California State Teachers Retirement System Trims Stake in Archer Daniels Midland Company $ADM

Key Points

• California State Teachers Retirement System reduced its Archer Daniels Midland stake by 2.4%, selling 13,556 shares and retaining 559,202 shares worth approximately $40.6 million. Institutional investors collectively own 78.28% of ADM.
• Analysts maintain a cautious outlook, with one Buy, five Hold, and two Sell ratings. The consensus rating is “Reduce,” with an average price target of $75.67.
• ADM beat quarterly earnings expectations with $0.71 in EPS versus $0.66 expected, while revenue rose 1.6% year over year to $20.49 billion. The company also maintains a quarterly dividend of $0.52, equivalent to a 2.6% annualized yield.

California State Teachers Retirement System trimmed its position in Archer Daniels Midland Company (NYSE:ADM - Free Report) by 2.4% during the first quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The institutional investor owned 559,202 shares of the company's stock after selling 13,556 shares during the period. California State Teachers Retirement System owned about 0.12% of Archer Daniels Midland worth $40,648,000 at the end of the most recent reporting period.

A number of other hedge funds and other institutional investors have also modified their holdings of ADM. Norges Bank acquired a new stake in Archer Daniels Midland during the 4th quarter worth approximately $402,743,000. Northwestern Mutual Wealth Management Co. raised its holdings in Archer Daniels Midland by 3,379.2% in the fourth quarter. Northwestern Mutual Wealth Management Co. now owns 5,761,397 shares of the company's stock valued at $316,525,000 after buying an additional 5,595,801 shares during the period. Victory Capital Management Inc. lifted its position in Archer Daniels Midland by 831.3% during the fourth quarter. Victory Capital Management Inc. now owns 5,592,030 shares of the company's stock valued at $321,486,000 after buying an additional 4,991,550 shares in the last quarter. Dodge & Cox grew its stake in Archer Daniels Midland by 13.4% during the fourth quarter. Dodge & Cox now owns 17,084,645 shares of the company's stock worth $982,196,000 after buying an additional 2,016,101 shares during the period. Finally, Jacobs Levy Equity Management Inc. grew its stake in Archer Daniels Midland by 176.8% during the third quarter. Jacobs Levy Equity Management Inc. now owns 1,967,471 shares of the company's stock worth $117,537,000 after buying an additional 1,256,596 shares during the period. 78.28% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on ADM shares. JPMorgan Chase & Co. lifted their price target on shares of Archer Daniels Midland from $65.00 to $74.00 and gave the stock an "underweight" rating in a research note on Wednesday, May 6th. Zacks Research cut shares of Archer Daniels Midland from a "strong-buy" rating to a "hold" rating in a research report on Monday, June 22nd. Barclays lifted their target price on Archer Daniels Midland from $77.00 to $85.00 and gave the stock an "equal weight" rating in a research report on Wednesday, May 6th. Jefferies Financial Group boosted their price target on Archer Daniels Midland from $65.00 to $77.00 and gave the stock a "hold" rating in a research note on Monday, April 6th. Finally, Weiss Ratings reissued a "hold (c)" rating on shares of Archer Daniels Midland in a report on Friday, July 17th. One equities research analyst has rated the stock with a Buy rating, five have issued a Hold rating and two have given a Sell rating to the company's stock. Based on data from MarketBeat, the company currently has an average rating of "Reduce" and a consensus target price of $75.67.

Archer Daniels Midland Price Performance

Shares of NYSE:ADM opened at $79.27 on Friday. The stock has a market cap of $38.20 billion, a price-to-earnings ratio of 35.54 and a beta of 0.62. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.31 and a quick ratio of 0.80. Archer Daniels Midland Company has a 12 month low of $52.96 and a 12 month high of $88.46. The stock's 50 day moving average price is $80.14 and its 200 day moving average price is $73.89.

Archer Daniels Midland (NYSE:ADM - Get Free Report) last released its quarterly earnings results on Tuesday, May 5th. The company reported $0.71 earnings per share for the quarter, beating analysts' consensus estimates of $0.66 by $0.05. The business had revenue of $20.49 billion during the quarter, compared to analyst estimates of $21.35 billion. Archer Daniels Midland had a return on equity of 7.37% and a net margin of 1.34%.Archer Daniels Midland's revenue for the quarter was up 1.6% on a year-over-year basis. During the same quarter last year, the company posted $0.70 EPS. Archer Daniels Midland has set its FY 2026 guidance at 4.150-4.70 EPS. Equities research analysts anticipate that Archer Daniels Midland Company will post 4.76 earnings per share for the current fiscal year.

Archer Daniels Midland Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, June 10th. Shareholders of record on Wednesday, May 20th were given a $0.52 dividend. This represents a $2.08 annualized dividend and a yield of 2.6%. The ex-dividend date of this dividend was Wednesday, May 20th. Archer Daniels Midland's payout ratio is currently 93.27%.

About Archer Daniels Midland

Archer Daniels Midland Company (ADM) is a global agricultural processor and food-ingredient provider that sources, transports and processes oilseeds, corn, wheat and other agricultural commodities. The company operates large-scale crushing, refining and processing facilities that produce vegetable oils, protein meals, corn sweeteners, starches, ethanol, animal feeds and a wide range of food and industrial ingredients. ADM also develops specialty ingredients and solutions for human and animal nutrition, food and beverage formulation, and industrial applications such as bio-based materials and renewable fuels.

ADM's business combines commodity origination and merchandising with downstream manufacturing and ingredient formulation.

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