Archer Daniels Midland (NYSE:ADM) Reaches New 52-Week High – Still a Buy?

Archer Daniels Midland Company (NYSE:ADM)’s share price reached a new 52-week high on Wednesday . The company traded as high as $65.22 and last traded at $64.9250, with a volume of 698497 shares changing hands. The stock had previously closed at $63.38.

Wall Street Analyst Weigh In

ADM has been the subject of several recent research reports. Morgan Stanley cut Archer Daniels Midland from an “equal weight” rating to an “underweight” rating and reduced their price target for the company from $57.00 to $50.00 in a research report on Tuesday, December 16th. JPMorgan Chase & Co. reaffirmed an “underweight” rating and issued a $59.00 price target (down previously from $61.00) on shares of Archer Daniels Midland in a report on Wednesday, November 5th. Zacks Research lowered shares of Archer Daniels Midland from a “hold” rating to a “strong sell” rating in a research report on Friday, November 7th. Weiss Ratings reissued a “hold (c)” rating on shares of Archer Daniels Midland in a report on Wednesday, October 8th. Finally, UBS Group reiterated a “buy” rating on shares of Archer Daniels Midland in a research report on Monday, December 15th. One research analyst has rated the stock with a Buy rating, four have assigned a Hold rating and four have assigned a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Reduce” and an average price target of $54.38.

Archer Daniels Midland Stock Down 2.2%

The firm has a market capitalization of $31.30 billion, a P/E ratio of 26.58, a P/E/G ratio of 4.50 and a beta of 0.70. The company has a fifty day simple moving average of $59.28 and a 200 day simple moving average of $59.25. The company has a quick ratio of 0.92, a current ratio of 1.37 and a debt-to-equity ratio of 0.29.

Archer Daniels Midland (NYSE:ADM) last posted its quarterly earnings results on Tuesday, November 4th. The company reported $0.92 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.89 by $0.03. The firm had revenue of $20.37 billion during the quarter, compared to analyst estimates of $20.96 billion. Archer Daniels Midland had a return on equity of 8.01% and a net margin of 1.43%.Archer Daniels Midland’s quarterly revenue was up 2.2% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.09 EPS. Archer Daniels Midland has set its FY 2025 guidance at 3.250-3.500 EPS. On average, equities analysts expect that Archer Daniels Midland Company will post 4.31 EPS for the current fiscal year.

Archer Daniels Midland Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Thursday, December 11th. Investors of record on Wednesday, November 19th were issued a $0.51 dividend. This represents a $2.04 dividend on an annualized basis and a yield of 3.1%. The ex-dividend date was Wednesday, November 19th. Archer Daniels Midland’s payout ratio is presently 83.27%.

Institutional Trading of Archer Daniels Midland

A number of institutional investors and hedge funds have recently modified their holdings of ADM. Robeco Institutional Asset Management B.V. lifted its position in Archer Daniels Midland by 193.0% during the third quarter. Robeco Institutional Asset Management B.V. now owns 557,621 shares of the company’s stock valued at $33,312,000 after acquiring an additional 367,293 shares during the last quarter. Mirae Asset Global Investments Co. Ltd. boosted its stake in shares of Archer Daniels Midland by 10.9% in the second quarter. Mirae Asset Global Investments Co. Ltd. now owns 508,956 shares of the company’s stock worth $26,863,000 after buying an additional 49,954 shares during the last quarter. Perpetual Ltd purchased a new position in Archer Daniels Midland during the second quarter valued at approximately $227,000. Generali Asset Management SPA SGR boosted its position in Archer Daniels Midland by 146.4% in the 3rd quarter. Generali Asset Management SPA SGR now owns 41,989 shares of the company’s stock worth $2,508,000 after purchasing an additional 24,946 shares in the last quarter. Finally, Inspire Advisors LLC acquired a new stake in shares of Archer Daniels Midland during the 2nd quarter worth approximately $3,060,000. Institutional investors own 78.28% of the company’s stock.

About Archer Daniels Midland

Archer Daniels Midland Company (ADM) is a global agricultural processor and food-ingredient provider that sources, transports and processes oilseeds, corn, wheat and other agricultural commodities. The company operates large-scale crushing, refining and processing facilities that produce vegetable oils, protein meals, corn sweeteners, starches, ethanol, animal feeds and a wide range of food and industrial ingredients. ADM also develops specialty ingredients and solutions for human and animal nutrition, food and beverage formulation, and industrial applications such as bio-based materials and renewable fuels.

ADM’s business combines commodity origination and merchandising with downstream manufacturing and ingredient formulation.