UPDATE: Topeka Capital Markets Upgrades Monsanto to Buy on Improved Risk Profile
Topeka Capital Markets raised its rating on Monsanto (NYSE: MON) from Hold to Buy with a $107 price target.
Topeka Capital Markets said, "When initiating coverage with a Hold rating in Sept., we acknowledged MON's positive commercial momentum, and anticipated positive Ag fundamentals – particularly in corn –would remain a favorable tailwind for the Company. These aspects of the MON story remain intact. Our cautiousness was based primarily on perceptions regarding questions about the diminishing effectiveness of certain biotech traits, which could ultimately undermine MON's valuation, along with perceived uncertainty regarding the impending expiration of MON's RR patent in 2014. We now believe these potential issues could be less acute, if not benign, at least in the relatively near-term."
Monsanto closed at $88.42 on Monday.
(c) 2013 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.