DuPont High On Ag

DUPONT: OUTSTANDING IN ITS FIELD

DuPont (DD) has managed to offset the weakness in end markets like construction and automotive by focusing on cost-cutting and agricultural products. As a result, the first quarter is going to look healthier than analysts, as well as the company itself, had anticipated. Given what seed and pesticide giant Monsanto (MON) had to say last week about its outlook, perhaps that’s not too surprising. Although DuPont isn’t nearly the pure-play farm-focused operator that Monsanto is, and certainly doesn’t enjoy the latter’s market-share dominence. DuPont said the quarter will come in closer to $1.29, up as much as 13% from its previous forecast, versus the $1.17 that analysts had been projecting. The market response, though, doesn’t figure to be especially effusive - shares up about two percent in pre-market - in part because the company seemed coy about the second quarter, suggesting that the results could come in below the concensus. Hard to say whether the company is simply managing expectations with a conservative forecast, or is genuinely worried about current conditions