average Cost of Capital) is the discount rate in a DCF model — it reflects the minimum return investors require. For NTR, the capital structure and equity risk premium determine WACC. A 1% increase in WACC typically reduces the intrinsic value by 10-15%.
