Archer Daniels Midland Company (NYSE:ADM) Given Consensus Recommendation of “Reduce” by Brokerages

Archer Daniels Midland Company (NYSE:ADM) has received a consensus recommendation of “Reduce” from the nine analysts that are covering the stock, Marketbeat.com reports. Four equities research analysts have rated the stock with a sell rating, four have assigned a hold rating and one has issued a buy rating on the company. The average twelve-month price objective among analysts that have issued ratings on the stock in the last year is $54.50.

Several analysts have commented on the stock. Zacks Research lowered shares of Archer Daniels Midland from a “hold” rating to a “strong sell” rating in a research report on Friday, November 7th. Morgan Stanley lowered shares of Archer Daniels Midland from an “equal weight” rating to an “underweight” rating and reduced their price objective for the stock from $57.00 to $50.00 in a research note on Tuesday, December 16th. JPMorgan Chase & Co. raised their target price on shares of Archer Daniels Midland from $59.00 to $60.00 and gave the company an “underweight” rating in a research note on Wednesday. UBS Group reaffirmed a “buy” rating on shares of Archer Daniels Midland in a report on Monday, December 15th. Finally, Weiss Ratings reissued a “hold (c)” rating on shares of Archer Daniels Midland in a research report on Wednesday, October 8th.

Institutional Trading of Archer Daniels Midland

A number of institutional investors have recently bought and sold shares of ADM. Robeco Institutional Asset Management B.V. raised its position in Archer Daniels Midland by 193.0% during the third quarter. Robeco Institutional Asset Management B.V. now owns 557,621 shares of the company’s stock worth $33,312,000 after acquiring an additional 367,293 shares during the period. Mirae Asset Global Investments Co. Ltd. grew its position in shares of Archer Daniels Midland by 10.9% in the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 508,956 shares of the company’s stock valued at $26,863,000 after purchasing an additional 49,954 shares during the period. Allstate Corp purchased a new stake in shares of Archer Daniels Midland during the third quarter worth about $1,044,000. Generali Asset Management SPA SGR raised its position in shares of Archer Daniels Midland by 146.4% during the 3rd quarter. Generali Asset Management SPA SGR now owns 41,989 shares of the company’s stock worth $2,508,000 after purchasing an additional 24,946 shares during the last quarter. Finally, Inspire Advisors LLC purchased a new position in Archer Daniels Midland in the 2nd quarter valued at about $3,060,000. 78.28% of the stock is currently owned by institutional investors and hedge funds.

Archer Daniels Midland Stock Down 0.9%

Shares of NYSE ADM opened at $67.10 on Friday. Archer Daniels Midland has a 12-month low of $40.98 and a 12-month high of $68.05. The stock’s fifty day simple moving average is $60.16 and its two-hundred day simple moving average is $59.66. The stock has a market capitalization of $32.25 billion, a PE ratio of 27.39, a price-to-earnings-growth ratio of 4.73 and a beta of 0.70. The company has a current ratio of 1.37, a quick ratio of 0.92 and a debt-to-equity ratio of 0.29.

Archer Daniels Midland (NYSE:ADM) last issued its quarterly earnings data on Tuesday, November 4th. The company reported $0.92 earnings per share for the quarter, topping analysts’ consensus estimates of $0.89 by $0.03. Archer Daniels Midland had a return on equity of 8.01% and a net margin of 1.43%.The firm had revenue of $20.37 billion during the quarter, compared to analysts’ expectations of $20.96 billion. During the same period in the prior year, the business posted $1.09 EPS. The firm’s quarterly revenue was up 2.2% on a year-over-year basis. Archer Daniels Midland has set its FY 2025 guidance at 3.250-3.500 EPS. As a group, analysts expect that Archer Daniels Midland will post 4.31 EPS for the current fiscal year.

Archer Daniels Midland Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, December 11th. Shareholders of record on Wednesday, November 19th were issued a $0.51 dividend. This represents a $2.04 annualized dividend and a yield of 3.0%. The ex-dividend date of this dividend was Wednesday, November 19th. Archer Daniels Midland’s dividend payout ratio (DPR) is currently 83.27%.

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.