Archer-Daniels-Midland Company (NYSE:ADM) Short Interest Update

Archer-Daniels-Midland Company (NYSE:ADMGet Free Report) was the target of a significant growth in short interest during the month of March. As of March 15th, there was short interest totalling 7,600,000 shares, a growth of 8.7% from the February 29th total of 6,990,000 shares. Approximately 1.5% of the shares of the stock are sold short. Based on an average trading volume of 6,390,000 shares, the days-to-cover ratio is presently 1.2 days.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently modified their holdings of the company. PCA Investment Advisory Services Inc. purchased a new position in Archer-Daniels-Midland in the second quarter valued at $25,000. Orion Capital Management LLC purchased a new position in Archer-Daniels-Midland in the third quarter valued at $28,000. Tompkins Financial Corp purchased a new position in Archer-Daniels-Midland in the third quarter valued at $28,000. Legacy Financial Group LLC purchased a new position in Archer-Daniels-Midland in the third quarter valued at $30,000. Finally, Operose Advisors LLC purchased a new position in Archer-Daniels-Midland in the third quarter valued at $30,000. 78.28% of the stock is currently owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

A number of equities analysts have commented on ADM shares. The Goldman Sachs Group cut Archer-Daniels-Midland from a “buy” rating to a “neutral” rating and reduced their target price for the company from $90.00 to $67.00 in a report on Monday, January 22nd. Bank of America reduced their target price on Archer-Daniels-Midland from $85.00 to $74.00 and set a “neutral” rating for the company in a report on Thursday, March 14th. BMO Capital Markets cut their price target on Archer-Daniels-Midland from $66.00 to $60.00 and set a “market perform” rating for the company in a report on Wednesday, March 13th. Argus cut Archer-Daniels-Midland from a “buy” rating to a “hold” rating in a report on Tuesday, January 23rd. Finally, UBS Group reaffirmed a “neutral” rating and issued a $51.00 price target (down previously from $104.00) on shares of Archer-Daniels-Midland in a report on Friday, January 26th. One analyst has rated the stock with a sell rating and fifteen have given a hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $67.00.

View Our Latest Research Report on Archer-Daniels-Midland

Archer-Daniels-Midland Price Performance

ADM stock opened at $62.35 on Tuesday. The business has a fifty day moving average of $55.67 and a two-hundred day moving average of $67.12. The company has a quick ratio of 0.95, a current ratio of 1.60 and a debt-to-equity ratio of 0.34. The stock has a market cap of $31.79 billion, a price-to-earnings ratio of 9.74 and a beta of 0.77. Archer-Daniels-Midland has a 52-week low of $50.72 and a 52-week high of $87.30.

Archer-Daniels-Midland (NYSE:ADMGet Free Report) last released its quarterly earnings results on Tuesday, March 12th. The company reported $1.36 EPS for the quarter, missing the consensus estimate of $1.43 by ($0.07). Archer-Daniels-Midland had a return on equity of 15.25% and a net margin of 3.71%. The firm had revenue of $22.98 billion for the quarter, compared to analysts’ expectations of $23.79 billion. During the same quarter in the prior year, the business earned $1.93 earnings per share. The company’s quarterly revenue was down 11.4% on a year-over-year basis. As a group, research analysts anticipate that Archer-Daniels-Midland will post 5.58 earnings per share for the current year.

Archer-Daniels-Midland declared that its board has approved a stock repurchase program on Tuesday, March 12th that permits the company to buyback $2.00 billion in shares. This buyback authorization permits the company to purchase up to 6.4% of its stock through open market purchases. Stock buyback programs are typically an indication that the company’s leadership believes its stock is undervalued.

Archer-Daniels-Midland Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Thursday, February 29th. Stockholders of record on Thursday, February 8th were given a dividend of $0.50 per share. This is a positive change from Archer-Daniels-Midland’s previous quarterly dividend of $0.45. This represents a $2.00 annualized dividend and a dividend yield of 3.21%. The ex-dividend date of this dividend was Wednesday, February 7th. Archer-Daniels-Midland’s dividend payout ratio (DPR) is currently 31.25%.

Archer-Daniels-Midland Company Profile

(Get Free Report)

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.

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