Archer-Daniels-Midland (NYSE:ADM) Price Target Lowered to $48.00 at Bank of America

Archer-Daniels-Midland (NYSE:ADM) had its price target lowered by equities researchers at Bank of America from $54.00 to $48.00 in a research note issued to investors on Tuesday,Benzinga reports. The brokerage currently has an “underperform” rating on the stock. Bank of America‘s target price suggests a potential upside of 6.15% from the company’s current price.

Other equities analysts have also recently issued research reports about the stock. BMO Capital Markets lowered their price objective on shares of Archer-Daniels-Midland from $51.00 to $49.00 and set a “market perform” rating on the stock in a research note on Wednesday, February 5th. Morgan Stanley decreased their target price on Archer-Daniels-Midland from $57.00 to $52.00 and set an “equal weight” rating on the stock in a research note on Tuesday, November 12th. Stephens dropped their price objective on shares of Archer-Daniels-Midland from $55.00 to $52.00 in a report on Tuesday, February 4th. Barclays lowered their target price on Archer-Daniels-Midland from $56.00 to $50.00 and set an “underweight” rating for the company in a research report on Tuesday, January 21st. Finally, Citigroup upped their price objective on Archer-Daniels-Midland from $51.00 to $55.00 and gave the company a “neutral” rating in a research report on Wednesday, December 4th. Two investment analysts have rated the stock with a sell rating and seven have assigned a hold rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of “Hold” and an average target price of $55.11.

Archer-Daniels-Midland Price Performance

Shares of NYSE:ADM opened at $45.22 on Tuesday. The company has a market capitalization of $21.64 billion, a PE ratio of 12.53 and a beta of 0.72. The company has a debt-to-equity ratio of 0.37, a current ratio of 5.44 and a quick ratio of 0.84. Archer-Daniels-Midland has a 1-year low of $45.01 and a 1-year high of $66.08. The business has a fifty day moving average price of $50.42 and a 200-day moving average price of $55.08.

Archer-Daniels-Midland (NYSE:ADM) last posted its quarterly earnings results on Tuesday, February 4th. The company reported $1.14 earnings per share for the quarter, topping the consensus estimate of $1.07 by $0.07. The firm had revenue of $21.50 billion during the quarter, compared to analysts’ expectations of $22.77 billion. Archer-Daniels-Midland had a return on equity of 10.44% and a net margin of 2.10%. The company’s revenue was down 6.4% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.36 earnings per share. As a group, equities analysts expect that Archer-Daniels-Midland will post 4.53 EPS for the current fiscal year.

Archer-Daniels-Midland announced that its board has approved a stock repurchase plan on Wednesday, December 11th that allows the company to repurchase 100,000,000 shares. This repurchase authorization allows the company to buy shares of its stock through open market purchases. Stock repurchase plans are generally an indication that the company’s board believes its stock is undervalued.

Hedge Funds Weigh In On Archer-Daniels-Midland

A number of hedge funds and other institutional investors have recently modified their holdings of ADM. Norges Bank bought a new stake in Archer-Daniels-Midland during the fourth quarter valued at about $333,521,000. Wellington Management Group LLP boosted its holdings in shares of Archer-Daniels-Midland by 41.5% in the 3rd quarter. Wellington Management Group LLP now owns 19,430,111 shares of the company’s stock valued at $1,160,755,000 after buying an additional 5,702,451 shares in the last quarter. Pacer Advisors Inc. grew its position in shares of Archer-Daniels-Midland by 28.4% in the 4th quarter. Pacer Advisors Inc. now owns 10,382,639 shares of the company’s stock worth $524,531,000 after buying an additional 2,296,193 shares during the last quarter. State Street Corp raised its stake in shares of Archer-Daniels-Midland by 3.3% during the 3rd quarter. State Street Corp now owns 32,045,672 shares of the company’s stock worth $1,914,408,000 after acquiring an additional 1,018,256 shares in the last quarter. Finally, FMR LLC lifted its position in Archer-Daniels-Midland by 33.9% during the third quarter. FMR LLC now owns 3,979,867 shares of the company’s stock valued at $237,757,000 after acquiring an additional 1,007,494 shares during the last quarter. 78.28% of the stock is currently owned by institutional investors.

About Archer-Daniels-Midland

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.