Archer-Daniels-Midland (NYSE:ADM) Releases FY24 Earnings Guidance

Archer-Daniels-Midland (NYSE:ADM) issued an update on its FY24 earnings guidance on Tuesday morning. The company provided earnings per share (EPS) guidance of $5.25-$6.25 for the period, compared to the consensus estimate of $5.57.

Archer-Daniels-Midland Stock Performance

ADM stock traded up $0.87 during midday trading on Thursday, reaching $59.24. 1,834,358 shares of the company were exchanged, compared to its average volume of 5,836,848. The company has a debt-to-equity ratio of 0.35, a current ratio of 6.35 and a quick ratio of 0.95. The business has a 50-day moving average price of $59.41 and a two-hundred day moving average price of $64.89. Archer-Daniels-Midland has a one year low of $50.72 and a one year high of $87.30. The firm has a market capitalization of $29.72 billion, a price-to-earnings ratio of 10.24 and a beta of 0.78.

Archer-Daniels-Midland (NYSE:ADM) last released its quarterly earnings data on Tuesday, April 30th. The company reported $1.46 EPS for the quarter, topping analysts’ consensus estimates of $1.35 by $0.11. Archer-Daniels-Midland had a net margin of 3.32% and a return on equity of 13.87%. The firm had revenue of $21.85 billion during the quarter, compared to analysts’ expectations of $22.26 billion. During the same period in the previous year, the business posted $2.09 earnings per share. The company’s revenue for the quarter was down 9.2% compared to the same quarter last year. Equities research analysts forecast that Archer-Daniels-Midland will post 5.48 EPS for the current year.

Archer-Daniels-Midland Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 5th. Investors of record on Thursday, May 16th will be paid a $0.50 dividend. This represents a $2.00 dividend on an annualized basis and a yield of 3.38%. Archer-Daniels-Midland’s dividend payout ratio (DPR) is 35.09%.

Archer-Daniels-Midland declared that its Board of Directors has initiated a share repurchase plan on Tuesday, March 12th that permits the company to repurchase $2.00 billion in outstanding shares. This repurchase authorization permits the company to repurchase up to 6.4% of its shares through open market purchases. Shares repurchase plans are typically a sign that the company’s board of directors believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on ADM shares. Roth Mkm cut shares of Archer-Daniels-Midland from a buy rating to a neutral rating and decreased their target price for the stock from $98.00 to $66.00 in a research note on Monday, January 22nd. Stifel Nicolaus lowered shares of Archer-Daniels-Midland from a buy rating to a hold rating and cut their price target for the stock from $116.00 to $56.00 in a report on Monday, January 22nd. Argus lowered shares of Archer-Daniels-Midland from a buy rating to a hold rating in a report on Tuesday, January 23rd. Bank of America cut their price target on shares of Archer-Daniels-Midland from $85.00 to $74.00 and set a neutral rating on the stock in a report on Thursday, March 14th. Finally, Barclays lowered shares of Archer-Daniels-Midland from an overweight rating to an underweight rating and set a $60.00 target price on the stock. in a report on Monday, January 22nd. One investment analyst has rated the stock with a sell rating and fifteen have given a hold rating to the company’s stock. Based on data from MarketBeat.com, Archer-Daniels-Midland has an average rating of Hold and a consensus target price of $67.50.

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.