Archer-Daniels-Midland (NYSE:ADM) Issues Quarterly Earnings Results

Archer-Daniels-Midland (NYSE:ADM) posted its earnings results on Tuesday. The company reported $1.46 EPS for the quarter, beating the consensus estimate of $1.35 by $0.11, Yahoo Finance reports. The company had revenue of $21.85 billion for the quarter, compared to the consensus estimate of $22.26 billion. Archer-Daniels-Midland had a return on equity of 15.25% and a net margin of 3.71%. The firm’s revenue for the quarter was down 9.2% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.09 earnings per share. Archer-Daniels-Midland updated its FY24 guidance to $5.25-$6.25 EPS.

Archer-Daniels-Midland Stock Performance

Shares of ADM opened at $58.66 on Wednesday. Archer-Daniels-Midland has a 1 year low of $50.72 and a 1 year high of $87.30. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.60 and a quick ratio of 0.95. The stock’s fifty day moving average price is $59.32 and its two-hundred day moving average price is $64.94. The firm has a market cap of $29.43 billion, a PE ratio of 9.17 and a beta of 0.77.

Wall Street Analyst Weigh In

A number of equities analysts have recently issued reports on ADM shares. Stifel Nicolaus downgraded Archer-Daniels-Midland from a “buy” rating to a “hold” rating and lowered their price objective for the stock from $116.00 to $56.00 in a research report on Monday, January 22nd. Robert W. Baird lowered Archer-Daniels-Midland from an “outperform” rating to a “neutral” rating and dropped their price target for the company from $96.00 to $61.00 in a research note on Monday, January 22nd. UBS Group reaffirmed a “neutral” rating and set a $51.00 price objective (down previously from $104.00) on shares of Archer-Daniels-Midland in a research report on Friday, January 26th. BMO Capital Markets dropped their target price on shares of Archer-Daniels-Midland from $66.00 to $60.00 and set a “market perform” rating on the stock in a research report on Wednesday, March 13th. Finally, TheStreet lowered shares of Archer-Daniels-Midland from a “b-” rating to a “c+” rating in a report on Monday, February 12th. One analyst has rated the stock with a sell rating and fifteen have issued a hold rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $67.50.

Archer-Daniels-Midland announced that its board has initiated a share buyback program on Tuesday, March 12th that permits the company to repurchase $2.00 billion in shares. This repurchase authorization permits the company to purchase up to 6.4% of its shares through open market purchases. Shares repurchase programs are typically a sign that the company’s board of directors believes its stock is undervalued.

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.