Archer-Daniels-Midland Company (NYSE:ADM) Receives Consensus Rating of “Reduce” from Analysts

Shares of Archer-Daniels-Midland Company (NYSE:ADM) have received a consensus recommendation of “Reduce” from the fifteen brokerages that are covering the stock, MarketBeat Ratings reports. One investment analyst has rated the stock with a sell recommendation and fourteen have assigned a hold recommendation to the company. The average twelve-month target price among analysts that have updated their coverage on the stock in the last year is $67.50.

A number of research firms have recently commented on ADM. Bank of America dropped their price objective on Archer-Daniels-Midland from $85.00 to $74.00 and set a “neutral” rating on the stock in a research note on Thursday, March 14th. BMO Capital Markets dropped their price objective on Archer-Daniels-Midland from $66.00 to $60.00 and set a “market perform” rating on the stock in a research note on Wednesday, March 13th. Citigroup lifted their price objective on Archer-Daniels-Midland from $63.00 to $64.00 and gave the stock a “neutral” rating in a research note on Wednesday, April 3rd. Finally, Jefferies Financial Group dropped their price objective on Archer-Daniels-Midland from $70.00 to $65.00 and set a “hold” rating on the stock in a research note on Wednesday, March 13th.

Insider Transactions at Archer-Daniels-Midland

In other news, insider Fruit Molly L. Strader sold 6,904 shares of the business’s stock in a transaction that occurred on Wednesday, May 22nd. The stock was sold at an average price of $60.73, for a total value of $419,279.92. Following the transaction, the insider now directly owns 8,555 shares of the company’s stock, valued at approximately $519,545.15. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this hyperlink. 1.20% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the stock. Banque Cantonale Vaudoise increased its position in shares of Archer-Daniels-Midland by 83.7% in the 1st quarter. Banque Cantonale Vaudoise now owns 29,914 shares of the company’s stock valued at $1,879,000 after buying an additional 13,626 shares in the last quarter. Nordea Investment Management AB boosted its stake in shares of Archer-Daniels-Midland by 12.8% during the 4th quarter. Nordea Investment Management AB now owns 1,227,250 shares of the company’s stock worth $88,534,000 after buying an additional 139,064 shares during the last quarter. Quadrant Capital Group LLC lifted its stake in Archer-Daniels-Midland by 14.1% in the 4th quarter. Quadrant Capital Group LLC now owns 3,746 shares of the company’s stock valued at $271,000 after purchasing an additional 462 shares during the last quarter. Madison Asset Management LLC lifted its stake in Archer-Daniels-Midland by 18.6% in the 4th quarter. Madison Asset Management LLC now owns 383,941 shares of the company’s stock valued at $27,728,000 after purchasing an additional 60,313 shares during the last quarter. Finally, Cantor Fitzgerald Investment Advisors L.P. acquired a new stake in Archer-Daniels-Midland in the 4th quarter valued at about $1,942,000. Institutional investors own 78.28% of the company’s stock.

Archer-Daniels-Midland Price Performance

ADM opened at $60.67 on Thursday. Archer-Daniels-Midland has a 1 year low of $50.72 and a 1 year high of $87.30. The stock has a fifty day moving average price of $61.01 and a 200 day moving average price of $61.52. The company has a current ratio of 1.47, a quick ratio of 0.88 and a debt-to-equity ratio of 0.35. The stock has a market cap of $30.00 billion, a price-to-earnings ratio of 10.64 and a beta of 0.75.

Archer-Daniels-Midland (NYSE:ADM) last posted its earnings results on Tuesday, April 30th. The company reported $1.46 earnings per share for the quarter, beating the consensus estimate of $1.35 by $0.11. Archer-Daniels-Midland had a return on equity of 13.87% and a net margin of 3.32%. The company had revenue of $21.85 billion for the quarter, compared to analyst estimates of $22.26 billion. During the same period last year, the company earned $2.09 earnings per share. The business’s revenue was down 9.2% compared to the same quarter last year. Analysts forecast that Archer-Daniels-Midland will post 5.62 EPS for the current fiscal year.

Archer-Daniels-Midland Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Wednesday, June 5th. Shareholders of record on Thursday, May 16th were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 3.30%. The ex-dividend date of this dividend was Wednesday, May 15th. Archer-Daniels-Midland’s payout ratio is 35.09%.

Archer-Daniels-Midland declared that its Board of Directors has approved a stock repurchase program on Tuesday, March 12th that allows the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization allows the company to repurchase up to 6.4% of its shares through open market purchases. Shares repurchase programs are often a sign that the company’s board of directors believes its shares are undervalued.

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.