According to Zacks, “Monsanto intends to improve its business on the back of Bayer’s all-cash buyout deal. However, the deal has yet not passed through any regulatory hurdles. Monsanto’s earnings and revenues are currently hurt due to some major headwinds. Weak agricultural product prices are lowering investments made by farmers, hence weighing the demand for agro-products offered by Monsanto. Moreover, a stronger U.S. dollar is boosting the power of smaller rivals in low-cost nations. Persistence of these two issues would further hamper Monsanto’s results in the quarters ahead. Also, unfavorable climatic conditions or any new government restriction introduced in the usage of genetically modified crops might adversely affect the company’s near term results.”
Several other equities analysts have also recently commented on the stock. Deutsche Bank AG reissued a buy rating on shares of Monsanto in a research note on Thursday, October 6th. Barclays PLC restated a hold rating and set a $110.00 price objective on shares of Monsanto in a research report on Thursday, October 6th. Monness Crespi & Hardt reduced their price objective on shares of Monsanto from $130.00 to $128.00 and set a buy rating for the company in a research report on Monday, October 3rd. Goldman Sachs Group Inc. upgraded shares of Monsanto from a sell rating to a neutral rating and set a $104.00 price objective for the company in a research report on Tuesday, September 27th. Finally, Sanford C. Bernstein upgraded shares of Monsanto from an underperform rating to a market perform rating and raised their price objective for the company from $82.81 to $105.00 in a research report on Monday, September 26th. Three analysts have rated the stock with a sell rating, eight have assigned a hold rating, fourteen have given a buy rating and one has given a strong buy rating to the company. The stock currently has an average rating of Buy and a consensus price target of $114.65.
Shares of Monsanto (NYSE:MON) opened at 102.32 on Friday. Monsanto has a 52 week low of $83.73 and a 52 week high of $114.26. The firm has a market capitalization of $44.79 billion, a price-to-earnings ratio of 34.24 and a beta of 1.19. The company’s 50-day moving average is $104.66 and its 200 day moving average is $101.70.
Monsanto (NYSE:MON) last released its earnings results on Wednesday, October 5th. The company reported $0.07 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of ($0.02) by $0.09. The firm had revenue of $2.56 billion for the quarter, compared to analysts’ expectations of $2.38 billion. Monsanto had a net margin of 9.89% and a return on equity of 46.07%. Monsanto’s quarterly revenue was up 8.8% on a year-over-year basis. During the same quarter last year, the company earned ($0.19) EPS. Analysts anticipate that Monsanto will post $4.89 EPS for the current fiscal year.
The business also recently disclosed a quarterly dividend, which will be paid on Friday, October 28th. Stockholders of record on Friday, October 7th will be paid a $0.54 dividend. The ex-dividend date of this dividend is Wednesday, October 5th. This represents a $2.16 annualized dividend and a dividend yield of 2.11%. Monsanto’s payout ratio is 71.05%.
In related news, Director Charles S. Mcmillan acquired 3,500 shares of the stock in a transaction dated Monday, October 10th. The shares were acquired at an average price of $103.23 per share, for a total transaction of $361,305.00. Following the completion of the purchase, the director now owns 64,009 shares in the company, valued at approximately $6,607,649.07. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at the SEC website. Also, EVP Steven Mizell sold 310 shares of the firm’s stock in a transaction on Monday, October 10th. The stock was sold at an average price of $103.09, for a total transaction of $31,957.90. The disclosure for this sale can be found here. 0.88% of the stock is currently owned by insiders.
Large investors have recently made changes to their positions in the company. WFG Advisors LP increased its stake in Monsanto by 18.6% in the second quarter. WFG Advisors LP now owns 1,009 shares of the company’s stock worth $104,000 after buying an additional 158 shares in the last quarter. Signaturefd LLC increased its stake in Monsanto by 62.1% in the second quarter. Signaturefd LLC now owns 1,083 shares of the company’s stock worth $112,000 after buying an additional 415 shares in the last quarter. Mycio Wealth Partners LLC increased its stake in Monsanto by 1.1% in the second quarter. Mycio Wealth Partners LLC now owns 1,094 shares of the company’s stock worth $113,000 after buying an additional 12 shares in the last quarter. Pinkerton Retirement Specialists LLC increased its stake in Monsanto by 1,179.1% in the second quarter. Pinkerton Retirement Specialists LLC now owns 1,100 shares of the company’s stock worth $114,000 after buying an additional 1,014 shares in the last quarter. Finally, Enterprise Financial Services Corp increased its stake in Monsanto by 4.5% in the second quarter. Enterprise Financial Services Corp now owns 1,335 shares of the company’s stock worth $138,000 after buying an additional 57 shares in the last quarter. Institutional investors and hedge funds own 79.02% of the company’s stock.
Monsanto Company Profile
Monsanto Company (Monsanto), along with its subsidiaries, is a provider of agricultural products for farmers. The Company provides seeds, biotechnology trait products, herbicides and precision agriculture tools to farmers. The Company operates through two segments: Seeds and Genomics, and Agricultural Productivity.
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