Looking for a big return? If you are, then it could be worth checking out the ASX 200 share in this article.
That's because if analysts at Bell Potter are on the money with their recommendation, mouth-watering returns could be on offer with this share over the next 12 months.
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Which ASX 200 share?
The share that Bell Potter is tipping as a buy is agricultural chemicals company Nufarm Ltd (ASX: NUF).
Bell Potter has been looking at industry data and believe it could be supportive of a recovery in margins. It said:
Recent peer reporting has highlighted continued margin recovery, with trade flows indicating a solid level of inventory rebuild ahead of major selling windows. Key points: Quarterly reporting: Key highlights from reporting season include: (1) average reported selling prices were down -2% YoY and volumes were up +2% YoY; and (2) gross margins (where reported) were up +120bp YoY.
Sector trade flows: Sector trade flows globally have continued to demonstrate reasonable levels of demand, with trade flows ex-China down -1% YoY and imports into major NUF markets up +11% YoY, driven by a +23% YoY uplift in the EU+UK and a +8% YoY uplift in North American import activity.
In addition, the broker highlights that omega-3 pricing indicators have been positive and weather has been favourable, which are good news for the ASX 200 share. It adds:
Pricing indicators for omega-3 oil have remained firm, with Peruvian omega-3 oil up +5% YoY, feed grade oil up +10% YoY and high-grade fishmeal up +35% YoY. These figures are comparable to pricing indicators reported by Austevoll through 1Q26, with high double-digit uplifts relative to the lows seen through 2Q25-4Q25 (i.e. 24-46% gains).
Recent rainfall has improved soil moisture profiles in Australia, EU soil moisture looks stronger in western and southern Europe than eastern Europe and three month outlooks are generally supportive. US drought monitors are better than a year ago with generally normal conditions in most belts forecast.
Big potential returns
According to the note, Bell Potter has retained its buy rating and $3.60 price target on Nufarm's shares.
Based on its current share price of $2.09, this implies potential upside of over 70% for investors over the next 12 months.
Commenting on its buy recommendation, the broker said:
We expect 1H26e to demonstrate a continuation of the margin recovery story that became evident in 2H25 in the crop protection business (and reported by peers), with a material turnaround in Omega-3 earnings (reflected in improved pricing indicators). The foundations for 2H26e selling windows look positive with the potential for prolonged Middle East conflict to elevate crop protection pricing. Demonstrating progress on deleveraging of the balance sheet in FY26e is a key catalyst to NUF bridging the gap to sector multiples (Sector at 8.0x FY26e EBITDA vs. NUF at 6.0x).
