Monsanto Soars on Bullish Outlook, $10 Billion Share Buyback Plan

TheStreet

Shares of Monsanto are soaring on Wednesday after the world's largest seed company reported a 6% drop in quarterly profit but issued a bullish fiscal-year outlook. Monsanto said it earned $858 million, or $1.62 a share, in the third quarter, down from a year ago but still topped analyst expectations of $1.56 a share, according to Thomson Reuters. The company also raised the low end of its full-year earnings outlook to $5.10 a share from $5 a share. Monsanto, which said it plans to double earnings over the next five years, also announced a $10 billion share buyback plan. In a research note, Morgan Stanley analyst Vincent Andrews calls Monsanto, "the most visible and attractive long-term growth story across the Chemicals sector."