Canadian mining stocks are currently worth a fresh look from investors, particularly as various commodities face multi-year tailwinds that may not fade quickly. There is no doubt that the S&P/TSX Composite Index includes some outstanding mining companies. While investing in index funds is a viable way to gain exposure to this sector, the author believes that more value can be unlocked through selective stock picking.
From gold and silver miners to agricultural producers and energy-related companies like uranium firms, whether seeking long-term capital appreciation or dividend growth, there are high-quality options worth overweighting. This article will focus on one stock that has recently entered a correction zone (down at least 10% from its peak) and is now worth watching.
Nutrien (TSX:NTR) is one of the world’s largest crop input companies, with massive potash, nitrogen, and retail operations. The stock allows investors to gain exposure to multiple factors, including the agricultural economy, global food demand, and fertilizer pricing. Over the past year, this combination has begun to work in its favour again.
Nutrien reported a net profit of $2.3 billion for 2025 and adjusted EBITDA of $6.05 billion, driven by higher fertilizer prices, record upstream fertilizer sales volumes, and stronger retail earnings. Additionally, Nutrien expects potash demand to increase in 2026.
Meanwhile, Nutrien has been streamlining its business structure. The company sold its stake in Profertil and used the proceeds from asset sales to reduce debt while enhancing shareholder returns. In 2025, Nutrien repurchased nearly 9.8 million shares at an average price of $55.94 per share and raised its quarterly dividend to $0.55 per share.
Currently, Nutrien offers a dividend yield of 3.1%. The stock had risen sharply earlier this year but has given back a significant portion of those gains since peaking in mid-March. The stock is now down nearly 14% from its high, though it remains up about 13% year-to-date. This $47.5 billion market cap fertilizer company is no stranger to sharp volatility. With ongoing conflicts in the Middle East, there remain questions about how prices for various agricultural products will evolve.
Although forecasting future commodity prices is very difficult, Nutrien’s stock is already in oversold territory. The current pullback to below $100 per share may present a timely buying opportunity.
In summary, beyond geopolitical factors, the long-term tailwinds for increasing crop yields are what should most attract investors. Nutrien is a top-tier producer in the industry, trading at a rolling price-to-earnings ratio of just 15.5 times. At the same time, its dividend is becoming increasingly growth-oriented, supported by higher cash flows from more favourable pricing. For investors seeking greater diversification and steadily growing dividends, the recent correction may offer a timely buying opportunity.
