Archer Daniels Midland Co. (ADM) Beta Value: Understanding the Market Risk

The price-to-earnings ratio for Archer Daniels Midland Co. (NYSE: ADM) is above average at 11.56x. The 36-month beta value for ADM is also noteworthy at 0.71. There are mixed opinions on the stock, with 1 analysts rating it as a “buy,” 1 rating it as “overweight,” 12 rating it as “hold,” and 1 rating it as “sell.”

The public float for ADM is 474.89M, and at present, short sellers hold a 1.70% of that float. The average trading volume of ADM on October 16, 2024 was 2.63M shares.

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ADM) stock’s latest price update

The stock of Archer Daniels Midland Co. (NYSE: ADM) has decreased by -0.41 when compared to last closing price of 57.91. Despite this, the company has experienced a 0.21% gain in its stock price over the last five trading sessions. seekingalpha.com reported 2024-10-11 that A Dividend King is a stock with 50 or more consecutive years of dividend increases per suredividend.com. The 53 Dividend Kings, screened as of October 8, represented 8 of 11 Morningstar Sectors. Broker-targeted top-ten net-gains ranged 13.99%-20.65% topped by Northwest Natural and United Bankshares. By yield, Altria tops all. Top-ten October dogs: HRL, KVUE, FRT, UBSI, FTS, BKH, NWN, CDUAF, UVV, and MO averaged 4.87% in yield.

ADM’s Market Performance

ADM’s stock has risen by 0.21% in the past week, with a monthly drop of -4.54% and a quarterly drop of -12.25%. The volatility ratio for the week is 1.76% while the volatility levels for the last 30 days are 2.00% for Archer Daniels Midland Co. The simple moving average for the past 20 days is -2.54% for ADM’s stock, with a -4.33% simple moving average for the past 200 days.

Analysts’ Opinion of ADM

Many brokerage firms have already submitted their reports for ADM stocks, with Citigroup repeating the rating for ADM by listing it as a “Neutral.” The predicted price for ADM in the upcoming period, according to Citigroup is $57 based on the research report published on February 01, 2024 of the current year 2024.

Stifel gave a rating of “Hold” to ADM, setting the target price at $56 in the report published on January 22nd of the current year.

ADM Trading at -2.95% from the 50-Day Moving Average

After a stumble in the market that brought ADM to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -25.44% of loss for the given period.

Volatility was left at 2.00%, however, over the last 30 days, the volatility rate increased by 1.76%, as shares sank -4.61% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -0.88% lower at present.

During the last 5 trading sessions, ADM rose by +0.21%, which changed the moving average for the period of 200-days by -20.20% in comparison to the 20-day moving average, which settled at $59.17. In addition, Archer Daniels Midland Co. saw -20.15% in overturn over a single year, with a tendency to cut further losses.

Insider Trading

Reports are indicating that there were more than several insider trading activities at ADM starting from LUCIANO JUAN R, who sale 170,194 shares at the price of $60.51 back on Sep 03 ’24. After this action, LUCIANO JUAN R now owns 265,210 shares of Archer Daniels Midland Co., valued at $10,298,813 using the latest closing price.

LUCIANO JUAN R, the President & CEO of Archer Daniels Midland Co., sale 45,471 shares at $61.00 during a trade that took place back on Aug 30 ’24, which means that LUCIANO JUAN R is holding 265,210 shares at $2,773,917 based on the most recent closing price.

Stock Fundamentals for ADM

Current profitability levels for the company are sitting at:

  • 0.03 for the present operating margin
  • 0.07 for the gross margin

The net margin for Archer Daniels Midland Co. stands at 0.03. The total capital return value is set at 0.08. Equity return is now at value 11.05, with 4.81 for asset returns.

Based on Archer Daniels Midland Co. (ADM), the company’s capital structure generated 0.33 points at debt to capital in total, while cash flow to debt ratio is standing at 0.44. The debt to equity ratio resting at 0.49. The interest coverage ratio of the stock is 4.06.

Currently, EBITDA for the company is 3.94 billion with net debt to EBITDA at 1.85. When we switch over and look at the enterprise to sales, we see a ratio of 0.4. The receivables turnover for the company is 13.91for trailing twelve months and the total asset turnover is 1.68. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.44.

Conclusion

In summary, Archer Daniels Midland Co. (ADM) has had a bad performance as of late. Analysts have mixed opinions on the stock, with some viewing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.

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