| Monsanto Upgraded to Hold on Innovations & Market Tailwinds - Analyst Blog | |
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On Apr 14, 2015, Zacks Investment Research upgraded Monsanto Company MON to a Zacks Rank #3 (Hold) from a Zacks Rank #4 (Sell) primarily on account of its business innovations and strong growth initiatives. Going by the Zacks model, companies holding a Zacks Rank #3 have chances of performing in line with the broader market.
Why the Upgrade?
In the contemporary era of food price inflation and ever-expanding population, farmers are continually concerned about increasing the crop yield. At such a juncture, demand for Monsanto’s products, which serve to increase crop productivity, is considerably increasing over time. The company enjoys a high brand status in the global modified seeds’ market. Backed by superior technological knowledge, Monsanto provides non-imitable modern agro products like modified seed traits for enhancing crop yield.
Furthermore, being an energy-intensive stock, Monsanto’s marketing expenses are declining due to lower oil prices in the global energy market. The company is strategically utilizing its liquidity to fund lucrative growth plans which would enhance its top-and bottom-line figures, going forward. For instance, through greater commercialization of its new Roundup Ready 2 Xtend soybeans, Monsanto aims to fortify its current soybean-based growth strategy. Also, in order to support the soybean, cotton and corn farmers with the Roundup Ready PLUS Crop Management solutions, the company recently extended its business relations with FMC Agricultural Solutions. Supported by these improvement initiatives, the company aims to double its earnings per share growth by 2019. We believe Monsanto’s firm commitment toward increasing its shareholders’ value will retain investors’ confidence in the stock to some extent. Furthermore, benefits reaped from success of growth plans as well as product or process-based innovations are expected to offset the negative impact of headwinds in the near term.
Stocks to Consider
Better-ranked stocks in the industry include Asanko Gold Inc. AKG, Anglo American Platinum Limited AGPPY and Accretive Health, Inc. ACHI. All three stocks hold a Zacks Rank #2 (Buy). Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report MONSANTO CO-NEW (MON): Free Stock Analysis Report ANGLO AMER PLAT (AGPPY): Free Stock Analysis Report ASANKO GOLD INC (AKG): Free Stock Analysis Report ACCRETIVE HLTH (ACHI): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research
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Asanko Gold Inc.
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CODE : AKG.TO |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Asanko Gold is a exploration company based in Canada. Asanko Gold is listed in Canada and in United States of America. Its market capitalisation is CA$ 325.5 millions as of today (US$ 231.0 millions, € 211.7 millions). Its stock quote reached its highest recent level on September 16, 2011 at CA$ 9.59, and its lowest recent point on December 15, 2017 at CA$ 0.55. Asanko Gold has 203 450 000 shares outstanding. |