Archer Daniels Midland (NYSE:ADM) Hits New 52-Week High - Time to Buy?

Key Points

• Archer Daniels Midland (NYSE:ADM) reached a new 52-week high at $64.38, with a volume of over 3.3 million shares traded.
• Analysts have provided mixed ratings for ADM, with Barclays upgrading it to "equal weight" and Bank of America downgrading it to "underperform," showcasing varied outlooks on the stock's performance.
• The company announced a quarterly dividend of $0.51 per share, reflecting an annualized yield of 3.2% and a payout ratio of 89.87%.

Archer Daniels Midland Company (NYSE:ADM - Get Free Report) shares hit a new 52-week high during trading on Tuesday . The stock traded as high as $64.38 and last traded at $64.27, with a volume of 3363449 shares changing hands. The stock had previously closed at $62.92.

Wall Street Analysts Forecast Growth

A number of research analysts have recently issued reports on the company. JPMorgan Chase & Co. assumed coverage on Archer Daniels Midland in a research report on Wednesday, August 20th. They set a "neutral" rating and a $61.00 target price on the stock. Bank of America cut shares of Archer Daniels Midland from a "neutral" rating to an "underperform" rating and reduced their price objective for the stock from $47.00 to $45.00 in a research report on Thursday, May 8th. Morgan Stanley increased their price objective on shares of Archer Daniels Midland from $47.00 to $57.00 and gave the company an "equal weight" rating in a report on Tuesday, August 12th. Barclays upgraded shares of Archer Daniels Midland from an "underweight" rating to an "equal weight" rating and upped their price target for the stock from $50.00 to $61.00 in a research report on Wednesday, August 6th. Finally, UBS Group reissued a "buy" rating and set a $70.00 target price (up previously from $60.00) on shares of Archer Daniels Midland in a report on Monday, August 11th. One analyst has rated the stock with a Buy rating, six have given a Hold rating and one has assigned a Sell rating to the company's stock. Based on data from MarketBeat, Archer Daniels Midland has a consensus rating of "Hold" and an average price target of $55.50.

Archer Daniels Midland Trading Down 0.1%

The company has a quick ratio of 0.90, a current ratio of 1.42 and a debt-to-equity ratio of 0.34. The stock has a market capitalization of $30.09 billion, a price-to-earnings ratio of 27.59, a PEG ratio of 3.34 and a beta of 0.68. The company's 50-day moving average is $56.39 and its 200-day moving average is $50.71.

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

Archer Daniels Midland Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, September 10th. Shareholders of record on Wednesday, August 20th will be given a $0.51 dividend. The ex-dividend date is Wednesday, August 20th. This represents a $2.04 dividend on an annualized basis and a yield of 3.3%. Archer Daniels Midland's payout ratio is currently 89.87%.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the stock. Price T Rowe Associates Inc. MD lifted its stake in Archer Daniels Midland by 2.3% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 695,065 shares of the company's stock worth $35,115,000 after purchasing an additional 15,573 shares in the last quarter. Parvin Asset Management LLC purchased a new position in shares of Archer Daniels Midland in the 4th quarter valued at about $58,000. Mercer Global Advisors Inc. ADV acquired a new stake in Archer Daniels Midland during the 4th quarter worth $2,564,000. DoubleLine ETF Adviser LP increased its position in shares of Archer Daniels Midland by 2.3% during the fourth quarter. DoubleLine ETF Adviser LP now owns 27,149 shares of the company's stock worth $1,372,000 after purchasing an additional 619 shares in the last quarter. Finally, Aptus Capital Advisors LLC increased its position in Archer Daniels Midland by 23.0% during the fourth quarter. Aptus Capital Advisors LLC now owns 4,173 shares of the company's stock worth $211,000 after buying an additional 781 shares during the period. Institutional investors and hedge funds own 78.28% of the company's stock.

About Archer Daniels Midland

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.