Are Mosaic’s (MOS) Cost Cuts and Brazilian Gains Enough to Redefine Its Portfolio Strategy?

The Mosaic Company recently reported third-quarter 2025 earnings, highlighting a rise in sales to US$3.45 billion and a jump in net income to US$411.4 million versus the previous year. An important insight is Mosaic's focus on cost savings and portfolio streamlining through asset divestitures, with improved reliability driving robust results in Brazil despite market headwinds. We'll examine how Mosaic's robust Brazilian segment performance and improved phosphate production reliability influence the company’s investment narrative.

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Mosaic Investment Narrative Recap

To be a Mosaic shareholder right now means believing the company can continue to drive earnings and margin growth through operational improvements, cost control, and a strong presence in global fertilizer markets, particularly Brazil. The recent third-quarter earnings beat, with sales rising to US$3.45 billion and net income reaching US$411.4 million, reinforces the catalyst of improved asset reliability, but does not materially change the most pressing near-term risk: ongoing credit challenges in Brazil and exposure to commodity price cycles.

The completed sale of Mosaic Potássio Mineração Ltda. in Brazil is particularly relevant, as it shows Mosaic paring back non-core assets. This divestiture ties into the company’s effort to redeploy capital and boost operational efficiency in its core business, directly supporting the short-term margin and earnings improvement themes highlighted in the third-quarter results.

But while recent performance was strong, investors should be aware that ongoing credit headwinds in Brazil could still...

Read the full narrative on Mosaic (it's free!)

Mosaic's narrative projects $13.1 billion revenue and $851.3 million earnings by 2028. This requires 5.2% yearly revenue growth and a $88.7 million earnings decrease from $940.0 million today.

Uncover how Mosaic's forecasts yield a $36.69 fair value, a 47% upside to its current price.

Exploring Other PerspectivesMOS Community Fair Values as at Nov 2025

Fair value estimates from four Simply Wall St Community members range from US$34.68 to US$36.85. With Brazil’s credit constraints a central risk, you can see how perspectives on future earnings and value can vary widely; explore their opinions for more context.

Explore 4 other fair value estimates on Mosaic - why the stock might be worth as much as 48% more than the current price!

Build Your Own Mosaic Narrative

Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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A great starting point for your Mosaic research is our analysis highlighting 4 key rewards and 3 important warning signs that could impact your investment decision. Our free Mosaic research report provides a comprehensive fundamental analysis summarized in a single visual - the Snowflake - making it easy to evaluate Mosaic's overall financial health at a glance.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Companies discussed in this article include MOS.

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