Is Archer Daniels Stock a Good Investment?
Archer Daniels Investment Advice | ADM |
- Examine Archer Daniels' financial health by looking at its balance sheet, income statement, and cash flow statement. Analyze key financial ratios, such as Price-to-Earnings (P/E), Price-to-Sales (P/S), and Price-to-Book (P/B), to determine whether the stock is fairly valued or over/undervalued.
- Research Archer Daniels' leadership team and their track record. Good management can help Archer Daniels navigate difficult times and make strategic decisions that benefit shareholders and increases its net worth.
- Consider the overall health of the Agricultural Products & Services space and any emerging trends that could impact Archer Daniels' business and its evolving consumer preferences.
- Compare Archer Daniels' performance and market position to its competitors. Analyze how Archer Daniels is positioned in terms of product offerings, innovation, and market share.
- Check if Archer Daniels pays a dividend and its dividend yield and payout ratio.
- Review what financial analysts are saying about Archer Daniels' stock and their price targets. However, remember that analysts' opinions can vary, and their predictions may not always be accurate.
It's important to note that investing in Archer Daniels Midland stock, carries risks, and you should carefully consider your investment goals and risk tolerance before making any investment decisions. Also, remember that it's important for investors to have a long-term perspective and a well-diversified portfolio to manage the impact of stock market volatility on their investments. Below is a detailed guide on how to decide if Archer Daniels Midland is a good investment.
Sell | Buy |
Strong Sell
Market Performance | Very Weak | Details | |
Volatility | Very steady | Details | |
Hype Condition | Stale | Details | |
Current Valuation | Overvalued | Details | |
Odds Of Distress | Low | Details | |
Economic Sensitivity | Moves indifferently to market moves | Details | |
Investor Sentiment | Alarmed | Details | |
Analyst Consensus | Hold | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unavailable | Details |
Examine Archer Daniels Stock
Researching Archer Daniels' stock involves analyzing various aspects of the company and its industry to make an informed investment decision. The key areas to focus on are fundamentals, business model and competitive advantage. It is also important to analyze trends in revenue, net income, and cash flow, as well as key financial ratios, such as price-to-earnings (P/E), price-to-sales (P/S), and debt-to-equity (D/E). About 82.0% of the company shares are held by institutions such as insurance companies. The company has price-to-book (P/B) ratio of 1.0. Some equities with similar Price to Book (P/B) outperform the market in the long run. Archer Daniels Midland last dividend was issued on the 18th of February 2025. The entity had 105:100 split on the 30th of August 2001.
To determine if Archer Daniels is a good investment, evaluating the company's potential for future growth is also very important. This may include expanding into new markets, launching new products or services, or improving operational efficiency. Companies with strong growth prospects can be more attractive investments. This aspect of the research should be conducted in the context of the overall market and industry in which the company operates and should include an analysis of growth potential, competitive landscape, and any regulatory or economic factors that could impact the business. Some of the essential points regarding Archer Daniels' research are outlined below:
| Archer Daniels generated a negative expected return over the last 90 days | |
| Over 82.0% of the company shares are held by institutions such as insurance companies | |
| On 11th of March 2025 Archer Daniels paid $ 0.51 per share dividend to its current shareholders | |
| Latest headline from news.google.com: Semanteon Capital Management LP Acquires Shares of 12,146 Archer-Daniels-Midland Company - MarketBeat |
Archer Daniels Quarterly Liabilities And Stockholders Equity |
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Archer Daniels uses earnings reports to provide investors with an update of all three financial statements, including the income statement, the balance sheet, and the cash flow statement. Therefore, it is also crucial when considering investing in Archer Daniels Midland. Every quarterly earnings report provides investors with an overview of sales, expenses, and net income for the most recent period. It also may provide a comparison to Archer Daniels' previous reporting period. The quarterly earnings reports are usually disseminated to the public via Form 10-Q, which is a legal document filed with the Securities and Exchange Commission every quarter.
| 25th of January 2024 Upcoming Quarterly Report | View | |
| 23rd of April 2024 Next Financial Report | View | |
| 31st of December 2023 Next Fiscal Quarter End | View | |
| 25th of January 2024 Next Fiscal Year End | View | |
| 30th of September 2023 Last Quarter Report | View | |
| 31st of December 2022 Last Financial Announcement | View |
Earnings surprises can significantly impact Archer Daniels' stock price both in the short term and over time. Negative earnings surprises usually result in a price decline. However, it has been seen that positive earnings surprises lead to an immediate rise in a stock's price and a gradual increase over time. This is why we often hear news about some companies beating earning projections. Financial analysts spend a large amount of time predicting earnings per share (EPS) along with other important future indicators. Many analysts use forecasting models, management guidance, and additional fundamental information to derive an EPS estimate. Below are the table of largest EPS Surprises Archer Daniels' investors have experienced.
| Reported | Fiscal Date | Estimated EPS | Reported EPS | Surprise | |||
|---|---|---|---|---|---|---|---|
1999-07-16 | 1999-06-30 | 0.05 | 0.06 | 0.01 | 20 | ||
2001-01-19 | 2000-12-31 | 0.17 | 0.19 | 0.02 | 11 | ||
2000-07-21 | 2000-06-30 | 0.17 | 0.19 | 0.02 | 11 | ||
2001-07-23 | 2001-06-30 | 0.16 | 0.13 | -0.03 | 18 | ||
1998-10-15 | 1998-09-30 | 0.12 | 0.09 | -0.03 | 25 | ||
1996-04-15 | 1996-03-31 | 0.22 | 0.25 | 0.03 | 13 | ||
2003-10-31 | 2003-09-30 | 0.19 | 0.23 | 0.04 | 21 | ||
2000-01-18 | 1999-12-31 | 0.11 | 0.15 | 0.04 | 36 |
Archer Daniels Target Price Consensus
Archer target price is determined by taking all analyst projections and averaging them out. There is no one specific way to measure analysts' performance other than comparing it to past results via a very sophisticated attribution analysis. Archer Daniels' target price projections below should be used in combination with other traditional price prediction techniques such as stock price forecasting, investor sentiment analysis, technical analysis, earnings estimate, and various momentum models.
| 12 | Hold |
Most Archer analysts issue ratings four times a year, at intervals of three months. Ratings are usually accompanied by a target price to help potential investors understand Archer stock's fair price compared to its market value. Analysts arrive at stock ratings after researching the public financial statements of Archer Daniels Midland, talking to its executives and customers, or listening to those companies' conference calls.
Macroaxis Advice Exposure ValuationArcher Daniels Target Price Projection
Archer Daniels' current and average target prices are 46.05 and 56.18, respectively. The current price of Archer Daniels is the price at which Archer Daniels Midland is currently trading. On the other hand, Archer Daniels' target price is what analysts think the stock is worth or could sell for in the future. The more significant the discrepancy between the two prices, the more it stimulates investors to act.Current Price
Archer Daniels Market Quote on 26th of March 2025
Target Price
Analyst Consensus On Archer Daniels Target Price
Archer Daniels Analyst Ratings
Archer Daniels' analyst stock recommendations are determined by taking an average estimate of all analysts we track and classifying them as Strong Buy, Buy, Hold, Strong Sell, or Sell. Ratings generally communicate what analysts sense about Archer Daniels stock, and they use a lot of effort and time to analyze it and arrive at a rating. That suggests that analyst recommendations are the outcome of an objective and thorough examination of Archer Daniels' financials, market performance, and future outlook by experienced professionals. Archer Daniels' historical ratings below, therefore, can serve as a valuable tool for investors.Know Archer Daniels' Top Institutional Investors
Have you ever been surprised when a price of an equity instrument such as Archer Daniels is soaring high without any particular reason? This is usually happening because many institutional investors are aggressively trading Archer Daniels Midland backward and forwards among themselves. Archer Daniels' institutional investor refers to the entity that pools money to purchase Archer Daniels' securities or originate loans. Institutional investors include commercial and private banks, credit unions, insurance companies, pension funds, hedge funds, endowments, and mutual funds. Operating companies that invest excess capital in these types of assets may also be included in the term and may influence corporate governance by exercising voting rights in their investments.
| Shares | Ameriprise Financial Inc | 2024-12-31 | 5.2 M | Jacobs Levy Equity Management, Inc. | 2024-12-31 | 4.2 M | Fmr Inc | 2024-12-31 | 4 M | Charles Schwab Investment Management Inc | 2024-12-31 | 3.9 M | Moneta Group Investment Advisors Inc | 2024-12-31 | 3.8 M | Proshare Advisors Llc | 2024-12-31 | 3.4 M | Goldman Sachs Group Inc | 2024-12-31 | 3.2 M | Ubs Group Ag | 2024-12-31 | 3.2 M | Bank Of New York Mellon Corp | 2024-12-31 | 3.1 M | Vanguard Group Inc | 2024-12-31 | 62.4 M | State Farm Mutual Automobile Ins Co | 2024-12-31 | 46.8 M |
Archer Daniels' market capitalization trends
The company currently falls under 'Large-Cap' category with a total capitalization of 22.09 B.Market Cap |
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Archer Daniels' profitablity analysis
| Last Reported | Projected for Next Year | ||
| Return On Tangible Assets | 0.04 | 0.05 | |
| Return On Capital Employed | 0.06 | 0.06 | |
| Return On Assets | 0.03 | 0.05 | |
| Return On Equity | 0.08 | 0.08 |
Determining Archer Daniels' profitability involves analyzing its financial statements and using various financial metrics to determine if Archer Daniels is a good buy. For example, gross profit margin measures Archer Daniels' profitability after accounting for the cost of goods sold, while net profit margin measures profitability after accounting for all expenses. Other important metrics include return on assets, return on equity, and free cash flow. By reviewing multiple sources and metrics, you can gain a complete picture of Archer Daniels' profitability and make more informed investment decisions.
Evaluate Archer Daniels' management efficiency
Archer Daniels Midland has Return on Asset of 0.0233 % which means that on every $100 spent on assets, it made $0.0233 of profit. This is way below average. In the same way, it shows a return on shareholders' equity (ROE) of 0.0759 %, implying that it generated $0.0759 on every 100 dollars invested. Archer Daniels' management efficiency ratios could be used to measure how well Archer Daniels manages its routine affairs as well as how well it operates its assets and liabilities. At this time, Archer Daniels' Return On Tangible Assets are very stable compared to the past year. As of the 26th of March 2025, Return On Assets is likely to grow to 0.05, while Return On Capital Employed is likely to drop 0.06. At this time, Archer Daniels' Return On Assets are very stable compared to the past year.| Last Reported | Projected for Next Year | ||
| Book Value Per Share | 46.93 | 49.27 | |
| Tangible Book Value Per Share | 32.77 | 34.40 | |
| Enterprise Value Over EBITDA | 8.21 | 11.47 | |
| Price Book Value Ratio | 1.09 | 1.63 | |
| Enterprise Value Multiple | 8.21 | 11.47 | |
| Price Fair Value | 1.09 | 1.63 | |
| Enterprise Value | 28.6 B | 30 B |
Management at Archer Daniels Midland focuses on leveraging technology and optimizing operations. We evaluate the impact of these focuses on the company's financial health and stock performance.
Basic technical analysis of Archer Stock
As of the 26th of March, Archer Daniels shows the risk adjusted performance of (0.06), and Mean Deviation of 1.33. Archer Daniels Midland technical analysis gives you the methodology to make use of historical prices and volume patterns to determine a pattern that approximates the direction of the firm's future prices. Please confirm Archer Daniels Midland information ratio, and the relationship between the coefficient of variation and value at risk to decide if Archer Daniels Midland is priced correctly, providing market reflects its regular price of 46.05 per share. Given that Archer Daniels has information ratio of (0.08), we suggest you to validate Archer Daniels Midland's prevailing market performance to make sure the company can sustain itself at a future point.Archer Daniels' insider trading activities
Some recent studies suggest that insider trading raises the cost of capital for securities issuers and decreases overall economic growth. Trading by specific Archer Daniels insiders, such as employees or executives, is commonly permitted as long as it does not rely on Archer Daniels' material information that is not in the public domain. Local jurisdictions usually require such trading to be reported in order to monitor insider transactions. In many U.S. states, trading conducted by corporate officers, key employees, directors, or significant shareholders must be reported to the regulator or publicly disclosed, usually within a few business days of the trade. In these cases Archer Daniels insiders are required to file a Form 4 with the U.S. Securities and Exchange Commission (SEC) when buying or selling shares of their own companies.
Archer Daniels' Outstanding Corporate Bonds
Archer Daniels issues bonds to finance its operations. Corporate bonds make up one of the largest components of the U.S. bond market, which is considered the world's largest securities market. Archer Daniels Midland uses the proceeds from bond sales for a wide variety of purposes, including financing ongoing mergers and acquisitions, buying new equipment, investing in research and development, buying back their own stock, paying dividends to shareholders, and even refinancing existing debt. Most Archer bonds can be classified according to their maturity, which is the date when Archer Daniels Midland has to pay back the principal to investors. Maturities can be short-term, medium-term, or long-term (more than ten years). Longer-term bonds usually offer higher interest rates but may entail additional risks.
| Dana 575 percent Corp BondUS235822AB96 | View | |
| ARCHER DANIELS MIDLAND 75 Corp BondUS039483AM40 | View | |
| US039483AN23 Corp BondUS039483AN23 | View | |
| ARCHER DANIELS MIDLAND 25 Corp BondUS039483BL57 | View | |
| ARCHER DANIELS MIDLAND 45 Corp BondUS039483BQ45 | View | |
| ARCHER DANIELS MIDLAND 4535 Corp BondUS039483BE15 | View | |
| US039483AT92 Corp BondUS039483AT92 | View | |
| US039483AS10 Corp BondUS039483AS10 | View |
Understand Archer Daniels' technical and predictive indicators
Using predictive indicators to make investment decisions involves analyzing Archer Daniels' various financial and market-based factors to help forecast future trends and identify investment opportunities. Select the indicators that are most relevant to your investment strategy. Each indicator has its own strengths and weaknesses, so it's essential to combine multiple indicators to get a more comprehensive view of the market and reduce the risk of making poor decisions based on limited data.
| Risk Adjusted Performance | (0.06) | |||
| Market Risk Adjusted Performance | 1.61 | |||
| Mean Deviation | 1.33 | |||
| Coefficient Of Variation | (1,344) | |||
| Standard Deviation | 1.82 | |||
| Variance | 3.33 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0.15) | |||
| Total Risk Alpha | (0.15) | |||
| Treynor Ratio | 1.6 | |||
| Maximum Drawdown | 8.83 | |||
| Value At Risk | (3.21) | |||
| Potential Upside | 2.87 | |||
| Skewness | (0.06) | |||
| Kurtosis | 0.7507 |
| Risk Adjusted Performance | (0.06) | |||
| Market Risk Adjusted Performance | 1.61 | |||
| Mean Deviation | 1.33 | |||
| Coefficient Of Variation | (1,344) | |||
| Standard Deviation | 1.82 | |||
| Variance | 3.33 | |||
| Information Ratio | (0.08) | |||
| Jensen Alpha | (0.15) | |||
| Total Risk Alpha | (0.15) | |||
| Treynor Ratio | 1.6 | |||
| Maximum Drawdown | 8.83 | |||
| Value At Risk | (3.21) | |||
| Potential Upside | 2.87 | |||
| Skewness | (0.06) | |||
| Kurtosis | 0.7507 |
Consider Archer Daniels' intraday indicators
Archer Daniels intraday indicators are useful technical analysis tools used by many experienced traders. Just like the conventional technical analysis, daily indicators help intraday investors to analyze the price movement with the timing of Archer Daniels stock daily movement. By combining multiple daily indicators into a single trading strategy, you can limit your risk while still earning strong returns on your managed positions.
Archer Daniels Corporate Filings
| 25th of March 2025 Other Reports | ViewVerify | |
F4 | 21st of March 2025 The report filed by a party regarding the acquisition or disposition of a company's common stock, as well as derivative securities such as options, warrants, and convertible securities | ViewVerify |
F3 | 4th of March 2025 The report used by insiders such as officers, directors, and major shareholders (beneficial owners holding more than 10% of any class of the company's equity securities) to declare their ownership of a company's stock | ViewVerify |
10K | 20th of February 2025 Annual report required by the U.S. Securities and Exchange Commission (SEC) of a company financial performance | ViewVerify |
Archer Stock media impact
Far too much social signal, news, headlines, and media speculation about Archer Daniels that are available to investors today. That information is available publicly through Archer media outlets and privately through word of mouth or via Archer internal channels. However, regardless of the origin, that massive amount of Archer data is challenging to quantify into actionable patterns, especially for investors that are not very sophisticated with ever-evolving tools and techniques used in the investment management field.
A primary focus of Archer Daniels news analysis is to determine if its current price reflects all relevant headlines and social signals impacting the current market conditions. A news analyst typically looks at the history of Archer Daniels relative headlines and hype rather than examining external drivers such as technical or fundamental data. It is believed that price action tends to repeat itself due to investors' collective, patterned thinking related to Archer Daniels' headlines and news coverage data. This data is often completely overlooked or insufficiently analyzed for actionable insights to drive Archer Daniels alpha.
Archer Daniels Sentiment by Major News Outlets
Investor sentiment, mood or attitude towards Archer Daniels can have a significant impact on its stock price or the market as a whole. This sentiment can be positive or negative, and various factors, such as economic indicators, news events, or market trends, can influence it. When investor sentiment is positive, investors are more likely to buy stocks, increasing demand and increasing the stock price. Positive investor sentiment can be driven by good news about the company or the broader market, such as solid earnings reports or positive economic data.
Note that negative investor sentiment can cause investors to sell stocks, leading to a decrease in demand and a drop in the stock price. Negative sentiment can be driven by factors such as poor earnings reports, negative news about the company or industry, or broader economic concerns. It's important to note that investor sentiment is just one of many factors that can affect stock prices. Other factors, such as company performance, industry trends, and global economic conditions, can also play a significant role in determining the value of a stock.
Archer Daniels Midland Historical Investor Sentiment
Investor biases related to Archer Daniels' public news can be used to forecast risks associated with an investment in Archer. The trend in average sentiment can be used to explain how an investor holding Archer can time the market purely based on public headlines and social activities around Archer Daniels Midland. Please note that most equities that are difficult to arbitrage are affected by market sentiment the most.
Archer Daniels' market sentiment shows the aggregated news analyzed to detect positive and negative mentions from the text and comments. The data is normalized to provide daily scores for Archer Daniels and other traded tickers. The bigger the bubble, the more accurate the estimated score. Higher bars for a given day show more participation in the average Archer Daniels news discussions. The higher the estimate score, the more favorable the investor's outlook on Archer Daniels.
Archer Daniels Maximum Pain Price Across June 20th 2025 Option Contracts
Archer Daniels' options can also be used to analyze investors' bias and current market sentiment in the context of behavioral finance. For example, Max pain usually refers to a trading concept that asserts that market manipulation can cause the market price of Archer Daniels close to the expiration of its current option contract to expire worthlessly. According to most research, about 35% of options are not executed, with roughly 50% traded out before expiration. So, Max pain occurs when market makers reach a net favorable position across all options at a strike price where option holders stand to lose the most money. By contrast, option sellers may reap the most after selling more options than buying, causing them to expire worthlessly. Please continue to view the detailed analysis of Archer Daniels' options.
Archer Daniels Corporate Directors
| Terrel Crews | Independent Director | Profile | |
| Debra Sandler | Independent Director | Profile | |
| Francisco Sanchez | Independent Director | Profile | |
| Michael Burke | Independent Director | Profile |
Already Invested in Archer Daniels Midland?
The danger of trading Archer Daniels Midland is mainly related to its market volatility and Company specific events. As an investor, you must understand the concept of risk-adjusted return before you start trading. The most common way to measure the risk of Archer Daniels is by using the Sharpe ratio. The ratio expresses how much excess return you acquire for the extra volatility you endure for holding a more risker asset than Archer Daniels. The Sharpe ratio is calculated by using standard deviation and excess return to determine reward per unit of risk. To understand how volatile Archer Daniels Midland is, you must compare it to a benchmark. Traditionally, the risk-free rate of return is the rate of return on the shortest-dated U.S. Treasury, such as a 3-year bond.
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 Trending Equities to better understand how to build diversified portfolios, which includes a position in Archer Daniels Midland. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in unemployment. You can also try the Bond Analysis module to evaluate and analyze corporate bonds as a potential investment for your portfolios..
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.
Quarterly Earnings Growth 0.103 | Dividend Share 2 | Earnings Share 3.65 | Revenue Per Share | Quarterly Revenue Growth (0.06) |
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.
In summary, please note that there is a difference between Archer Daniels' value and its price, as these two are different measures arrived at by various 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.