Federated Hermes Inc. Lowers Stock Holdings in Archer-Daniels-Midland Company (NYSE:ADM)

Federated Hermes Inc. reduced its position in shares of Archer-Daniels-Midland Company (NYSE:ADM) by 42.6% in the 4th quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 152,421 shares of the company’s stock after selling 113,341 shares during the period. Federated Hermes Inc.’s holdings in Archer-Daniels-Midland were worth $11,008,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds and other institutional investors have also modified their holdings of ADM. Orion Capital Management LLC purchased a new position in shares of Archer-Daniels-Midland during the third quarter worth $28,000. Tompkins Financial Corp purchased a new position in shares of Archer-Daniels-Midland during the third quarter worth $28,000. Legacy Financial Group LLC acquired a new stake in shares of Archer-Daniels-Midland in the third quarter valued at $30,000. Operose Advisors LLC acquired a new stake in shares of Archer-Daniels-Midland in the third quarter valued at $30,000. Finally, Strengthening Families & Communities LLC raised its stake in shares of Archer-Daniels-Midland by 37.3% in the third quarter. Strengthening Families & Communities LLC now owns 641 shares of the company’s stock valued at $48,000 after acquiring an additional 174 shares in the last quarter. 78.28% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on ADM. Stifel Nicolaus cut Archer-Daniels-Midland from a “buy” rating to a “hold” rating and reduced their price objective for the company from $116.00 to $56.00 in a research note on Monday, January 22nd. The Goldman Sachs Group cut Archer-Daniels-Midland from a “buy” rating to a “neutral” rating and reduced their price objective for the company from $90.00 to $67.00 in a research note on Monday, January 22nd. Robert W. Baird cut Archer-Daniels-Midland from an “outperform” rating to a “neutral” rating and reduced their price objective for the company from $96.00 to $61.00 in a research note on Monday, January 22nd. Roth Capital cut Archer-Daniels-Midland from a “buy” rating to a “neutral” rating in a research note on Monday, January 22nd. Finally, Argus cut Archer-Daniels-Midland from a “buy” rating to a “hold” rating in a research note on Tuesday, January 23rd. One equities research analyst has rated the stock with a sell rating and fifteen have given a hold rating to the stock. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $67.50.

Archer-Daniels-Midland Stock Performance

Shares of ADM stock opened at $61.80 on Wednesday. The stock’s 50-day moving average is $58.64 and its two-hundred day moving average is $65.40. The firm has a market cap of $31.01 billion, a price-to-earnings ratio of 9.66 and a beta of 0.77. Archer-Daniels-Midland Company has a 1 year low of $50.72 and a 1 year high of $87.30. The company has a debt-to-equity ratio of 0.34, a quick ratio of 0.95 and a current ratio of 1.60.

Archer-Daniels-Midland (NYSE:ADM) last issued its quarterly earnings data on Tuesday, March 12th. The company reported $1.36 earnings per share (EPS) for the quarter, missing the consensus estimate of $1.43 by ($0.07). The firm had revenue of $22.98 billion for the quarter, compared to analysts’ expectations of $23.79 billion. Archer-Daniels-Midland had a return on equity of 15.25% and a net margin of 3.71%. The business’s revenue for the quarter was down 11.4% compared to the same quarter last year. During the same period in the previous year, the business posted $1.93 EPS. Analysts predict that Archer-Daniels-Midland Company will post 5.48 earnings per share for the current year.

Archer-Daniels-Midland Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, February 29th. Shareholders of record on Thursday, February 8th were issued a dividend of $0.50 per share. This is a positive change from Archer-Daniels-Midland’s previous quarterly dividend of $0.45. The ex-dividend date of this dividend was Wednesday, February 7th. This represents a $2.00 annualized dividend and a dividend yield of 3.24%. Archer-Daniels-Midland’s dividend payout ratio (DPR) is presently 31.25%.

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

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.