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

Archer Daniels Midland Company (NYSE:ADM) has earned an average rating of “Reduce” from the eight ratings firms that are covering the firm, Marketbeat.com reports. Two equities research analysts have rated the stock with a sell rating, five have given a hold rating and one has given a buy rating to the company. The average twelve-month price objective among brokers that have issued a report on the stock in the last year is $75.3333.

ADM has been the topic of a number of recent analyst reports. Zacks Research cut Archer Daniels Midland from a “strong-buy” rating to a “hold” rating in a research report on Monday, June 22nd. Wall Street Zen raised shares of Archer Daniels Midland from a “hold” rating to a “buy” rating in a research report on Saturday, May 9th. UBS Group increased their price objective on shares of Archer Daniels Midland from $90.00 to $95.00 and gave the stock a “buy” rating in a research note on Monday, June 15th. Weiss Ratings restated a “hold (c)” rating on shares of Archer Daniels Midland in a research report on Monday, April 20th. Finally, JPMorgan Chase & Co. upped their price target on shares of Archer Daniels Midland from $65.00 to $74.00 and gave the stock an “underweight” rating in a report on Wednesday, May 6th.

Archer Daniels Midland Trading Up 0.7%

Shares of NYSE:ADM opened at $82.89 on Friday. The business’s 50 day simple moving average is $79.16 and its 200 day simple moving average is $72.07. Archer Daniels Midland has a 1 year low of $52.23 and a 1 year high of $85.37. The company has a debt-to-equity ratio of 0.28, a current ratio of 1.31 and a quick ratio of 0.80. The company has a market capitalization of $39.95 billion, a P/E ratio of 37.17 and a beta of 0.62.

Archer Daniels Midland (NYSE:ADM) last announced its quarterly earnings data on Tuesday, May 5th. The company reported $0.71 earnings per share for the quarter, beating the consensus estimate of $0.66 by $0.05. The firm had revenue of $20.49 billion during the quarter, compared to analysts’ expectations of $21.35 billion. Archer Daniels Midland had a return on equity of 7.37% and a net margin of 1.34%.The company’s quarterly revenue was up 1.6% compared to the same quarter last year. During the same period in the previous year, the firm earned $0.70 EPS. Archer Daniels Midland has set its FY 2026 guidance at 4.150-4.70 EPS. On average, research analysts anticipate that Archer Daniels Midland will post 4.71 EPS for the current fiscal year.

Archer Daniels Midland Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, June 10th. Shareholders of record on Wednesday, May 20th were given a dividend of $0.52 per share. This represents a $2.08 annualized dividend and a yield of 2.5%. The ex-dividend date was Wednesday, May 20th. Archer Daniels Midland’s payout ratio is currently 93.27%.

Institutional Investors Weigh In On Archer Daniels Midland

Large investors have recently modified their holdings of the business. Vanguard Group Inc. increased its stake in shares of Archer Daniels Midland by 0.9% in the 4th quarter. Vanguard Group Inc. now owns 59,180,117 shares of the company’s stock valued at $3,402,265,000 after purchasing an additional 536,265 shares during the last quarter. Charles Schwab Investment Management Inc. lifted its position in shares of Archer Daniels Midland by 2.4% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 18,829,140 shares of the company’s stock worth $1,082,487,000 after buying an additional 449,815 shares during the last quarter. Dodge & Cox boosted its stake in Archer Daniels Midland by 13.4% in the fourth quarter. Dodge & Cox now owns 17,084,645 shares of the company’s stock valued at $982,196,000 after buying an additional 2,016,101 shares in the last quarter. Geode Capital Management LLC grew its position in Archer Daniels Midland by 0.9% in the fourth quarter. Geode Capital Management LLC now owns 12,628,065 shares of the company’s stock valued at $723,175,000 after acquiring an additional 109,556 shares during the last quarter. Finally, Northern Trust Corp grew its position in Archer Daniels Midland by 5.7% in the fourth quarter. Northern Trust Corp now owns 11,431,704 shares of the company’s stock valued at $657,209,000 after acquiring an additional 612,974 shares during the last quarter. Institutional investors and hedge funds own 78.28% of the company’s stock.

Archer Daniels Midland Company Profile

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.