Friday Ferts & Ag Volume XLVII

Research evidence excerpt

Friday Ferts & Ag Volume XLVII

June 26, 2026

Company: Risks That May Impede Achievement of the Recommendation, Rating or Target

Price:

performance driven by variable timing of product delivery (weather often can drive

sales from one qtr into another).

FMC Corporation Upside Risks

Inventory Overhang / Generic Pressures Abate More Quickly vs. Expectations:

Latam CPC imports and generic entrants continues to be a key overhang on FMC

shares in the NT. In the event this headwind abates more quickly vs. expectations,

there could be considerable upside to shares, especially in the context of low

expectations. Mgmt's preliminary outlook also assumes no improvement in Asia -

though a easy comps could render upside to est's as Asia sales remain materially

below peak.

Downside Risks

CPC Pricing in Brazil: FMC's customers, especially in the distribution and retail

channels, are still sitting on elevated inventory levels, which may subdue demand

for FMC's products. There is risk that price headwinds remain in place into 1H given

elevated generic imports into Brazil (and generally due to difficult farm economics).

Broader Ag Macro Challenges: Concerns re: grower economics (high interest rates,

lower soft commodity prices) could drive questions re: farmers' propensity to pay

up for high quality ag inputs - with debates emerging re: the potential for farmers

to trade down in into lower quality generic CPC and/or skip discretionary CPC

applications.

Unfavorable Weather Conditions: Poor growing conditions within any of FMC's

key regions could potentially weigh on applications of CPC and/or planted area.

Inherently unpredictable weather patterns can also lead to choppy quarterly

Process Patent Infringement Case Losses: Following diamide patent expiry, court