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Zacks Analyst Interview Highlights: Total S.A., Royal Dutch Shell, BP Plc, Syngenta and Monsanto

CHICAGO, Sep 04, 2008 (BUSINESS WIRE) -- Zacks.com releases the latest Analyst Interview. Today's
interview is with senior analyst Santiago Burgaleta, who discusses Total
S.A. (NYSE: TOT), Royal Dutch Shell (NYSE: RDS.A), BP Plc
(NYSE: BP), Syngenta (NYSE: SYT) and Monsanto Co. (NYSE:
MON).

Get the most recent insight from Zacks Equity Research with the free
Profit from the Pros newsletter: http://at.zacks.com/?id=2678.

Were there any major earnings surprises in the just-reported quarter
among companies in your coverage?

In the oil sector and among commodities-based stocks, there is one. Total
S.A. (NYSE: TOT) reportednet incomeof 4.73 billion euros ($7.36
billion)versus 3.41 billion euros a year earlier. Adjusted profit was
3.7 billion euros, higher than the 3.1 billion-euro estimate we had.

Total's earnings come after European competitors Royal Dutch Shell
(NYSE: RDS.A) and BP Plc (NYSE: BP) reported earlier this week
jumps in dollar-denominated profit of 33 percent and 28 percent
respectively but exploration and production [E&P]
beat expectations on the back of stronger-than-forecast volume growth,
which is very positive going forward as investors had questioned Total's
ability to maintain production.

Total's oil and gas production was 2.353 million barrels of oil
equivalent a day in the quarter, compared with 2.322 million barrels a
day in the year-earlier period and 2.426 million barrels in the previous
quarter. Total shares have been under pressure recently as Investors
believe that Oil prices around 110 USD/barrel are unsustainable, but
TOT's production growth and valuation does not warrant such pullback. We
still believe European Refiners are pretty cheap around Europe,
especially Total, so we would use weaknesses to add to positions.

Syngenta (NYSE: SYT) also surprised on the upside asnet income
rose to $1.52 billion from $1.22 billion, a year earlier. Syngenta, the
maker of the Karate pesticide brand, raised its forecast for earnings
growth this year to more than 35 percent as farmers spend more on
chemicals and high-yielding crops.

Chief Executive Officer Mike Mack is stepping up his challenge to St.
Louis-based Monsanto Co. (NYSE: MON), the world's No. 1 seeds
maker, by expanding in genetically modified seeds that resist bugs.
Syngenta now aims for "high-teens'' earnings
growth next year, up from its "double digit''
target previously. The increase in guidance has been overlooked by
investors, but once the pullback in commodities recedes, SYT shares
should outperform.

Syngenta raised prices, joining other global chemical makers that are
seeking to defend margins against higher raw-material costs. It uses
ethyltoluene and other derivatives of oil in its chemicals, and has
predicted costs will rise by as much as $50 million this year. But cost
cutting measures will offset part of this squeeze.

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the long-term.

Continuous coverage is provided for a universe of 1,150 publicly traded
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horizons.

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About Zacks

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formed in 1978 by Leonard Zacks. As a PhD in mathematics Len knew he
could find patterns in stock market data that would lead to superior
investment results. Amongst his many accomplishments was the formation
of his proprietary stock picking system; the Zacks Rank, which continues
to outperform the market by nearly a 3 to 1 margin. The best way to
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Profit from the Pros at http://at.zacks.com/?id=4581.

Visit http://www.zacks.com/performance
for information about the performance numbers displayed in this press
release.

Disclaimer: Past performance does not guarantee future results.
Investors should always research companies and securities before making
any investments. Nothing herein should be construed as an offer or
solicitation to buy or sell any security.

SOURCE: Zacks.com

Zacks.com 
Mark Vickery 
Zacks Web Content Editor 
312-265-9380 
Visit: www.zacks.com

Copyright Business Wire 2008


 



 
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