Archer-Daniels-Midland (NYSE:ADM) Cut to “Underperform” at Bank of America

Bank of America lowered shares of Archer-Daniels-Midland (NYSE:ADM) from a neutral rating to an underperform rating in a report released on Thursday, MarketBeat reports. The brokerage currently has $45.00 price target on the stock, down from their prior price target of $47.00.

Several other brokerages have also recently commented on ADM. Barclays reduced their price target on shares of Archer-Daniels-Midland from $50.00 to $48.00 and set an “underweight” rating on the stock in a research report on Monday, February 24th. Morgan Stanley decreased their target price on Archer-Daniels-Midland from $52.00 to $47.00 and set an “equal weight” rating for the company in a research report on Tuesday, February 11th. Stephens dropped their price target on Archer-Daniels-Midland from $55.00 to $52.00 in a research report on Tuesday, February 4th. Citigroup decreased their price objective on shares of Archer-Daniels-Midland from $51.00 to $49.00 and set a “neutral” rating for the company in a report on Tuesday, April 15th. Finally, BMO Capital Markets dropped their target price on shares of Archer-Daniels-Midland from $51.00 to $49.00 and set a “market perform” rating on the stock in a report on Wednesday, February 5th. Two equities research analysts have rated the stock with a sell rating and six have given a hold rating to the company’s stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and an average price target of $52.50.

Archer-Daniels-Midland Trading Up 1.8 %

Shares of ADM opened at $48.55 on Thursday. Archer-Daniels-Midland has a one year low of $40.98 and a one year high of $66.08. The stock has a 50-day moving average price of $47.01 and a 200 day moving average price of $49.54. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.81 and a current ratio of 1.39. The company has a market capitalization of $23.33 billion, a P/E ratio of 13.45, a P/E/G ratio of 1.54 and a beta of 0.69.

Archer-Daniels-Midland (NYSE:ADM) last released its earnings results on Tuesday, May 6th. The company reported $0.70 EPS for the quarter, beating the consensus estimate of $0.69 by $0.01. The company had revenue of $20.18 billion during the quarter, compared to analysts’ expectations of $22.05 billion. Archer-Daniels-Midland had a return on equity of 10.44% and a net margin of 2.10%. The business’s revenue was down 7.7% on a year-over-year basis. During the same period in the prior year, the business posted $1.46 EPS. Sell-side analysts forecast that Archer-Daniels-Midland will post 4.31 EPS for the current fiscal year.

Archer-Daniels-Midland Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Wednesday, June 11th. Stockholders of record on Wednesday, May 21st will be given a dividend of $0.51 per share. The ex-dividend date is Wednesday, May 21st. This represents a $2.04 annualized dividend and a dividend yield of 4.20%. Archer-Daniels-Midland’s dividend payout ratio is currently 72.86%.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the company. Vanguard Group Inc. boosted its position in shares of Archer-Daniels-Midland by 1.1% during the fourth quarter. Vanguard Group Inc. now owns 62,359,269 shares of the company’s stock worth $3,150,390,000 after buying an additional 706,567 shares during the period. Wellington Management Group LLP boosted its position in Archer-Daniels-Midland by 8.9% during the 4th quarter. Wellington Management Group LLP now owns 21,152,539 shares of the company’s stock worth $1,068,626,000 after acquiring an additional 1,722,428 shares during the period. Charles Schwab Investment Management Inc. grew its stake in shares of Archer-Daniels-Midland by 350.4% in the first quarter. Charles Schwab Investment Management Inc. now owns 17,455,324 shares of the company’s stock worth $838,030,000 after purchasing an additional 13,579,379 shares in the last quarter. Geode Capital Management LLC increased its holdings in shares of Archer-Daniels-Midland by 2.2% during the fourth quarter. Geode Capital Management LLC now owns 11,715,040 shares of the company’s stock valued at $590,305,000 after purchasing an additional 247,647 shares during the period. Finally, Northern Trust Corp raised its stake in shares of Archer-Daniels-Midland by 2.6% during the fourth quarter. Northern Trust Corp now owns 11,035,011 shares of the company’s stock valued at $557,489,000 after purchasing an additional 275,792 shares in the last quarter. 78.28% of the stock is owned by institutional investors and hedge funds.

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.