Archer Daniels Stock Forecast - Naive Prediction

ADM Stock  USD 47.25  0.17  0.36%   
The Naive Prediction forecasted value of Archer Daniels Midland on the next trading day is expected to be 46.47 with a mean absolute deviation of 0.88 and the sum of the absolute errors of 53.65. Archer Stock Forecast is based on your current time horizon.
  
A naive forecasting model for Archer Daniels is a special case of the moving average forecasting where the number of periods used for smoothing is one. Therefore, the forecast of Archer Daniels Midland value for a given trading day is simply the observed value for the previous period. Due to the simplistic nature of the naive forecasting model, it can only be used to forecast up to one period.

Archer Daniels Naive Prediction Price Forecast For the 15th of March 2025

Given 90 days horizon, the Naive Prediction forecasted value of Archer Daniels Midland on the next trading day is expected to be 46.47 with a mean absolute deviation of 0.88, mean absolute percentage error of 1.29, and the sum of the absolute errors of 53.65.
Please note that although there have been many attempts to predict Archer Stock prices using its time series forecasting, we generally do not recommend using it to place bets in the real market. The most commonly used models for forecasting predictions are the autoregressive models, which specify that Archer Daniels' next future price depends linearly on its previous prices and some stochastic term (i.e., imperfectly predictable multiplier).

Archer Daniels Stock Forecast Pattern

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Archer Daniels Forecasted Value

In the context of forecasting Archer Daniels' Stock value on the next trading day, we examine the predictive performance of the model to find good statistically significant boundaries of downside and upside scenarios. Archer Daniels' downside and upside margins for the forecasting period are 44.57 and 48.37, respectively. We have considered Archer Daniels' daily market price to evaluate the above model's predictive performance. Remember, however, there is no scientific proof or empirical evidence that traditional linear or nonlinear forecasting models outperform artificial intelligence and frequency domain models to provide accurate forecasts consistently.
Market Value
47.25
46.47
Expected Value
48.37
Upside

Model Predictive Factors

The below table displays some essential indicators generated by the model showing the Naive Prediction forecasting method's relative quality and the estimations of the prediction error of Archer Daniels stock data series using in forecasting. Note that when a statistical model is used to represent Archer Daniels stock, the representation will rarely be exact; so some information will be lost using the model to explain the process. AIC estimates the relative amount of information lost by a given model: the less information a model loses, the higher its quality.
AICAkaike Information Criteria118.3642
BiasArithmetic mean of the errors None
MADMean absolute deviation0.8795
MAPEMean absolute percentage error0.0182
SAESum of the absolute errors53.6493
This model is not at all useful as a medium-long range forecasting tool of Archer Daniels Midland. This model is simplistic and is included partly for completeness and partly because of its simplicity. It is unlikely that you'll want to use this model directly to predict Archer Daniels. Instead, consider using either the moving average model or the more general weighted moving average model with a higher (i.e., greater than 1) number of periods, and possibly a different set of weights.

Predictive Modules for Archer Daniels

There are currently many different techniques concerning forecasting the market as a whole, as well as predicting future values of individual securities such as Archer Daniels Midland. Regardless of method or technology, however, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the market sentiment and impact your forecasting results.
Sophisticated investors, who have witnessed many market ups and downs, anticipate that the market will even out over time. This tendency of Archer Daniels' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Hype
Prediction
LowEstimatedHigh
45.3347.2349.13
Details
Intrinsic
Valuation
LowRealHigh
42.5352.0553.95
Details

Other Forecasting Options for Archer Daniels

For every potential investor in Archer, whether a beginner or expert, Archer Daniels' price movement is the inherent factor that sparks whether it is viable to invest in it or hold it better. Archer Stock price charts are filled with many 'noises.' These noises can hugely alter the decision one can make regarding investing in Archer. Basic forecasting techniques help filter out the noise by identifying Archer Daniels' price trends.

Archer Daniels Related Equities

One of the popular trading techniques among algorithmic traders is to use market-neutral strategies where every trade hedges away some risk. Because there are two separate transactions required, even if one position performs unexpectedly, the other equity can make up some of the losses. Below are some of the equities that can be combined with Archer Daniels stock to make a market-neutral strategy. Peer analysis of Archer Daniels could also be used in its relative valuation, which is a method of valuing Archer Daniels by comparing valuation metrics with similar companies.
 Risk & Return  Correlation

Archer Daniels Midland Technical and Predictive Analytics

The stock market is financially volatile. Despite the volatility, there exist limitless possibilities of gaining profits and building passive income portfolios. With the complexity of Archer Daniels' price movements, a comprehensive understanding of forecasting methods that an investor can rely on to make the right move is invaluable. These methods predict trends that assist an investor in predicting the movement of Archer Daniels' current price.

Archer Daniels Market Strength Events

Market strength indicators help investors to evaluate how Archer Daniels stock reacts to ongoing and evolving market conditions. The investors can use it to make informed decisions about market timing, and determine when trading Archer Daniels shares will generate the highest return on investment. By undertsting and applying Archer Daniels stock market strength indicators, traders can identify Archer Daniels Midland entry and exit signals to maximize returns.

Archer Daniels Risk Indicators

The analysis of Archer Daniels' basic risk indicators is one of the essential steps in accurately forecasting its future price. The process involves identifying the amount of risk involved in Archer Daniels' investment and either accepting that risk or mitigating it. Along with some essential techniques for forecasting archer stock prices, we also provide a set of basic risk indicators that can assist in the individual investment decision or help in hedging the risk of your existing portfolios.
Please note, the risk measures we provide can be used independently or collectively to perform a risk assessment. When comparing two potential investments, we recommend comparing similar equities with homogenous growth potential and valuation from related markets to determine which investment holds the most risk.

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When determining whether Archer Daniels Midland is a strong investment it is important to analyze Archer Daniels' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact Archer Daniels' future performance. For an informed investment choice regarding Archer Stock, refer to the following important reports:
Check out Historical Fundamental Analysis of Archer Daniels to cross-verify your projections.
You can also try the Aroon Oscillator module to analyze current equity momentum using Aroon Oscillator and other momentum ratios.
Is Agricultural Products & Services space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Archer Daniels. If investors know Archer will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Archer Daniels listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Archer Daniels Midland is measured differently than its book value, which is the value of Archer that is recorded on the company's balance sheet. Investors also form their own opinion of Archer Daniels' value that differs from its market value or its book value, called intrinsic value, which is Archer Daniels' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Archer Daniels' market value can be influenced by many factors that don't directly affect Archer Daniels' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Archer Daniels' value and its price as these two are different measures arrived at by different means. Investors typically determine if Archer Daniels is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Archer Daniels' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.