How Archer-Daniels-Midland Company (ADM) Fits into Your Portfolio of Affordable Dividend Stocks

Archer-Daniels-Midland Company (NYSE:ADM) is included among the 11 Best Affordable Dividend Stocks to Buy Now.

Archer-Daniels-Midland Company (NYSE:ADM) is the leading global provider of agricultural processing and trading products, including ingredients for food, animal feed, and biofuels. The company not only farms key crops such as soybeans, corn, and wheat, but it also paces innovation. The company’s achievements include the invention of textured vegetable protein and contributions to high-fructose corn syrup, ethanol, and Omega-3 fatty acids.

Archer-Daniels-Midland Company (NYSE:ADM) is among the world’s largest companies by revenue, as its 2024 revenue stands at $86 billion. The company has been paying dividends for 93 consecutive years. In addition, it remains a Dividend King with 51 consecutive years of dividend raises. Currently, it pays a quarterly dividend of $0.51 per share and has a dividend yield of 3.44%, as of October 2.

Archer-Daniels-Midland Company (NYSE:ADM) experienced consistent profit growth from 2016 to 2022, anchored by strong demand for crops and biofuels. More recently, its profits have been squeezed by deteriorating crush margins in processing soybeans, softer demand in its nutrition unit, and uncertainty over biofuel regulations.

Nevertheless, Archer-Daniels-Midland Company (NYSE:ADM)’s sheer size and the fact that it is vertically integrated offer it a significant competitive advantage. With demand for food and biofuels worldwide increasing, the company has good potential for consistent long-term growth.

While we acknowledge the potential of ADM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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