- FMC Corp.'s (FMC +0.2%) recent move to split into two public companies, retaining its fast-growing agricultural solutions and health and nutrition segments while spinning off its slower-growing lithium and soda ash businesses, should unlock value and push shares up as much as 21%, Barron's believes.
- Croft Value Fund's Russell Croft sees the split as a good strategic move, and thinks the ag and health part of the business should trade at 17x-18x earnings with the minerals businesses 12x-13x; between the two, he projects a sum-of-the-parts in the low $90s.
- Even better, Credit Suisse's John McNulty raised his target price on FMC to $97 after the announced split, noting that each part of the business will get more targeted management, which will spur high growth and valuation creation.