Archer-Daniels-Midland (NYSE:ADM) Authorizes Share Repurchase Plan

Archer-Daniels-Midland (NYSE:ADM) announced that its board has initiated a share repurchase plan on Wednesday, December 11th, RTT News reports. The company plans to repurchase 100,000,000 outstanding shares. This repurchase authorization authorizes the company to repurchase 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.

Archer-Daniels-Midland Price Performance

NYSE:ADM opened at $52.41 on Friday. The business’s 50-day moving average price is $54.64 and its 200 day moving average price is $58.72. The firm has a market cap of $25.08 billion, a P/E ratio of 14.91 and a beta of 0.72. Archer-Daniels-Midland has a 52-week low of $48.92 and a 52-week high of $77.35. The company has a quick ratio of 0.84, a current ratio of 1.40 and a debt-to-equity ratio of 0.34.

Archer-Daniels-Midland Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, December 12th. Investors of record on Thursday, November 21st were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a yield of 3.82%. The ex-dividend date of this dividend was Thursday, November 21st. Archer-Daniels-Midland’s payout ratio is currently 57.14%.

Wall Street Analysts Forecast Growth

A number of equities research analysts have issued reports on the company. Stephens assumed coverage on Archer-Daniels-Midland in a research note on Wednesday. They issued an “equal weight” rating and a $55.00 target price on the stock. BMO Capital Markets lowered their price target on Archer-Daniels-Midland from $55.00 to $51.00 and set a “market perform” rating on the stock in a report on Wednesday, December 4th. Barclays lowered their price target on Archer-Daniels-Midland from $60.00 to $56.00 and set an “underweight” rating on the stock in a report on Wednesday, December 4th. UBS Group raised their price target on Archer-Daniels-Midland from $60.00 to $64.00 and gave the company a “neutral” rating in a report on Monday, September 9th. Finally, Morgan Stanley lowered their price target on Archer-Daniels-Midland from $57.00 to $52.00 and set an “equal weight” rating on the stock in a report on Tuesday, November 12th. One research analyst has rated the stock with a sell rating and fifteen have assigned a hold rating to the stock. According to MarketBeat, the company has an average rating of “Hold” and a consensus price target of $60.62.

Archer-Daniels-Midland Company Profile

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.