Archer-Daniels-Midland Company (NYSE:ADM) Receives $56.33 Average Target Price from Brokerages

Archer-Daniels-Midland Company (NYSE:ADM - Get Free Report) has been assigned a consensus recommendation of "Reduce" from the nine research firms that are covering the stock, MarketBeat.com reports. Two investment analysts have rated the stock with a sell rating and seven have assigned a hold rating to the company. The average twelve-month price target among analysts that have covered the stock in the last year is $56.33.

Several research analysts have commented on the stock. 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 lowered Archer-Daniels-Midland from a "neutral" rating to an "underperform" rating and decreased their target price for the stock from $63.00 to $54.00 in a research note on Tuesday, January 14th. Stephens cut their price objective on Archer-Daniels-Midland from $55.00 to $52.00 in a report on Tuesday, February 4th. Morgan Stanley cut their price target on shares of Archer-Daniels-Midland from $57.00 to $52.00 and set an "equal weight" rating for the company in a research note on Tuesday, November 12th. Finally, 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 report on Wednesday, February 5th.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in the company. Lake Street Advisors Group LLC grew its holdings in Archer-Daniels-Midland by 4.8% in the 3rd quarter. Lake Street Advisors Group LLC now owns 4,015 shares of the company's stock worth $240,000 after acquiring an additional 183 shares during the last quarter. OLD National Bancorp IN grew its stake in shares of Archer-Daniels-Midland by 0.9% in the third quarter. OLD National Bancorp IN now owns 20,648 shares of the company's stock worth $1,234,000 after purchasing an additional 189 shares during the last quarter. UMB Bank n.a. increased its holdings in Archer-Daniels-Midland by 3.4% during the 3rd quarter. UMB Bank n.a. now owns 5,830 shares of the company's stock valued at $348,000 after purchasing an additional 194 shares during the period. NorthCrest Asset Manangement LLC raised its position in Archer-Daniels-Midland by 4.1% during the 3rd quarter. NorthCrest Asset Manangement LLC now owns 5,125 shares of the company's stock valued at $306,000 after purchasing an additional 201 shares during the last quarter. Finally, West Financial Advisors LLC lifted its holdings in Archer-Daniels-Midland by 10.1% in the 4th quarter. West Financial Advisors LLC now owns 2,201 shares of the company's stock worth $111,000 after buying an additional 201 shares during the period. Institutional investors own 78.28% of the company's stock.

Archer-Daniels-Midland Stock Performance

NYSE:ADM traded up $0.37 on Friday, reaching $46.13. 4,391,854 shares of the company's stock were exchanged, compared to its average volume of 3,640,622. The stock has a fifty day simple moving average of $50.72 and a 200-day simple moving average of $55.33. Archer-Daniels-Midland has a 52 week low of $45.01 and a 52 week high of $66.08. The company has a debt-to-equity ratio of 0.37, a current ratio of 5.44 and a quick ratio of 0.84. The firm has a market cap of $22.08 billion, a price-to-earnings ratio of 12.78 and a beta of 0.72.

Archer-Daniels-Midland (NYSE:ADM - Get Free Report) last issued its earnings results on Tuesday, February 4th. The company reported $1.14 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.07 by $0.07. Archer-Daniels-Midland had a net margin of 2.10% and a return on equity of 10.44%. 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 previous year, the firm posted $1.36 EPS. The business's revenue for the quarter was down 6.4% compared to the same quarter last year. As a group, sell-side analysts predict that Archer-Daniels-Midland will post 4.53 earnings per share for the current year.

Archer-Daniels-Midland Increases Dividend

The business also recently announced 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 dividend on an annualized basis and a dividend yield of 4.42%. The ex-dividend date of this dividend is Tuesday, February 18th. This is a positive change from Archer-Daniels-Midland's previous quarterly dividend of $0.50. Archer-Daniels-Midland's payout ratio is 55.40%.

Archer-Daniels-Midland announced that its Board of Directors has authorized a stock buyback plan on Wednesday, December 11th that authorizes the company to repurchase 100,000,000 shares. This repurchase authorization authorizes the company to reacquire shares of its stock through open market purchases. Stock repurchase plans are typically a sign that the company's board 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.