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

Shares of Archer-Daniels-Midland Company (NYSE:ADM) have received an average recommendation of “Reduce” from the nine analysts that are presently covering the firm, MarketBeat Ratings reports. Two equities research analysts have rated the stock with a sell rating and seven have issued a hold rating on the company. The average 12-month price target among brokers that have issued ratings on the stock in the last year is $56.33.

Several equities research analysts have recently weighed in on ADM shares. Barclays reduced their price target on Archer-Daniels-Midland from $56.00 to $50.00 and set an “underweight” rating on the stock in a report on Tuesday, January 21st. Bank of America lowered Archer-Daniels-Midland from a “neutral” rating to an “underperform” rating and decreased their target price for the company from $63.00 to $54.00 in a research report on Tuesday, January 14th. Stephens lowered their price target on Archer-Daniels-Midland from $55.00 to $52.00 in a research note on Tuesday. BMO Capital Markets lowered their price objective on Archer-Daniels-Midland from $51.00 to $49.00 and set a “market perform” rating on the stock in a research note on Wednesday. Finally, Citigroup upped their price objective on shares of Archer-Daniels-Midland from $51.00 to $55.00 and gave the company a “neutral” rating in a report on Wednesday, December 4th.

Institutional Investors Weigh In On Archer-Daniels-Midland

Several institutional investors have recently modified their holdings of the company. Park Avenue Securities LLC lifted its holdings in Archer-Daniels-Midland by 3.9% during the 3rd quarter. Park Avenue Securities LLC now owns 8,272 shares of the company’s stock worth $494,000 after buying an additional 311 shares during the last quarter. Czech National Bank grew its position in shares of Archer-Daniels-Midland by 3.4% in the 3rd quarter. Czech National Bank now owns 97,402 shares of the company’s stock valued at $5,819,000 after buying an additional 3,182 shares during the last quarter. Atomi Financial Group Inc. lifted its position in Archer-Daniels-Midland by 3.3% in the third quarter. Atomi Financial Group Inc. now owns 6,591 shares of the company’s stock valued at $394,000 after acquiring an additional 210 shares during the last quarter. Future Financial Wealth Managment LLC purchased a new position in Archer-Daniels-Midland during the 3rd quarter worth approximately $112,000. Finally, CWM LLC lifted its stake in Archer-Daniels-Midland by 12.7% in the third quarter. CWM LLC now owns 28,341 shares of the company’s stock valued at $1,693,000 after buying an additional 3,190 shares during the last quarter. 78.28% of the stock is owned by hedge funds and other institutional investors.

Archer-Daniels-Midland Trading Down 2.1 %

Shares of NYSE ADM opened at $45.48 on Friday. The stock has a market capitalization of $21.76 billion, a P/E ratio of 12.99 and a beta of 0.72. Archer-Daniels-Midland has a 1-year low of $45.01 and a 1-year high of $66.08. The business’s 50 day moving average is $51.08 and its two-hundred day moving average is $55.62. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.40 and a quick ratio of 0.84.

Archer-Daniels-Midland (NYSE:ADM) last posted its quarterly earnings data on Tuesday, February 4th. The company reported $1.14 earnings per share for the quarter, beating analysts’ consensus estimates of $1.07 by $0.07. The business had revenue of $21.50 billion for the quarter, compared to analysts’ expectations of $22.77 billion. Archer-Daniels-Midland had a net margin of 2.07% and a return on equity of 10.96%. The business’s revenue was down 6.4% compared to the same quarter last year. During the same quarter in the previous year, the business posted $1.36 earnings per share. As a group, research analysts expect that Archer-Daniels-Midland will post 4.72 EPS for the current year.

Archer-Daniels-Midland announced that its Board of Directors has approved a share buyback plan on Wednesday, December 11th that permits the company to repurchase 100,000,000 outstanding shares. This repurchase authorization permits the company to repurchase shares of its stock through open market purchases. Shares repurchase plans are generally an indication that the company’s management believes its stock is undervalued.

Archer-Daniels-Midland Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 11th. Stockholders of record on Tuesday, February 18th will be paid a $0.51 dividend. This represents a $2.04 annualized dividend and a dividend yield of 4.49%. The ex-dividend date of this dividend is Tuesday, February 18th. This is a boost from Archer-Daniels-Midland’s previous quarterly dividend of $0.50. Archer-Daniels-Midland’s dividend payout ratio (DPR) is presently 57.14%.

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.