The most recent trading session ended with Archer Daniels Midland (ADM) standing at $47.75, reflecting a -0.06% shift from the previouse trading day's closing. The stock's performance was behind the S&P 500's daily gain of 0.15%. Elsewhere, the Dow gained 0.35%, while the tech-heavy Nasdaq lost 0.09%.
The agribusiness giant's stock has dropped by 0.89% in the past month, falling short of the Consumer Staples sector's gain of 0.04% and the S&P 500's loss of 0.21%.
The upcoming earnings release of Archer Daniels Midland will be of great interest to investors. The company's earnings report is expected on May 6, 2025. In that report, analysts expect Archer Daniels Midland to post earnings of $0.69 per share. This would mark a year-over-year decline of 52.74%. Meanwhile, the latest consensus estimate predicts the revenue to be $20.69 billion, indicating a 5.28% decrease compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $4.16 per share and a revenue of $87.87 billion, indicating changes of -12.24% and +2.74%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for Archer Daniels Midland. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. Over the past month, there's been a 1.93% fall in the Zacks Consensus EPS estimate. Archer Daniels Midland presently features a Zacks Rank of #4 (Sell).
Valuation is also important, so investors should note that Archer Daniels Midland has a Forward P/E ratio of 11.49 right now. This represents a discount compared to its industry's average Forward P/E of 14.37.
We can additionally observe that ADM currently boasts a PEG ratio of 1.92. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. ADM's industry had an average PEG ratio of 1.52 as of yesterday's close.
The Agriculture - Operations industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 148, putting it in the bottom 41% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Archer Daniels Midland Company (ADM): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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