Archer-Daniels-Midland (NYSE:ADM) Posts Quarterly Earnings Results, Beats Estimates By $0.07 EPS

Archer-Daniels-Midland (NYSE:ADM) issued its quarterly earnings data on Tuesday. The company reported $1.14 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.07 by $0.07, Zacks reports. Archer-Daniels-Midland had a return on equity of 10.96% and a net margin of 2.07%. The business had revenue of $21.50 billion for the quarter, compared to analysts’ expectations of $22.77 billion. During the same quarter in the prior year, the firm posted $1.36 EPS. The firm’s quarterly revenue was down 6.4% on a year-over-year basis. Archer-Daniels-Midland updated its FY 2025 guidance to 4.000-4.750 EPS and its FY25 guidance to $4.00-4.75 EPS.

Archer-Daniels-Midland Stock Down 2.2 %

Shares of NYSE:ADM opened at $46.44 on Thursday. Archer-Daniels-Midland has a 1 year low of $45.14 and a 1 year high of $66.08. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.40 and a quick ratio of 0.84. The stock’s 50-day moving average is $51.24 and its 200 day moving average is $55.69. The company has a market cap of $22.22 billion, a PE ratio of 13.27 and a beta of 0.72.

Archer-Daniels-Midland Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 11th. Stockholders of record on Tuesday, February 18th will be issued a $0.51 dividend. This is a boost from Archer-Daniels-Midland’s previous quarterly dividend of $0.50. The ex-dividend date is Tuesday, February 18th. This represents a $2.04 annualized dividend and a dividend yield of 4.39%. Archer-Daniels-Midland’s dividend payout ratio (DPR) is currently 57.14%.

Archer-Daniels-Midland announced that its board has initiated a stock buyback program on Wednesday, December 11th that allows the company to repurchase 100,000,000 outstanding shares. This repurchase authorization allows the company to purchase shares of its stock through open market purchases. Shares repurchase programs are usually a sign that the company’s board of directors believes its shares are undervalued.

Wall Street Analysts Forecast Growth

ADM has been the subject of several analyst reports. Barclays cut their price target on shares of Archer-Daniels-Midland from $56.00 to $50.00 and set an “underweight” rating for the company in a report on Tuesday, January 21st. Bank of America cut Archer-Daniels-Midland from a “neutral” rating to an “underperform” rating and reduced their target price for the stock from $63.00 to $54.00 in a research report on Tuesday, January 14th. Citigroup raised their price target on Archer-Daniels-Midland from $51.00 to $55.00 and gave the company a “neutral” rating in a report on Wednesday, December 4th. Morgan Stanley decreased their price objective on shares of Archer-Daniels-Midland from $57.00 to $52.00 and set an “equal weight” rating on the stock in a research report on Tuesday, November 12th. Finally, Stephens cut their price target on shares of Archer-Daniels-Midland from $55.00 to $52.00 in a research note on Tuesday. Two research analysts have rated the stock with a sell rating and seven have issued a hold rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average target price of $56.33.

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.