Shares of Monsanto Co. have fallen off roughly 15% in the past two weeks as the broader market experienced a meltdown and some investors lost confidence in the agricultural space.
However, the agricultural product expert continues to have a great fundamental outlook, according to Goldman Sachs’ Robert Kron. The analyst has a “buy” rating and US$135 price target on the shares, which represents upside of roughly 22%.
Goldman’s commodities research team recently hiked its six-month forward corn price forecast by almost 50% to US$6.50 per bushel, he told clients in a note, adding “we are even more confident that near-term earnings visibility is exceptional and Monsanto is going to once again produce inspiring earnings result in 2008.”>>>MORE
