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AeroVironment, Monsanto, and General Mills On the Move After Earnings

Solid earnings reports send Monsanto and General Mills stocks higher

Managing Editor
Jun 28, 2017 at 10:27 AM
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U.S. stocks are slightly higher this morning, as markets react to comments from European Central Bank leaders. Among specific names on the move today are aerospace stock AeroVironment, Inc. (NASDAQ:AVAV), agriculture issue Monsanto Company (NYSE:MON), and packaged foods stock General Mills, Inc. (NYSE:GIS). Here's a quick look at what's moving shares of AVAV, MON, and GIS.

AeroVironment Volatile After Earnings

AeroVironment stock is up 0.7% to trade at $32.71, bouncing back from a negative start to the session as the company's fiscal fourth-quarter earnings beat offsets a tepid revenue forecast. As a result, Canaccord Genuity and Jefferies raised their price targets on AVAV stock to $35 and $29, respectively.

The aerospace stock has tacked on 22% year-to-date, boosted by support at its 40-day moving average. Earlier today, AVAV touched a new two-year high of $33.50.

Short sellers are backing off of AeroVironment stock amid its positive price trend. Short interest decreased by nearly 6% during the last two reporting periods, but still accounts for a robust 11.5% of the equity's float.

Monsanto Inches Higher On Earnings Beat

MON is up 1% to trade at $118.03, after the agriculture company beat expectations for fiscal third-quarter profit and sales. MON stock is up 12% year-to-date, thanks in part to its supportive 50-day moving average, and hit a two-year high of $118.47 earlier today. However, Monsanto shares are trading well below the $128 per share buyout price from Bayer, even as the company reiterated today that it's working on closing that merger by year-end.

While the share price reflects some skepticism over the buyout deal's prospects, analysts seem to be optimistic. Roughly two-thirds of brokerages covering MON stock rate it a "strong buy."

Strong Earnings Send General Mills Higher

General Mills stock is up 2% to trade at $57.28, after the cereal company's earnings report yielded a bottom-line beat amid cost-cutting efforts. Today's rally is a step in the right direction for GIS stock, which is down 7% year-to-date, and recently hit an 18-month low of $55.51 yesterday. However, today's GIS jump has so far been capped by its overhead 80-day moving average.

Given the pronounced downtrend in GIS, it's no surprise to find that analysts are largely staying on the sidelines. Ten out of 13 brokerages covering the stock rate it a "hold," with another two rating it a "strong sell."

 
 

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