Focus on Margins and Earnings Quality Reaps Returns for Nufarm

Nufarm is a major producer of crop-protection products, including herbicides, fungicides, and pesticides, selling into major world markets. The company is leveraged to the growing demand for crops for biofuels and food from rapidly industrializing markets such as China and India. Growth should come from astute brand and offshore business investments and from a customer-service-focused strategy. However, the global crop-protection markets are competitive, and earnings are cyclical, given a reliance on seasonal conditions.