ARCHER-DANIELS-MIDLAND CO (ADM.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:ADM • US0394831020
56.27 EUR
-0.46 (-0.81%)
Last: Jan 30, 2026, 07:00 PM
Taking everything into account, ADM scores 4 out of 10 in our fundamental rating. ADM was compared to 67 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
- In the past year ADM was profitable.
- ADM had a positive operating cash flow in the past year.
- Each year in the past 5 years ADM has been profitable.
- ADM had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- With a Return On Assets value of 2.29%, ADM perfoms like the industry average, outperforming 45.16% of the companies in the same industry.
- ADM has a Return On Equity (5.29%) which is in line with its industry peers.
- ADM has a Return On Invested Capital of 3.69%. This is comparable to the rest of the industry: ADM outperforms 41.94% of its industry peers.
- ADM had an Average Return On Invested Capital over the past 3 years of 7.66%. This is in line with the industry average of 7.31%.
| 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
- ADM has a Profit Margin (1.43%) which is comparable to the rest of the industry.
- In the last couple of years the Profit Margin of ADM has remained more or less at the same level.
- ADM has a Operating Margin of 1.83%. This is in the lower half of the industry: ADM underperforms 75.81% of its industry peers.
- ADM's Operating Margin has been stable in the last couple of years.
- Looking at the Gross Margin, with a value of 6.22%, ADM is doing worse than 91.94% of the companies in the same industry.
- ADM's Gross Margin has been stable in the last couple of years.
| 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.
- Compared to 1 year ago, ADM has a worse debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 3.11 indicates that ADM is not in any danger for bankruptcy at the moment.
- ADM's Altman-Z score of 3.11 is fine compared to the rest of the industry. ADM outperforms 72.58% of its industry peers.
- The Debt to FCF ratio of ADM is 1.67, which is an excellent value as it means it would take ADM, only 1.67 years of fcf income to pay off all of its debts.
- The Debt to FCF ratio of ADM (1.67) is better than 91.94% of its industry peers.
- ADM has a Debt/Equity ratio of 0.30. This is a healthy value indicating a solid balance between debt and equity.
- ADM has a Debt to Equity ratio of 0.30. This is in the better half of the industry: ADM outperforms 75.81% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.67 | ||
| Altman-Z | 3.11 |
ROIC/WACC0.45
WACC8.19%
2.3 Liquidity
- A Current Ratio of 1.37 indicates that ADM should not have too much problems paying its short term obligations.
- Looking at the Current ratio, with a value of 1.37, ADM is in the better half of the industry, outperforming 62.90% of the companies in the same industry.
- ADM has a Quick Ratio of 1.37. This is a bad value and indicates that ADM is not financially healthy enough and could expect problems in meeting its short term obligations.
- ADM has a Quick ratio (0.92) which is in line with 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.
- Measured over the past years, ADM shows a small growth in Revenue. The Revenue has been growing by 5.76% on average per year.
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.
- The Revenue is expected to decrease by -0.26% on average over the next years.
EPS Next Y-27.52%
EPS Next 2Y-4.79%
EPS Next 3Y0.2%
EPS Next 5Y0.26%
Revenue Next Year-3.83%
Revenue Next 2Y0.21%
Revenue Next 3Y1.64%
Revenue Next 5Y-0.26%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
- The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 18.15 indicates a rather expensive valuation of ADM.
- ADM's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 28.32. ADM is valued slightly cheaper when compared to this.
- The Price/Forward Earnings ratio is 15.68, which indicates a correct valuation of ADM.
- ADM's Price/Forward Earnings is on the same level as the industry average.
- The average S&P500 Price/Forward Earnings ratio is at 25.57. ADM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 18.15 | ||
| Fwd PE | 15.68 |
4.2 Price Multiples
- Based on the Enterprise Value to EBITDA ratio, ADM is valued a bit more expensive than 64.52% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, ADM is valued cheaply inside the industry as 91.94% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 6.85 | ||
| EV/EBITDA | 14.41 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.47
EPS Next 2Y-4.79%
EPS Next 3Y0.2%
5. Dividend
5.1 Amount
- ADM has a Yearly Dividend Yield of 3.05%. 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 2.76.
- ADM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.05% |
5.2 History
- The dividend of ADM is nicely growing with an annual growth rate of 7.05%!
Dividend Growth(5Y)7.05%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
- ADM pays out 82.76% of its income as dividend. This is not a sustainable payout ratio.
- The dividend of ADM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP82.76%
EPS Next 2Y-4.79%
EPS Next 3Y0.2%
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 -27.52% 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%.