Archer Daniels Midland (NYSE:ADM) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report released on Wednesday. The brokerage presently has a $48.00 price objective on the stock. Zacks Investment Research‘s target price would indicate a potential upside of 11.32% from the stock’s current price.
According to Zacks, “Archer Daniels outperformed the industry in the last six months. The company reported solid fourth-quarter 2017 earnings, wherein the bottom line beat estimates and increased year over year, backed by its strategic initiatives. Notably, it remains on track with the accomplishments regarding operational excellence and readiness program, and is likely to continue with further 1ADM rollouts in 2018. Also, it plans to achieve $200 million in run-rate savings by the end of 2018. However, the company has a dismal sales surprise history for more than three years now. Unfortunately, the drab trend lingered in the fourth quarter, wherein the top line was marred by softness across most units. Nonetheless, Oilseeds posted improved sales, and is likely to keep up its favorable trend in future. Also, management remains encouraged to deliver growth in 2018 through cost-savings efforts, enhanced capabilities, product innovations and global strength.”
Several other equities research analysts have also recently issued reports on the stock. Vertical Group upgraded shares of Archer Daniels Midland from a “hold” rating to a “buy” rating and set a $49.00 target price on the stock in a report on Thursday, February 15th. Stifel Nicolaus dropped their target price on shares of Archer Daniels Midland from $44.00 to $43.00 and set a “hold” rating on the stock in a report on Monday, January 22nd. Stephens upgraded shares of Archer Daniels Midland from an “equal weight” rating to an “overweight” rating in a report on Wednesday, February 7th. Robert W. Baird raised their target price on shares of Archer Daniels Midland from $47.00 to $49.00 and gave the stock an “outperform” rating in a report on Wednesday, February 7th. Finally, Citigroup upgraded shares of Archer Daniels Midland from a “neutral” rating to a “buy” rating and raised their target price for the stock from $42.72 to $49.00 in a report on Tuesday. One research analyst has rated the stock with a sell rating, six have assigned a hold rating, six have assigned a buy rating and one has given a strong buy rating to the company’s stock. The stock presently has an average rating of “Buy” and an average target price of $44.16.
Shares of Archer Daniels Midland (NYSE:ADM) opened at $43.12 on Wednesday. Archer Daniels Midland has a fifty-two week low of $38.59 and a fifty-two week high of $46.39. The company has a debt-to-equity ratio of 0.36, a current ratio of 1.59 and a quick ratio of 0.86. The stock has a market cap of $23,873.62, a P/E ratio of 15.40 and a beta of 1.09.
Archer Daniels Midland (NYSE:ADM) last issued its earnings results on Tuesday, February 6th. The company reported $0.82 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $0.70 by $0.12. Archer Daniels Midland had a net margin of 2.62% and a return on equity of 7.91%. The company had revenue of $16.07 billion for the quarter, compared to analysts’ expectations of $16.64 billion. During the same quarter last year, the company posted $0.75 earnings per share. The firm’s quarterly revenue was down 2.6% on a year-over-year basis. analysts expect that Archer Daniels Midland will post 2.82 EPS for the current fiscal year.
A number of institutional investors and hedge funds have recently added to or reduced their stakes in the business. Green Square Capital LLC raised its position in shares of Archer Daniels Midland by 25.0% during the 4th quarter. Green Square Capital LLC now owns 162,598 shares of the company’s stock valued at $6,517,000 after purchasing an additional 32,564 shares during the period. Cambridge Investment Research Advisors Inc. raised its position in shares of Archer Daniels Midland by 11.4% during the 4th quarter. Cambridge Investment Research Advisors Inc. now owns 48,283 shares of the company’s stock valued at $1,935,000 after purchasing an additional 4,941 shares during the period. Xact Kapitalforvaltning AB raised its position in shares of Archer Daniels Midland by 7.5% during the 4th quarter. Xact Kapitalforvaltning AB now owns 93,679 shares of the company’s stock valued at $3,755,000 after purchasing an additional 6,576 shares during the period. Envestnet Asset Management Inc. raised its position in shares of Archer Daniels Midland by 38.2% during the 4th quarter. Envestnet Asset Management Inc. now owns 70,634 shares of the company’s stock valued at $2,831,000 after purchasing an additional 19,508 shares during the period. Finally, CNB Bank bought a new stake in shares of Archer Daniels Midland during the 4th quarter valued at $112,000. Institutional investors and hedge funds own 76.54% of the company’s stock.
About Archer Daniels Midland
Archer-Daniels-Midland Company is a processor of oilseeds, corn, wheat, cocoa and other agricultural commodities. The Company manufactures protein meal, vegetable oil, corn sweeteners, flour, biodiesel, ethanol, and other food and feed ingredients. Its segments include Agricultural Services, which utilizes its United States grain elevator, global transportation network and port operations to buy, store, clean and transport agricultural commodities, such as oilseeds, wheat, milo, oats, rice and barley, and resells these commodities primarily as food and feed ingredients and as raw materials for the agricultural processing industry; Corn Processing, which is engaged in corn wet milling and dry milling activities; Oilseeds Processing, which includes global activities related to the origination, merchandising, crushing and further processing of oilseeds; Wild Flavors and Specialty Ingredients products, which include flavors, sweeteners and health ingredients; Other, and Corporate.
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