Archer-Daniels-Midland (NYSE:ADM) Hits New 12-Month Low – What’s Next?

Archer-Daniels-Midland Company (NYSE:ADM) shares reached a new 52-week low during trading on Wednesday . The company traded as low as $48.77 and last traded at $48.78, with a volume of 177970 shares changing hands. The stock had previously closed at $49.43.

Wall Street Analyst Weigh In

Several equities research analysts have weighed in on ADM shares. Stephens began coverage on Archer-Daniels-Midland in a report on Wednesday, December 11th. They issued an “equal weight” rating and a $55.00 price objective for the company. Morgan Stanley reduced their price objective on shares of Archer-Daniels-Midland from $57.00 to $52.00 and set an “equal weight” rating on the stock in a research report on Tuesday, November 12th. BMO Capital Markets cut their target price on shares of Archer-Daniels-Midland from $55.00 to $51.00 and set a “market perform” rating on the stock in a research note on Wednesday, December 4th. Citigroup increased their price target on shares of Archer-Daniels-Midland from $51.00 to $55.00 and gave the stock a “neutral” rating in a research note on Wednesday, December 4th. Finally, Barclays cut their price objective on Archer-Daniels-Midland from $60.00 to $56.00 and set an “underweight” rating on the stock in a research report on Wednesday, December 4th. One research analyst has rated the stock with a sell rating and fifteen have given a hold rating to the company. Based on data from MarketBeat, Archer-Daniels-Midland presently has an average rating of “Hold” and an average target price of $60.62.

Archer-Daniels-Midland Stock Up 2.3 %

The company has a market capitalization of $24.40 billion, a price-to-earnings ratio of 14.57 and a beta of 0.72. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.84 and a current ratio of 1.40. The business’s 50 day moving average is $51.97 and its 200 day moving average is $57.27.

Archer-Daniels-Midland Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Thursday, December 12th. Stockholders of record on Thursday, November 21st were issued a dividend of $0.50 per share. This represents a $2.00 dividend on an annualized basis and a dividend yield of 3.92%. The ex-dividend date was Thursday, November 21st. Archer-Daniels-Midland’s dividend payout ratio (DPR) is presently 57.14%.

Archer-Daniels-Midland announced that its board has approved a share buyback program on Wednesday, December 11th that permits the company to buyback 100,000,000 shares. This buyback authorization permits the company to buy shares of its stock through open market purchases. Shares buyback programs are usually a sign that the company’s leadership believes its stock is undervalued.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ADM. Private Advisor Group LLC increased its position in shares of Archer-Daniels-Midland by 12.2% in the second quarter. Private Advisor Group LLC now owns 28,215 shares of the company’s stock valued at $1,690,000 after buying an additional 3,079 shares in the last quarter. Acadian Asset Management LLC raised its position in Archer-Daniels-Midland by 684.2% during the second quarter. Acadian Asset Management LLC now owns 15,253 shares of the company’s stock worth $920,000 after acquiring an additional 13,308 shares during the period. Caprock Group LLC purchased a new position in Archer-Daniels-Midland during the second quarter valued at $257,000. Ballentine Partners LLC grew its position in shares of Archer-Daniels-Midland by 13.8% in the second quarter. Ballentine Partners LLC now owns 5,521 shares of the company’s stock valued at $334,000 after purchasing an additional 671 shares during the period. Finally, Quest Partners LLC increased its stake in shares of Archer-Daniels-Midland by 187.7% during the second quarter. Quest Partners LLC now owns 3,234 shares of the company’s stock worth $195,000 after purchasing an additional 2,110 shares in the last quarter. 78.28% of the stock is currently owned by institutional investors and hedge funds.

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.