), an agricultural products provider, hit a 52-week high of
$104.30 on Mar 11, as it gains momentum after reporting solid
first quarter fiscal 2013 results. Monsanto has generated a
return of approximately 8.4% year-to-date.
The company's long-term estimated earnings per share growth
rate is 11.36%. Average volume of shares traded over the last
three months came in at approximately 2,374K.
Solid First Quarter Performance
Monsanto delivered solid results for the first quarter of
fiscal 2013 and provided a positive outlook for the upcoming
quarters, which we believe drove Monsanto's shares to the 52-week
Adjusted earnings of 62 cents exceeded the Zacks Consensus
Estimate by 67.6% and the prior-year quarter's earnings by an
incredible 169.6%, driven by solid top-line growth. Also, sales
for the quarter beat both the Zacks Consensus Estimate as well as
prior year revenue, led by an increase in both the segments.
On the back of such strong results, management upped its
guidance for fiscal 2013 to a range of $4.30-$4.40 from the
previous expectations of $4.18-$4.32 per share.
The Zacks Consensus Estimates witnessed an upward bias
following solid fiscal first quarter results. The Zacks Consensus
Estimate for fiscal 2013 rose almost 3.9% to $4.55 while that for
fiscal 2014 increased 3.0% to $5.18 in the past 90 days.
In-fact, Monsanto has surpassed the Zacks Consensus Earnings
Estimate in seven out of the last eight quarters; posting an
average surprise of 19.9%.
The corn business of Monsanto is expected to flourish both in
Brazil and Argentina immensely in the coming quarters. With the
application of new R&D innovations and strategic
alternatives, Monsanto anticipates that 2013 would be its highest
revenue generating fiscal year.
Other Stocks to Consider
Monsanto holds a Zacks Rank #2 (Buy). Other stocks that are
worth a look in the basic materials sector where Monsanto
CVR Partners LP
Rentech Nitrogen Partners L.P
Air Products & Chemicals Inc.
); each carrying a Zacks Rank #2 (Buy).
AIR PRODS & CHE (APD): Free Stock Analysis
MONSANTO CO-NEW (MON): Free Stock Analysis
RENTECH NITROGN (RNF): Free Stock Analysis
CVR PARTNERS LP (UAN): Free Stock Analysis
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