Monsanto, which was just named one of BusinessWeek’s most influential companies in the world, just reiterated its intention to double 2007 profits by 2012 in December. This is due in part to an important metric, called the global corn stocks to use, or amount of corn in stock which can be sold right now, over the global corn consumption, or the amount of corn that the world needs---this ratio is at its lowest level ever, solidifying Monsanto’s long-term economic outlook. Feed stocks to use are below the nearly 50 year average of 24%, and this all important ratio has not seen this current level in almost 35 years. With revenue of $4.2 billion in 2007, back in late December, amidst all of the economic and financial commotion, Monsanto projected that its revenue in 2009 will be around $7.2 billion to $7.4 billion and $9.5 billion to $9.75 billion by 2012. Few, if any companies have used the recent drop in the stock market to raise their revenue guidance, and given the fact that shares of Monsanto are sitting near their 52-week low, it is hard not to see how shares of Monsanto do not move substantially higher in the coming weeks ahead Monsanto which trades with a forward P/E of 12.75 has operating margins of 25.39% vs. the industry average of 17.02%, and gross margin profit of 54.35% vs. the industry average of 51.10%. Monsanto’s quarterly revenue growth is nearly double the industry average at 50.90% vs. 25.70%

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