The agriculture behemoth reported quarterly earnings Tuesday morning that blew past analysts' estimates, helped by growth from its Latin American corn business and early momentum in the United States.
Monsanto's stock rocketed more than 4% higher, nearly breaching the $100 mark -- a level not touched since 2008!
Shares pulled back a bit as the day wore on, which may partly be due to the company's guidance. While Monsanto upped its outlook, the numbers were still a little shy of what analysts are hoping for.
"We've achieved a successful start to the year, with contributions from multiple areas that speaks to the strength of our global business," said Monsanto CEO Hugh Grant.
Last year, the Midwestern United States faced its worst drought in 56 years, hurting crops and sending corn prices surging to record highs. At the same time, Monsanto said it was seeing strong U.S. orders in the latest quarter.
Corn is a big part of Monsanto's growth, with fiscal third quarter sales of corn seeds and traits rising 27% to $1.1 billion.
StockTwits popped with traders' comments.
That may be another reason the stock has pulled back from its earlier high. Until the planting (and growing) is underway, investors may not want to count their kernels before they're popped.
Truer words were never spoken.
Investors are a fickle bunch and to quote Jerry Maguire, they want companies to "Show me the money!" So far, it seems like Monsanto is on the right track.
Investors will have to wait until the end of the month to see if fertilizer giant Potash (POT) can jump on the bandwagon.
Not a member yet?Sign up now for a free account
|Stelter: Trump's 'hoax' tweet means the press has even more questions to ask|
|CNNMoney exclusive: Jamie Dimon on the trade war, the infrastructure 'emergency' and Trump|
|Premarket: Earnings bonanza; Shock at Fiat Chrysler; Ryanair struggles|
|Ryanair results: Profits plunge as pilot strikes continue|
|24% of Tesla Model 3 orders have been canceled, analyst says|