NEW YORK (TheStreet) -- Shares of Monsanto (MON) are gaining 0.63% to $100.61 in midday trading on Tuesday ahead of the company's 2016 fiscal third quarter results, due out before tomorrow's opening bell.
Wall Street is expecting the St. Louis-based agricultural products company to report earnings of $2.40 per share on revenue of $4.49 billion.
During the same quarter last year, Monsanto earned $2.39 per share on revenue of $4.58 billion.
Last month, Monsanto rejected an initial $62 billion takeover bid from Leverkusen, Germany-based Bayer (BAYRY), saying it was "inadequate." Monsanto said it is open to further talks.
Weaker-than-expected results for the third quarter would undermine the company's defense, according to Jonas Oxgaard, an analyst at Sanford C. Bernstein, Bloomberg noted.
"What I'm looking for is whether this second quarter weak showing in North America is continuing, or was that a momentary blip," Oxgaard told Bloomberg. That "has strong implications for the entire business."
Although Bayer plans to finance the deal with dollar-denominated debt, the offer has become more expensive after euro's recent slide against the U.S. dollar following the U.K.'s decision to exit the European Union, Oxgaard added.
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B on the stock.
The company's strengths can be seen in multiple areas, such as its expanding profit margins and notable return on equity.
The team believes its strengths outweigh the fact that the company has had somewhat weak growth in earnings per share.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: MON