Monsanto Stock Analysis, Valuation (NYSE:MON)
Monsanto Stock Analysis
Take a look at Amigobulls Monsanto stock analysis video. This is our analyst opinion covering the buy and sell arguments for MON stock.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Monsanto Company Stock Rating 3.1/5
Amigobulls MON stock analysis uses latest quarter 2018 Q2 financial data like Monsanto revenue growth, profit margins and cash flows. We compare Monsanto valuation with its sector peers to gauge relative attractiveness of MON stock. Based on a company's historical fundamentals we arrive at Monsanto stock rating which is indicative of the company's financial performance.
Should you buy MON stock?
- The TTM operating margin was good at 22.2% for Monsanto.
- LTM Net margins were good at 17.1% for Monsanto.
- Monsanto's return on invested capital of 19.5% is good.
- The LTM ROE of 37.8% for Monsanto is attractive.
Should you sell MON stock?
- Revenue declined at a CAGR of -0.2% over the last 5 years.
- Monsanto is debt laden and has a high debt/equity ratio of 1.01.
- Cash flow from operations is low at 0.2 times the net income.
- The company is trading at a price to sales multiple of 3.8, which is higher in comparison to the Agriculture Products industry average of 1.4, making MON stock expensive.
Amigobulls Monsanto stock analysis helps investors in understanding how the company's fundamentals have performed in the last few quarters. Fundamentals of a company give detailed information which helps in making invesment decisions.
Monsanto revenue growth is an indicator of the demand for a company's products while profit margin is indicative of company's pricing power and pricing strategy. Along with fundamentals, investors can utilize technical analysis to get a better idea about the price trend of Monsanto stock.