ARCHER-DANIELS-MIDLAND CO (ADM.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ADM - US0394831020 - Common Stock
52.51 EUR
+1.81 (+3.57%)
Overall ADM gets a fundamental rating of 4 out of 10. We evaluated ADM against 60 industry peers in the Food Products industry. ADM has an average financial health and profitability rating. ADM has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
ADM had positive earnings in the past year.
In the past year ADM had a positive cash flow from operations.
In the past 5 years ADM has always been profitable.
Of the past 5 years ADM 4 years had a positive operating cash flow.
1.2 Ratios
ADM has a Return On Assets of 2.29%. This is comparable to the rest of the industry: ADM outperforms 45.00% of its industry peers.
ADM has a Return On Equity of 5.29%. This is comparable to the rest of the industry: ADM outperforms 43.33% of its industry peers.
Looking at the Return On Invested Capital, with a value of 3.69%, ADM is in line with its industry, outperforming 43.33% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for ADM is in line with the industry average of 6.36%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.29% | ||
| ROE | 5.29% | ||
| ROIC | 3.69% |
ROA(3y)5.67%
ROA(5y)5.08%
ROE(3y)13.47%
ROE(5y)12.27%
ROIC(3y)7.66%
ROIC(5y)6.81%
1.3 Margins
The Profit Margin of ADM (1.43%) is worse than 61.67% of its industry peers.
In the last couple of years the Profit Margin of ADM has remained more or less at the same level.
The Operating Margin of ADM (1.83%) is worse than 70.00% of its industry peers.
ADM's Operating Margin has been stable in the last couple of years.
The Gross Margin of ADM (6.22%) is worse than 90.00% of its industry peers.
In the last couple of years the Gross Margin of ADM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.83% | ||
| PM (TTM) | 1.43% | ||
| GM | 6.22% |
OM growth 3Y-12%
OM growth 5Y-1.08%
PM growth 3Y-12.83%
PM growth 5Y-0.27%
GM growth 3Y-1.29%
GM growth 5Y1.04%
2. Health
2.1 Basic Checks
ADM has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
Compared to 1 year ago, ADM has less shares outstanding
ADM has less shares outstanding than it did 5 years ago.
ADM has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.05 indicates that ADM is not in any danger for bankruptcy at the moment.
The Altman-Z score of ADM (3.05) is better than 78.33% of its industry peers.
ADM has a debt to FCF ratio of 1.67. This is a very positive value and a sign of high solvency as it would only need 1.67 years to pay back of all of its debts.
ADM has a Debt to FCF ratio of 1.67. This is amongst the best in the industry. ADM outperforms 95.00% of its industry peers.
A Debt/Equity ratio of 0.30 indicates that ADM is not too dependend on debt financing.
The Debt to Equity ratio of ADM (0.30) is better than 80.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.67 | ||
| Altman-Z | 3.05 |
ROIC/WACC0.45
WACC8.1%
2.3 Liquidity
ADM has a Current Ratio of 1.37. This is a normal value and indicates that ADM is financially healthy and should not expect problems in meeting its short term obligations.
With a decent Current ratio value of 1.37, ADM is doing good in the industry, outperforming 63.33% of the companies in the same industry.
A Quick Ratio of 0.92 indicates that ADM may have some problems paying its short term obligations.
ADM's Quick ratio of 0.92 is in line compared to the rest of the industry. ADM outperforms 60.00% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
ADM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -25.30%.
Measured over the past years, ADM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.32% on average per year.
The Revenue has decreased by -4.37% in the past year.
The Revenue has been growing slightly by 5.76% on average over the past years.
EPS 1Y (TTM)-25.3%
EPS 3Y-3.11%
EPS 5Y12.32%
EPS Q2Q%-15.6%
Revenue 1Y (TTM)-4.37%
Revenue growth 3Y0.11%
Revenue growth 5Y5.76%
Sales Q2Q%2.18%
3.2 Future
Based on estimates for the next years, ADM will show a small growth in Earnings Per Share. The EPS will grow by 0.26% on average per year.
Based on estimates for the next years, ADM will show a decrease in Revenue. The Revenue will decrease by -0.26% on average per year.
EPS Next Y-27.37%
EPS Next 2Y-4.5%
EPS Next 3Y0.04%
EPS Next 5Y0.26%
Revenue Next Year-3.85%
Revenue Next 2Y0.21%
Revenue Next 3Y1.51%
Revenue Next 5Y-0.26%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
ADM is valuated correctly with a Price/Earnings ratio of 16.62.
ADM's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.00. ADM is valued slightly cheaper when compared to this.
A Price/Forward Earnings ratio of 14.24 indicates a correct valuation of ADM.
The rest of the industry has a similar Price/Forward Earnings ratio as ADM.
ADM's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 23.70.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.62 | ||
| Fwd PE | 14.24 |
4.2 Price Multiples
The rest of the industry has a similar Enterprise Value to EBITDA ratio as ADM.
90.00% of the companies in the same industry are more expensive than ADM, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.26 | ||
| EV/EBITDA | 13.37 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.35
EPS Next 2Y-4.5%
EPS Next 3Y0.04%
5. Dividend
5.1 Amount
ADM has a Yearly Dividend Yield of 3.55%. Purely for dividend investing, there may be better candidates out there.
ADM's Dividend Yield is a higher than the industry average which is at 2.24.
Compared to an average S&P500 Dividend Yield of 1.94, ADM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.55% |
5.2 History
On average, the dividend of ADM grows each year by 7.05%, which is quite nice.
Dividend Growth(5Y)7.05%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
82.76% of the earnings are spent on dividend by ADM. This is not a sustainable payout ratio.
ADM's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP82.76%
EPS Next 2Y-4.5%
EPS Next 3Y0.04%
FRA:ADM (1/8/2026, 7:00:00 PM)
52.51
+1.81 (+3.57%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners86.87%
Inst Owner ChangeN/A
Ins Owners0.59%
Ins Owner ChangeN/A
Market Cap25.23B
Revenue(TTM)83.21B
Net Income(TTM)1.19B
Analysts53.68
Price Target50.83 (-3.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.55% |
Yearly Dividend1.69
Dividend Growth(5Y)7.05%
DP82.76%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)8.92%
Min EPS beat(2)6.8%
Max EPS beat(2)11.04%
EPS beat(4)3
Avg EPS beat(4)4.89%
Min EPS beat(4)-1.69%
Max EPS beat(4)11.04%
EPS beat(8)4
Avg EPS beat(8)-1.24%
EPS beat(12)8
Avg EPS beat(12)3.81%
EPS beat(16)12
Avg EPS beat(16)8.75%
Revenue beat(2)0
Avg Revenue beat(2)-2.84%
Min Revenue beat(2)-3.37%
Max Revenue beat(2)-2.32%
Revenue beat(4)0
Avg Revenue beat(4)-5.18%
Min Revenue beat(4)-8.97%
Max Revenue beat(4)-2.32%
Revenue beat(8)0
Avg Revenue beat(8)-4.98%
Revenue beat(12)1
Avg Revenue beat(12)-4.4%
Revenue beat(16)5
Avg Revenue beat(16)-0.7%
PT rev (1m)0.95%
PT rev (3m)0.32%
EPS NQ rev (1m)-0.99%
EPS NQ rev (3m)-46.65%
EPS NY rev (1m)-0.31%
EPS NY rev (3m)-15.08%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)-7.07%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)-1.47%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.62 | ||
| Fwd PE | 14.24 | ||
| P/S | 0.35 | ||
| P/FCF | 6.26 | ||
| P/OCF | 4.84 | ||
| P/B | 1.31 | ||
| P/tB | 1.88 | ||
| EV/EBITDA | 13.37 |
EPS(TTM)3.16
EY6.02%
EPS(NY)3.69
Fwd EY7.02%
FCF(TTM)8.38
FCFY15.96%
OCF(TTM)10.85
OCFY20.66%
SpS148.31
BVpS40.09
TBVpS27.96
PEG (NY)N/A
PEG (5Y)1.35
Graham Number53.39
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.29% | ||
| ROE | 5.29% | ||
| ROCE | 4.65% | ||
| ROIC | 3.69% | ||
| ROICexc | 3.83% | ||
| ROICexgc | 4.88% | ||
| OM | 1.83% | ||
| PM (TTM) | 1.43% | ||
| GM | 6.22% | ||
| FCFM | 5.65% |
ROA(3y)5.67%
ROA(5y)5.08%
ROE(3y)13.47%
ROE(5y)12.27%
ROIC(3y)7.66%
ROIC(5y)6.81%
ROICexc(3y)7.91%
ROICexc(5y)7.02%
ROICexgc(3y)9.73%
ROICexgc(5y)8.63%
ROCE(3y)9.78%
ROCE(5y)8.76%
ROICexgc growth 3Y-12.07%
ROICexgc growth 5Y2.66%
ROICexc growth 3Y-12.06%
ROICexc growth 5Y2.21%
OM growth 3Y-12%
OM growth 5Y-1.08%
PM growth 3Y-12.83%
PM growth 5Y-0.27%
GM growth 3Y-1.29%
GM growth 5Y1.04%
F-Score4
Asset Turnover1.6
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.67 | ||
| Debt/EBITDA | 2.56 | ||
| Cap/Depr | 119.21% | ||
| Cap/Sales | 1.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 227.13% | ||
| Profit Quality | 395.54% | ||
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.92 | ||
| Altman-Z | 3.05 |
F-Score4
WACC8.1%
ROIC/WACC0.45
Cap/Depr(3y)135.46%
Cap/Depr(5y)121.61%
Cap/Sales(3y)1.57%
Cap/Sales(5y)1.47%
Profit Quality(3y)67.69%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-25.3%
EPS 3Y-3.11%
EPS 5Y12.32%
EPS Q2Q%-15.6%
EPS Next Y-27.37%
EPS Next 2Y-4.5%
EPS Next 3Y0.04%
EPS Next 5Y0.26%
Revenue 1Y (TTM)-4.37%
Revenue growth 3Y0.11%
Revenue growth 5Y5.76%
Sales Q2Q%2.18%
Revenue Next Year-3.85%
Revenue Next 2Y0.21%
Revenue Next 3Y1.51%
Revenue Next 5Y-0.26%
EBIT growth 1Y-38.7%
EBIT growth 3Y-11.91%
EBIT growth 5Y4.61%
EBIT Next Year58.93%
EBIT Next 3Y24.92%
EBIT Next 5Y14.33%
FCF growth 1Y863.73%
FCF growth 3Y-39.08%
FCF growth 5YN/A
OCF growth 1Y201.19%
OCF growth 3Y-24.93%
OCF growth 5YN/A
ARCHER-DANIELS-MIDLAND CO / ADM.DE FAQ
What is the fundamental rating for ADM stock?
ChartMill assigns a fundamental rating of 4 / 10 to ADM.DE.
What is the valuation status for ADM stock?
ChartMill assigns a valuation rating of 4 / 10 to ARCHER-DANIELS-MIDLAND CO (ADM.DE). This can be considered as Fairly Valued.
Can you provide the profitability details for ARCHER-DANIELS-MIDLAND CO?
ARCHER-DANIELS-MIDLAND CO (ADM.DE) has a profitability rating of 4 / 10.
What is the earnings growth outlook for ARCHER-DANIELS-MIDLAND CO?
The Earnings per Share (EPS) of ARCHER-DANIELS-MIDLAND CO (ADM.DE) is expected to decline by -27.37% in the next year.
Can you provide the dividend sustainability for ADM stock?
The dividend rating of ARCHER-DANIELS-MIDLAND CO (ADM.DE) is 5 / 10 and the dividend payout ratio is 82.76%.