Goldman Sachs Suggests Selling Strangles on Monsanto Company (MON)

Goldman Sachs is out with a research note this morning, where it suggests that traders look to sell strangles on Monsanto Company MON. Goldman Sachs Chemicals analyst, Robert Koort, is Buy rated on shares and sees 14% upside to his $80 12-mth price target. However, with options implying a +/-5% implied move, vs. +/-2% median 8 quarters, and guidance already set for the year, the analysts recommend selling volatility in MON. MON reports earnings on April 6th. Goldman suggests selling the May $75/65 strangle against long stock for $2.67. Monsanto Company, along with its subsidiaries, is a provider of agricultural products for farmers. The company's seeds, biotechnology trait products, and herbicides provide farmers with solutions that improve productivity, reduce the costs of farming, and produce better foods for consumers and better feed for animals.