Here's Why CVR Partners Dropped 26.7% in August
Remember when nitrogen fertilizer selling prices slipped to multiyear lows in the second half of 2016 before sharply recovering entering into this year? Well, the recovery proved to be a temporary affair. Spot prices are now threatening the lows from last year, which would mark the absolute lowest market prices in well over 10 years save for the brief depth of the Great Recession.
That helps to explain why nitrogen fertilizer specialist CVR Partners LP (NYSE: UAN) dropped nearly 27% in August. Continuously falling revenue and earnings have kept the master limited partnership from distributing its profits to shareholders because, well, it hasn't actually made any money in the first half of 2017. The company did manage to distribute $0.02 per share recently -- the first payment in nearly one year -- but that's a far cry from the days when four payments of at least $0.40 per share were made in a single calendar year.
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Source: Fool.com
