The analysts wrote, “We are upgrading the shares of Monsanto to BUY from Hold previously, and increasing our target price to US$89.00 from US$81.00 following the company’s announcement of increased F12 and Q3/F12 EPS guidance. Although we previously viewed Monsanto as a solid long-term company but one that looked appropriately valued today, the company has proven this year that it has been able to extract better value from its product offering. From its increased sales in its next generation products, to its improved earnings in Latin America, the US and Eastern Europe, and improved base-level contribution from Ag Productivity, while maintaining an adequate cost control, the company is setting itself up for an improved outlook in F13 and beyond as its stable of new products enters its earnings stream.”
Shares of Monsanto traded up 2.22% during mid-day trading on Wednesday, hitting $76.41. Monsanto has a 52 week low of $58.89 and a 52 week high of $83.95. The company has a market cap of $40.760 billion and a P/E ratio of 21.12.
Monsanto last announced its earnings results on Wednesday, April 4th. The company reported $2.28 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.11 by $0.17. The company’s revenue for the quarter was up 14.9% on a year-over-year basis. On average, analysts predict that Monsanto will post $-0.24 earnings per share next quarter.
A number of other analysts have also recently weighed in on MON. Analysts at Goldman Sachs (NYSE: GS) reiterated a “buy” rating on shares of Monsanto in a research note to investors on Wednesday. Separately, analysts at Piper Jaffray (NYSE: PJC) cut their price target on shares of Monsanto to $92.00 in a research note to investors on Wednesday, May 23rd. Finally, analysts at upgraded shares of Monsanto from a “sell” rating to a “neutral” rating in a research note to investors on Tuesday, May 15th.
Monsanto Company (Monsanto), along with its subsidiaries, is a provider of agricultural products for farmers.