On Wednesday, Monsanto (NYSE: MON ) will release its latest quarterly results. Given the importance of agriculture in the world, Monsanto has seen its stock rise substantially over the past few years. But it still trails where it was in early 2008, during the height of the commodity boom. Can Monsanto regain all of its lost ground?
Monsanto makes a wide variety of chemicals and fertilizers for the agricultural industry. But the division with the most promise -- and controversy -- is its seed business, in which the company has engineered crops with a number of valuable traits in order to adapt to different growing conditions around the world. Let's take an early look at what's been happening with Monsanto over the past quarter and what we're likely to see in its quarterly report.
Stats on Monsanto
Analyst EPS Estimate
$1.61
Top 10 Undervalued Stocks To Buy For 2015: Ashland Inc. (ASH)
Ashland Inc. operates as a specialty chemicals company in the United States and internationally. Its Ashland Aqualon Functional Ingredients segment produces cellulose ethers; and specialty additives and functional ingredients. Its products offer functionality, such as thickening and rheology control; water retention; adhesive strength; binding power; film formation; protective colloid, suspending, and emulsifying action; foam control; and pH stability. The company?s Ashland Hercules Water Technologies segment manufactures papermaking chemicals and supplies specialty chemicals. It offers sizing agents, wet/dry strength additives, and crepe and release additives for tissue manufacturing; and deposit control agents, defoamers, biocides, and other process additives. This segment also provides specialized chemicals and consulting services for the utility water treatment; and performance-based feed and control systems; and monitoring devices and remote system surveillance. Its A shland Performance Materials segment manufactures and supplies specialty chemicals and customized services to the building and construction, transportation, metal casting, packaging and converting, and marine markets. It also offers unsaturated polyester and vinyl ester resins, and gelcoats; adhesives and specialty resins; and metal casting consumables and design services. The company?s Ashland Consumer Markets segment produces and markets packaged automotive lubricants, chemicals, appearance products, antifreeze, and filters to the private passenger car, light truck, and heavy duty markets. It also operates a quick-lube franchise under the name of Valvoline Instant Oil Change. The company was founded in 1918 and is headquartered in Covington, Kentucky.
Advisors' Opinion:- [By Victor Selva] ow such a promising comeback, and the drop in revenue during 2012 was anticipated by investor Jean-Marie Eveillard (Trades, Portfolio), who sold out his 3.9 million share position by the third quarter of that year.
Another industry giant, Huntsman Corporation (HUN) did show more promising results, and less volatile revenues during these last years. This, of course, has led to a high price to earnings ratio discouraging investors as we see later.
Geographically Diversified
On 2012, almost 50% of Eastman sales were generated in North America, while more than 25% were in Asia and 20% in Europe, Middle East and Africa. This diversification is to be taken into account since it guarantees long-term revenue, even if cigarette consumption decreases in some specific region (for instance, American sales declined �in recent years), which would stabilize acetate tow demands worldwide.
Industrial Background and Gurus��Preference
Eastman�� earnings per share growth was significantly higher than industry median (46.9% vs. 5.2%) but so was Huntsman��, at 46.5%. The critical difference between these two industry giants stands out by looking at their price to earnings: Eastman�� is below median (16.4 vs. 19.1) while Huntsman rose up to 130.1, thus entailing a significant price premium relative to industry peers��average.
Although Ashland does have an inferior price to earnings ratio than Eastman�� (11.5), there�� a significant difference in their earnings per share growth: 27%, probably caused by a decline in revenue.
This might have been one of the reasons that motivated investors David Dreman (Trades, Portfolio) and Joel Greenblatt (Trades, Portfolio) to significantly reduce their stake in Huntsman (both of them by more than 80% margin). In contrast, Leon Cooperman (Trades, Portfolio) and Scott Black (Trades, Portfolio), reinforced their positions in Eastman. Most notably, Ray Dalio (Trades, Portfolio)
- [By Seth Jayson]
Calling all cash flows
When you are trying to buy the market's best stocks, it's worth checking up on your companies' free cash flow once a quarter or so, to see whether it bears any relationship to the net income in the headlines. That's what we do with this series. Today, we're checking in on Ashland (NYSE: ASH ) , whose recent revenue and earnings are plotted below. - [By GuruFocus]
George Soros (Trades, Portfolio) just reported his first quarter portfolio. He buys Citrix Systems Inc, Baker Hughes Inc, Comcast Corp, Spansion Inc, etc during the 3-months ended 03/31/2014, according to the most recent filings of his investment company, Soros Fund Management LLC. As of 03/31/2014, Soros Fund Management LLC owns 305 stocks with a total value of $10.1 billion. These are the details of the buys and sells.New Purchases: BHI, CODE, CTRP, CLI, AVB, COMM, CNQ, AGO, AUY, ATML, ASH, BXMT, CSTM, AEM, CMA, ARE, CHKP, AUQ, BEAV, CX, ADSK, AALCP, BLK, AIG, BIIB, ADEP, AMRI, ARWR, ATHX, BALT, BCRX, BEAT, CFX, CLFD, CUR, CODE,Added Positions: CTXS, CMCSA, CNP, ALTR, BRCD, CBS, CRM, CHTR, CCJ, CIEN, BIDU, ALLE, ABT, CDNS, ACT,Reduced Positions: AAPL, CCI, AMT, ABBV, AAL, BITA, AL, ANGI, ARIA, CBST, BA, BIRT, EXAR,Sold Out: C, BAC, CRI, AMZN, AGN, CF, BRCM, COTY, BMY, AMCX, CAR, A, ADBE, AFL,For the details of George Soros (Trades, Portfolio)'s stock buys and sells, go to http://www.gurufocus.com/StockBuy.php?GuruName=George+SorosThis is the sector weightings of his portfolio:Technology18.9%Energy14%Healthcare8.3%Consumer Defensive8.2%Communication Services8.1%Consumer Cyclical5.4%Industrials5.1%Basic Materials4.9%Financial Services2.5%Real Estate1.9%Utilities0.5%These are the top 5 holdings of George Soros (Trades, Portfolio)1. Teva Pharmaceutical Industries Ltd (TEVA) - 10,310,041 shares, 5.4% of the total portfolio. Shares added by 10.67%2. Herbalife Ltd (HLF) - 4,901,337 shares, 2.8% of the total portfolio. Shares added by 52.9%3. EQT Corp (EQT) - 2,573,814 shares, 2.5% of the total portfolio. Shares added by 3.27%4. Adecoagro SA (AGRO) - 25,915,076 shares, 2.1% of the total portfolio.5. Halliburton Co (HAL) - 3,596,353 shares, 2.1% of the total portfolio. Shares reduced by 20.73%New Purchase: Baker Hughes Inc (BHI)George Soros (Trades, Portfolio) initiated holdings in Baker Hughes Inc. His purchase prices were between $51.82 and $65.27, with an estimated
Top 10 Chemical Companies To Invest In Right Now: Gulf Resources Inc (GURE)
Gulf Resources, Inc. (Gulf Resources), incorporated on February 28, 1989, is engaged in manufacturing and trading of bromine and crude salt, and manufacturing and selling of chemical products used in oil and gas field exploration, oil and gas distribution, oil field drilling, wastewater processing, papermaking chemical agents and inorganic chemicals. As of December 31, 2011, its products have been sold only within the People�� Republic of China. The Company operates in three segments: bromine, crude salt and chemical products. It manufactures and trades bromine and crude salt through Shouguang City Haoyuan Chemical Company Limited (SCHC), and manufactures chemical products for use in the oil industry and paper manufacturing industry through Shouguang Yuxin Chemical Industry Co., Limited (SYCI). On December 22, 2011, the Company acquired substantially all of the assets owned by Liangcai Zhang in the Shouguang City Yangkou Township Area.
Bromine and Crude Salt
The Company manufactures and distributes bromine through its wholly owned subsidiary, SCHC. Bromine (Br2) is a halogen element and it is a red volatile liquid at standard room temperature, which has reactivity between chlorine and iodine. Elemental bromine is used to manufacture a variety of bromine compounds used in industry and agriculture. Bromine is also used to form intermediates in organic synthesis. Its bromine is used in brominated flame retardants, fumigants, water purification compounds, dyes, medicines and disinfectants. Its production sites are located in the Shandong Province in northeastern China. Its production feeds include natural brine, vitriol, chlorine, sulfur and coal.
Crude Salt
The Company also produces crude salt, which is produced from the evaporation of the wastewater after its bromine production process. Once the brine is returned to the surface and the bromine is removed, the remaining brine is pumped to onsite containing pools and then exposed to natural sunshine. T! his causes the water to evaporate from the brine, resulting in salt being left over afterwards. Crude salt is the principal material in alkali production, as well as chlorine alkali production and is used in the chemical, food and beverage, and other industries.
Chemical Products
The Company produces chemical products through its wholly owned subsidiary, SYCI. The products it produces include hydroxyl guar gum, demulsified agent, corrosion inhibitor for acidizing, bactericide, chelant, iron ion stabilizer, clay stabilizing agent, flocculants agent, remaining agent, expanding agent, bromopropane, environmental friendly additive products, solid lubricant and polyether lubricant.
Gulf Resources competes with Shandong Yuyuan Group Company Limited, Shandong Haihua Group Company Limited, Shandong Dadi Salt Chemical Group Company Limited, Shandong Haiwang Chemical Company Limited, Shandong Weifang Longwei Industrial Company Limited, Shandong Caiyangzi Saltworks, Beijing Tianqing Chemical Company Limited, Shandong Weifang Shuangxing Pesticides Company Limited, Zibo Dacheng Pesticides Company Limited, Befar Group Company Limited, China Eastar (Group) Chemical Industry Company Limited and Pecome Technologies Limited.
Advisors' Opinion:- [By Roberto Pedone]
Another under-$10 basic materials player that's starting to move within range of triggering a major breakout trade is Gulf Resources (GURE), which manufactures and trades bromine and crude salt, and manufactures and sells chemical products used in oil and gas field exploration. This stock has been a favorite target of the bulls so far in 2013, with shares up sharply by 140%.
If you take a look at the chart for Gulf Resources, you'll notice that this stock has been uptrending strong for the last six months, with shares soaring higher from its low of $1.10 to its recent high of $3.10 a share. During that uptrend, shares of GURE have been consistently making higher lows and higher highs, which is bullish technical price action. That move has now pushed shares of GURE within range of triggering a major breakout trade.
Market players should now look for long-biased trades in GURE if it manages to break out above some near-term overhead resistance levels at $2.87 to its 52-week high at $3.10 a share with high volume. Look for a sustained move or close above those levels with volume that hits near or above its three-month average action of 467,986 shares. If that breakout hits soon, then GURE will set up to enter new 52-week high territory, which is bullish technical price action. Some possible upside targets off that breakout are $4 to $4.50 a share.
Traders can look to buy GURE off any weakness to anticipate that breakout and simply use a stop that sits right below some near-term support levels at $2.38 a share, or near its 50-day moving average of $2.23 a share. One can also buy GURE off strength once it starts to clear those breakout levels with volume and then simply use a stop that sits a comfortable percentage from your entry point.
- [By Paul Ausick]
Big Earnings Movers: Gogo Inc. (NASDAQ: GOGO) is up 28.3% at $24.05. Gulf Resources Inc. (NASDAQ: GURE) is up 15.8% at $2.46.
Stocks on the Move: ViroPharma Inc. (NASDAQ: VPHM) is up 25.4% at $49.38 on a $4.2 billion buyout offer from London-listed Shire. Zalicus Inc. (NASDAQ: ZLCS) is down 72.3% at $1.30 on a failed drug trial.
Top 10 Chemical Companies To Invest In Right Now: MagnaChip Semiconductor Corporation (MX)
MagnaChip Semiconductor Corporation designs and manufactures analog and mixed-signal semiconductor products for high-volume consumer applications. It operates in three segments: Display Solutions, Power Solutions, and Semiconductor Manufacturing Services. The Display Solutions segment offers source and gate drivers, and timing controllers that cover a range of flat panel displays used in liquid crystal displays (LCDs), light emitting diodes (LEDs), 3D and organic light emitting diode televisions and displays, notebooks, and mobile communications and entertainment devices. The Power Solutions segment develop, manufactures, and markets power management solutions, including metal oxide semiconductor field effect transistors, power modules, analog switches, LED drivers, DC-DC converters, voice coil motor drivers, and linear regulators. This segment offers its products for a range of devices, including LCD, LED, 3D televisions, smartphones, mobile phones, desktop PCs, notebooks , tablet PCs, and other consumer electronics, as well as for industrial applications, such as power suppliers, LED lighting, and home appliances. The Semiconductor Manufacturing Services segment manufactures various products comprising display drivers, LED drivers, audio encoding and decoding devices, microcontrollers, touch screen controllers, RF switches, park distance control sensors for automotives, electronic tag memories, and power management semiconductors. This segment offers semiconductor manufacturing services to fabless analog and mixed-signal semiconductor companies. MagnaChip Semiconductor Corporation provides its products and services to consumer electronics OEMs, subsystem designers, and contract manufacturers through a direct sales force, as well as through a network of authorized agents and distributors in the United States, Korea, Taiwan, China, Japan, Hong Kong, and Macau. The company is headquartered in Seoul, South Korea.
Advisors' Opinion:- [By Wallace Witkowski]
Shares of MagnaChip Semiconductor Corp. (MX) �fell 13% to $12.50 on moderate volume after the company said it incorrectly stated revenue and has to restate its financial statements going back to 2011. Also, the company withdrew its guidance for the fourth quarter.
- [By Brian Pacampara]
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, consumer gadget chip maker MagnaChip Semiconductor (NYSE: MX ) has earned a coveted five-star ranking.
Top 10 Chemical Companies To Invest In Right Now: Linde AG (LIN)
Linde AG is a German company engaged in the gases and engineering sector. It operates two divisions: Gases and Engineering, as core divisions, as well as Gist. The Gases Division includes Healthcare, producing medical gases; and Tonnage, as its two global business units; as well as the two business areas Merchant and Packaged Gases, offering liquefied and cylinder gases, and Electronics. The Company�� products are used in the energy sector, for steel production, chemical processing, environmental protection and welding, as well as in food processing, glass production and electronics. The Engineering division offers planning, project development and construction of turnkey industrial plants used in fields, such as petrochemical and chemical industries, in refineries and fertilizer plants, to recover air gases, to produce hydrogen and synthesis gases, to treat natural gas, and in the pharmaceutical industry. As of August 13, 2012, the Company acquired Lincare Holdings Inc. Advisors' Opinion:- [By Jake L'Ecuyer]
Shares of LIN Media LLC (NYSE: LIN) got a boost, shooting up 30.67 percent to $28.08 after Media General (NYSE: MEG) announced its plans to buy Lin Media LLC for $1.6 billion.
Top 10 Chemical Companies To Invest In Right Now: Hybrid Coating Technologies Inc (HCTI)
Hybrid Coating Technologies Inc. (HCT), incorporated on November 2, 2011, is a development-stage company. The Company's business is that of its wholly owned subsidiary, Nanotech Industries International Inc. (Nanotech). This business is the manufacturing and sale of alternative non-toxic (isocyanate-free) polyurethane, Green Polyurethane. The products manufactured and sold by the Company (Nanotech Products) comprise coating products and sealant products. Coatings and raw binder ingredients comprised of Green Polyurethane Monolithic Floor Coating and Green Polyurethane Binder and referred to as Coating Products. Sealants and adhesives comprised of Green Polyurethane and referred to as Sealant Products.
Applications for Green Polyurethane products markets include industrial and commercial buildings; civil applications for tunnels and bridges; private and public garages; chemical and food processing plants; Warehouses; Monolithic floorings for civil, industrial and military engineering; marine and aeronautic applications; industrial equipment for dairy and liquid fertilizer processing plants and delivery systems; military facilities and equipment, and protective coatings inside industrial and commercial pipes. The Company intends to establish full commercial-scale manufacturing for both of its products at Adhpro Adhesives Inc. (Adhpro Adhesives) in Magog, Quebec and Simpson Coatings Group Inc. (Simpson Coatings) in California through non-exclusive toll manufacturing agreements.
The Company competes with BASF, Sherwin Williams, PPG, Benjamin Moore, AKZO Nobel, Rust-Oleum and Sika AG.
Advisors' Opinion:- [By Peter Graham]
Last Friday, small cap stocks Tristar Wellness Solutions Inc (OTCMKTS: TWSI) jumped 14.94% while Hybrid Coating Technologies (OTCBB: HCTI) and Bulova Technologies Group, Inc (OTCMKTS: BTGI) sank 23.53% and 13.04%, respectively. It should be mentioned that only one of these small cap stocks appears to be the subject of paid promotions or investor relations type activities. So what will these three small cap stocks do for investors this week? Here is a quick reality check to help you decide on a trading or investing strategy:
- [By Peter Graham]
Small cap green stocks Hybrid Coating Technologies, Inc (OTCBB: HCTI), Pan Global Corp (OTCMKTS: PGLO) and Trans Global Group Inc (OTCMKTS: TGGI) have been getting some attention lately in various investment newsletters or alerts with two of these stocks also being the subject of some paid promotions. But will these small cap green stocks actually deliver some green in the form of greenbacks for investors? Let�� take off the green eyeshades and take a closer look:
Hybrid Coating Technologies, Inc (OTCBB: HCTI) Has Expanded Its Green TechnologySmall cap Hybrid Coating Technologies, Inc is a San Francisco-based innovator focused on improving the quality and safety of coatings and paint for industrial and commercial customers around the world and it�� the exclusive licensee of Green Polyurethane(TM) coatings and paint - the world's first-ever patent protected polyurethane-based coatings and paint products which eliminate toxic isocyanates from the entire production process (licensed by Nanotech Industries, Inc). On Friday, Hybrid Coating Technologies, Inc rose 2.13% to $0.48 for a market cap of $44.27 million plus HCTI is up 20% over the past year and down 96.9% since August 2009 according to Google Finance.
Top 10 Chemical Companies To Invest In Right Now: Zoltek Companies Inc (ZOLT)
Zoltek Companies, Inc. is a holding company, which operates through wholly owned subsidiaries, Zoltek Corporation, Zoltek Zrt., Zoltek de Mexico SA de CV, Zoltek de Occidente SA de CV, Engineering Technology Corporation (Entec Composite Machines), Zoltek Properties, Inc., and Zoltek Automotive, LLC. Zoltek Corporation (Zoltek) develops, manufactures and markets carbon fibers and technical fibers in the United States. The Company is an applied technology and advanced materials company. It commercialization of carbon fiber through composites used in a range of commercial products, which it sells under the Panex trade name. In addition to manufacturing carbon fiber, it produces an intermediate product, a stabilized and oxidized acrylic fiber used in flame- and heat-resistant applications, which it sells under the Pyron trade name. During fiscal year ended September 30, 2011 (fiscal 2011), its net sales to Vestas Wind Systems, a wind turbine manufacturer represented % of its net sales. In October 2011, Zoltek purchased a building in St. Peters, Missouri to house its prepreg operations.
Zoltek Zrt. is a Hungarian subsidiary that manufactures and markets carbon fibers and technical fibers and manufactures acrylic fiber precursor raw material used in production of carbon fibers and technical fibers. Zoltek de Mexico SA de CV and Zoltek de Occidente SA de CV are Mexican subsidiaries that manufacture carbon fiber and precursor raw material. Entec Composite Machines manufactures and markets filament winding and pultrusion equipment used in the production composite parts. The Company�� sales markets are in Europe and the United States. The Company has manufacturing plants in Nyergesujfalu, Hungary, Guadalajara, Mexico, Abilene, Texas and St. Charles, Missouri. Its Texas plant houses carbon fiber manufacturing lines and value-added processing capabilities. Its Missouri plant is engaged in the production of technical fibers for aircraft brake and other friction applications and also produces limited! amounts of carbon fibers. In addition, it has facilities in Salt Lake City, Utah where it designs and builds composite manufacturing equipment and produce resin pre-impregnated carbon fibers, called prepregs. It performs certain downstream processing, such as weaving, knitting, blending with other fibers, chopping and milling and preparation of pre-form, pre-cut stacks of fabric. In addition, its Salt Lake City-based Entec Composite Machines subsidiary designs and builds composite manufacturing equipment and markets the equipment along with manufacturing technology and materials. It also provides composite design and engineering for development of applications for carbon fiber reinforced composites.
The Company competes with Hexcel Corporation, Cytec Industries, Toray Group, Toho Tenax, Mitsubishi Chemical and SGL Carbon.
Advisors' Opinion:- [By Lauren Pollock]
Toray Industries Inc.(3402.TO), the global market leader in carbon fiber, agreed to buy smaller rival Zoltek Cos.(ZOLT) in a deal valued at $584 million. The Japanese synthetic-fiber maker offered $16.75 a share, a 9.5% discount to Thurday’s close. Zoltek has struggled amid what it has called a cyclical downturn in the wind energy market. Zoltek shares dropped 10% to $16.58 in light premarket trading.
- [By Maxx Chatsko]
Shares of world-leading carbon fiber manufacturer�Zoltek� (NASDAQ: ZOLT ) �have been pushed to new highs after a frantic attempt by Quinpario Partners to acquire a large position in the company. Despite being turned away by management, the fund does make valid points about the company's general lack of progress given its global scope and potential. Investors in this business built around a game-changing material may be worrying whether shares are about to fall back to earth. In the following video, Fool.com contributor Maxx Chatsko gives at least one reason for investors to think that shares can hold their current levels -- or even trek higher.
- [By Maxx Chatsko]
3. Zoltek (NASDAQ: ZOLT )
Zoltek was an interesting investment at the beginning of the year for futurist investors. The company is one of the largest manufacturers of carbon fiber in the world. In fact, its lightweight and high-strength carbon fiber is used almost exclusively in the largest wind turbine blades around the world and played a major role in America's 20-fold improvement in breezy energy capacity since 2000. This material of the future has many other uses and potential uses as well, but Zoltek has never really gained the confidence of the market in any big way: Its market cap was hovering near $300 million at the start of the year.
Top 10 Chemical Companies To Invest In Right Now: Huntsman Corporation(HUN)
Huntsman Corporation engages in the manufacture and sale of differentiated organic and inorganic chemical products worldwide. The company offers polyurethane chemicals, including methyl diphenyl diisocyanate, propylene oxide, polyols, propylene glycol, thermoplastic polyurethane, aniline, and methyl tertiary-butyl ether products, which are used to produce rigid and flexible foams, as well as coatings, adhesives, sealants, and elastomers; and performance products, such as amines, carbonates, surfactants, linear alkyl benzene, maleic anhydride, performance chemicals, ethylene glycol, olefins, and technology licenses. It also provides advanced materials comprising epoxy resin compounds and formulations; cross-linking, matting agents, and curing agents; and epoxy, acrylic and polyurethane-based adhesives, and tooling resin formulations. In addition, Huntsman Corporation offers textile chemicals, dyes, and titanium dioxide. The company?s products are used in various applicatio ns, including adhesives, aerospace, automotive, construction products, durable and non-durable consumer products, electronics, medical, packaging, paints and coatings, power generation, refining, synthetic fiber, textile chemicals, and dye industries. Huntsman Corporation was founded in 1970 and is based in Salt Lake City, Utah.
Advisors' Opinion:- [By Tim Brugger]
Houston-based Oxid, a product developer in the urethane industry, will be acquired by Salt Lake City-based chemical manufacturer�Huntsman (NYSE: HUN ) for an undisclosed amount, Huntsman�announced today.
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