Monsanto’s 2010 Earnings Estimate Cut at Citigroup (MON)

in citigroup dividend earnings Gold Gold Investing Gold Investment shares by admin — September 2, 2010 6:03 am | no comments

Seed maker Monsanto Company ( MON ) on Thursday saw its full-year 2010 earnings estimate lowered by analysts at Citigroup. The firm said it cut its estimate for MON to $2.42 per share from $2.58, citing additional restructuring charges in its Roundup unit, as well as a shift away from corn and into soybeans in Brazil. Citigroup maintained its “Buy” rating and $62 price target, however, which represents an expected upside of 15% to the stock’s Wednesday closing price of $53.99. Monsanto shares rose 20 cents, or +0.4%, in premarket trading Thursday. The Bottom Line We had removed shares of MON from our recommended list back on May 13, 2009 when the stock was trading $90.08. The company has a 2.07% dividend yield, based on last night’s closing stock price of $53.99. The stock has technical support in the $49-$50 price area. If the shares can firm up, we see overhead resistance around the $60 price level. We would remain on the sidelines for now. Monsanto Company ( MON ) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.2 out of 5 stars. Be sure to visit our complete recommended list of the Best Dividend Stocks , as well as a detailed explanation of our ratings system here .