As we reported earlier this year, Monsanto has been experiencing a downslide in their overall profits, despite continued growth in their key markets of herbicide and GMO seeds. Now, this month it has been reported that the notorious bio-tech company will have its stock downgraded as sales continue to crash.
After a series of surveys conducted through seed dealers, it was found that farmers are spending less money on Monsanto’s seeds and products.
Hedge fund manager Chris Shaw of Monness Crespi Hardt made the announcement of the downgrade earlier this month, lowering Monsanto’s target price of $140 all the way down to $127.
“We are downgrading Monsanto from Buy to Neutral, due to the findings from our seventh Annual Seed Dealer Survey, which came back the most negative for the seed industry in the history of the survey. The unprecedented results of this year’s survey has led us to be more cautious on Monsanto’s outlook for the current seed selling season,” Shaw said in a statement.
There are likely a number of factors involved in farmers backing away from Monsanto’s products. First of all, after many years of using these products farmers have began to discover that they are not what they were promised to be, and they many times come along with dangerous risks. Also, increased activism and awareness about Monsanto and their history, has inspired a widespread boycott of the company in many areas.
Check out the video below to see how you can contribute to crashing Monsanto’s stock:
John Vibes writes for True Activist and is an author, researcher and investigative journalist who takes a special interest in the counter culture and the drug war.