SAFCO upgraded to ‘overweight’ on launch of urea plant: Albilad Capital

Saudi Arabia Fertilizers Company’s (SAFCO) stock rating was upgraded from “neutral” to “overweight” with its target price raised from SAR 111 to SAR 130 per share, after starting SAFCO 5 urea plant, Albilad Capital said in a statement.

The company’s new plant, which launched commercial operations this month, will raise urea production capacity by 1.1 million tons.

The investment firm added that the company’s Q2 net profit came close to its estimates.

SAFCO, one of the largest producers of Urea in the world, reported a net profit of SAR 595.8 million in Q2-2015.