Bank of America Cuts Archer-Daniels-Midland (NYSE:ADM) Price Target to $48.00

Archer-Daniels-Midland (NYSE:ADM) had its target price trimmed by Bank of America from $54.00 to $48.00 in a research report released on Tuesday morning,Benzinga reports. The firm currently has an underperform rating on the stock.

ADM has been the topic of a number of other research reports. Citigroup upped their price target on Archer-Daniels-Midland from $51.00 to $55.00 and gave the company a “neutral” rating in a research report on Wednesday, December 4th. BMO Capital Markets dropped their price target on Archer-Daniels-Midland from $51.00 to $49.00 and set a “market perform” rating on the stock in a research report on Wednesday, February 5th. Barclays dropped their price objective on Archer-Daniels-Midland from $56.00 to $50.00 and set an “underweight” rating on the stock in a report on Tuesday, January 21st. Morgan Stanley dropped their price objective 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. Finally, Stephens dropped their price objective on Archer-Daniels-Midland from $55.00 to $52.00 in a report on Tuesday, February 4th. Two research analysts have rated the stock with a sell rating and seven have assigned a hold rating to the stock. According to MarketBeat, Archer-Daniels-Midland has a consensus rating of “Hold” and an average target price of $55.11.

Archer-Daniels-Midland Stock Up 1.2 %

Shares of NYSE:ADM opened at $45.78 on Tuesday. The company has a market capitalization of $21.91 billion, a PE ratio of 12.68 and a beta of 0.72. The company has a debt-to-equity ratio of 0.37, a current ratio of 5.44 and a quick ratio of 0.84. The business has a fifty day moving average price of $50.29 and a two-hundred day moving average price of $55.01. Archer-Daniels-Midland has a 1 year low of $44.92 and a 1 year high of $66.08.

Archer-Daniels-Midland (NYSE:ADM) last announced its quarterly earnings data on Tuesday, February 4th. The company reported $1.14 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.07 by $0.07. Archer-Daniels-Midland had a return on equity of 10.44% and a net margin of 2.10%. The firm had revenue of $21.50 billion during the quarter, compared to the consensus estimate of $22.77 billion. During the same quarter in the prior year, the company earned $1.36 EPS. The business’s revenue for the quarter was down 6.4% on a year-over-year basis. Analysts forecast that Archer-Daniels-Midland will post 4.53 earnings per share for the current year.

Archer-Daniels-Midland Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 11th. Shareholders of record on Tuesday, February 18th will be issued a $0.51 dividend. The ex-dividend date of this dividend is Tuesday, February 18th. This represents a $2.04 annualized dividend and a dividend yield of 4.46%. This is a boost from Archer-Daniels-Midland’s previous quarterly dividend of $0.50. Archer-Daniels-Midland’s dividend payout ratio (DPR) is presently 55.40%.

Archer-Daniels-Midland declared that its Board of Directors has approved a stock repurchase plan on Wednesday, December 11th that permits the company to buyback 100,000,000 outstanding shares. This buyback authorization permits the company to repurchase shares of its stock through open market purchases. Stock buyback plans are generally a sign that the company’s management believes its shares are undervalued.

Hedge Funds Weigh In On Archer-Daniels-Midland

Several institutional investors have recently modified their holdings of the company. Lake Street Advisors Group LLC increased its position in shares of Archer-Daniels-Midland by 4.8% during the 3rd quarter. Lake Street Advisors Group LLC now owns 4,015 shares of the company’s stock valued at $240,000 after purchasing an additional 183 shares during the last quarter. OLD National Bancorp IN grew its position in Archer-Daniels-Midland by 0.9% during the 3rd quarter. OLD National Bancorp IN now owns 20,648 shares of the company’s stock worth $1,234,000 after acquiring an additional 189 shares during the last quarter. NorthCrest Asset Manangement LLC grew its position in Archer-Daniels-Midland by 4.1% during the 3rd quarter. NorthCrest Asset Manangement LLC now owns 5,125 shares of the company’s stock worth $306,000 after acquiring an additional 201 shares during the last quarter. West Financial Advisors LLC grew its position in Archer-Daniels-Midland by 10.1% during the 4th quarter. West Financial Advisors LLC now owns 2,201 shares of the company’s stock worth $111,000 after acquiring an additional 201 shares during the last quarter. Finally, Hantz Financial Services Inc. grew its position in Archer-Daniels-Midland by 10.8% during the 4th quarter. Hantz Financial Services Inc. now owns 2,152 shares of the company’s stock worth $109,000 after acquiring an additional 210 shares during the last quarter. 78.28% of the stock is currently owned by institutional investors.

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.