Archer Daniels Midland Company (NYSE:ADM) Receives $55.50 Consensus PT from Brokerages

Key Points

• Brokerages have assigned Archer Daniels Midland Company an average rating of "Hold", with one sell and one buy recommendation among the eight analysts covering the stock.
• The company's latest quarterly earnings exceeded expectations, reporting $0.93 EPS against a consensus estimate of $0.88, though revenue declined by 4.9% year-over-year.
• Archer Daniels Midland recently declared a quarterly dividend of $0.51, yielding approximately 3.3% annually, with a high dividend payout ratio of 89.87%.

Archer Daniels Midland Company (NYSE:ADM - Get Free Report) has been given an average recommendation of "Hold" by the eight brokerages that are presently covering the company, MarketBeat Ratings reports. One research analyst has rated the stock with a sell rating, six have assigned a hold rating and one has assigned a buy rating to the company. The average twelve-month price target among brokers that have updated their coverage on the stock in the last year is $55.50.

Several brokerages have recently issued reports on ADM. Wall Street Zen upgraded Archer Daniels Midland from a "sell" rating to a "hold" rating in a research report on Saturday, August 9th. Barclays upgraded Archer Daniels Midland from an "underweight" rating to an "equal weight" rating and lifted their price target for the company from $50.00 to $61.00 in a research report on Wednesday, August 6th. UBS Group restated a "buy" rating and issued a $70.00 target price (up from $60.00) on shares of Archer Daniels Midland in a report on Monday, August 11th. Morgan Stanley lifted their target price on Archer Daniels Midland from $47.00 to $57.00 and gave the stock an "equal weight" rating in a report on Tuesday, August 12th. Finally, JPMorgan Chase & Co. began coverage on Archer Daniels Midland in a report on Wednesday, August 20th. They issued a "neutral" rating and a $61.00 target price on the stock.

Institutional Trading of Archer Daniels Midland

Hedge funds and other institutional investors have recently modified their holdings of the business. Valeo Financial Advisors LLC acquired a new stake in Archer Daniels Midland during the second quarter valued at $384,000. Orion Porfolio Solutions LLC lifted its position in shares of Archer Daniels Midland by 43.9% in the second quarter. Orion Porfolio Solutions LLC now owns 49,064 shares of the company's stock worth $2,590,000 after buying an additional 14,958 shares during the last quarter. MASTERINVEST Kapitalanlage GmbH acquired a new stake in shares of Archer Daniels Midland in the second quarter worth about $716,000. TT Capital Management LLC acquired a new stake in shares of Archer Daniels Midland in the second quarter worth about $222,000. Finally, Cim Investment Management Inc. lifted its position in shares of Archer Daniels Midland by 99.7% in the second quarter. Cim Investment Management Inc. now owns 13,508 shares of the company's stock worth $698,000 after buying an additional 6,743 shares during the last quarter. Institutional investors and hedge funds own 78.28% of the company's stock.

Archer Daniels Midland Stock Performance

Shares of NYSE ADM traded up $1.38 during mid-day trading on Friday, hitting $61.24. The company had a trading volume of 167,280 shares, compared to its average volume of 3,930,478. The stock has a market cap of $29.42 billion, a price-to-earnings ratio of 27.00, a PEG ratio of 3.28 and a beta of 0.68. Archer Daniels Midland has a 12 month low of $40.98 and a 12 month high of $64.38. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.42 and a quick ratio of 0.90. The firm's 50 day simple moving average is $59.02 and its two-hundred day simple moving average is $52.52.

Archer Daniels Midland (NYSE:ADM - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The company reported $0.93 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.88 by $0.05. The business had revenue of $21.17 billion for the quarter, compared to the consensus estimate of $21.56 billion. Archer Daniels Midland had a return on equity of 8.43% and a net margin of 1.33%.The business's revenue was down 4.9% on a year-over-year basis. During the same quarter last year, the business posted $1.03 EPS. Archer Daniels Midland has set its FY 2025 guidance at 4.000-4.000 EPS. As a group, equities research analysts forecast that Archer Daniels Midland will post 4.31 earnings per share for the current year.

Archer Daniels Midland Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 10th. Stockholders of record on Wednesday, August 20th were given a $0.51 dividend. This represents a $2.04 annualized dividend and a dividend yield of 3.3%. The ex-dividend date of this dividend was Wednesday, August 20th. Archer Daniels Midland's dividend payout ratio (DPR) is 89.87%.

Archer Daniels Midland Company Profile

Archer-Daniels-Midland Company engages in the procurement, transportation, storage, processing, and merchandising of agricultural commodities, ingredients, flavors, and solutions in the United States, Switzerland, the Cayman Islands, Brazil, Mexico, Canada, the United Kingdom, and internationally. It operates in three segments: Ag Services and Oilseeds, Carbohydrate Solutions, and Nutrition.