ARCHER-DANIELS-MIDLAND CO (ADM.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:ADM - US0394831020 - Common Stock
49.675 EUR
-0.52 (-1.03%)
Taking everything into account, ADM scores 5 out of 10 in our fundamental rating. ADM was compared to 61 industry peers in the Food Products industry. ADM has an excellent financial health rating, but there are some minor concerns on its profitability. 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.
In the past year ADM had a positive cash flow from operations.
ADM had positive earnings in each of the past 5 years.
Of the past 5 years ADM 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.29%, ADM perfoms like the industry average, outperforming 46.03% of the companies in the same industry.
Looking at the Return On Equity, with a value of 5.29%, ADM is in line with its industry, outperforming 44.44% of the companies in the same industry.
ADM has a Return On Invested Capital (3.69%) which is comparable to the rest of the industry.
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 7.37%.
| 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
Looking at the Profit Margin, with a value of 1.43%, ADM is doing worse than 60.32% of the companies in the same industry.
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 69.84% 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 88.89% of the companies in the same industry.
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
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ADM is destroying value.
Compared to 1 year ago, ADM has less shares outstanding
The number of shares outstanding for ADM has been reduced compared to 5 years ago.
The debt/assets ratio for ADM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 3.02 indicates that ADM is not in any danger for bankruptcy at the moment.
Looking at the Altman-Z score, with a value of 3.02, ADM is in the better half of the industry, outperforming 79.37% of the companies in the same industry.
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.
ADM has a better Debt to FCF ratio (1.67) than 95.24% 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.
Looking at the Debt to Equity ratio, with a value of 0.30, ADM belongs to the top of the industry, outperforming 80.95% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.3 | ||
| Debt/FCF | 1.67 | ||
| Altman-Z | 3.02 |
ROIC/WACC0.46
WACC8.05%
2.3 Liquidity
A Current Ratio of 1.37 indicates that ADM should not have too much problems paying its short term obligations.
ADM has a better Current ratio (1.37) than 65.08% of its industry peers.
A Quick Ratio of 0.92 indicates that ADM may have some problems paying its short term obligations.
The Quick ratio of ADM (0.92) is better than 61.90% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.92 |
3. Growth
3.1 Past
The earnings per share for ADM have decreased strongly by -25.30% in the last year.
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.
Looking at the last year, ADM shows a decrease in Revenue. The Revenue has decreased by -4.37% in the last 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
ADM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 0.26% yearly.
The Revenue is expected to decrease by -0.26% on average over the next years.
EPS Next Y-27.14%
EPS Next 2Y-4.26%
EPS Next 3Y-0.45%
EPS Next 5Y0.26%
Revenue Next Year-3.8%
Revenue Next 2Y-0.53%
Revenue Next 3Y0.28%
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
With a Price/Earnings ratio of 15.77, ADM is valued correctly.
Compared to the rest of the industry, the Price/Earnings ratio of ADM is on the same level as its industry peers.
ADM is valuated rather cheaply when we compare the Price/Earnings ratio to 26.39, which is the current average of the S&P500 Index.
Based on the Price/Forward Earnings ratio of 13.45, the valuation of ADM can be described as correct.
ADM's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.84. ADM is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.77 | ||
| Fwd PE | 13.45 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ADM is on the same level as its industry peers.
Based on the Price/Free Cash Flow ratio, ADM is valued cheaply inside the industry as 88.89% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.94 | ||
| EV/EBITDA | 12.81 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.28
EPS Next 2Y-4.26%
EPS Next 3Y-0.45%
5. Dividend
5.1 Amount
ADM has a Yearly Dividend Yield of 3.50%.
ADM's Dividend Yield is a higher than the industry average which is at 2.34.
ADM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.87.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.5% |
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.
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-4.26%
EPS Next 3Y-0.45%
FRA:ADM (12/19/2025, 4:49:31 PM)
49.675
-0.52 (-1.03%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners86.81%
Inst Owner ChangeN/A
Ins Owners0.59%
Ins Owner ChangeN/A
Market Cap23.87B
Revenue(TTM)83.21B
Net Income(TTM)1.19B
Analysts53.68
Price Target50.83 (2.33%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.5% |
Yearly Dividend1.7
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)-0.25%
PT rev (3m)0.87%
EPS NQ rev (1m)-0.53%
EPS NQ rev (3m)-46.4%
EPS NY rev (1m)-11.31%
EPS NY rev (3m)-14.82%
Revenue NQ rev (1m)-0.21%
Revenue NQ rev (3m)-7.07%
Revenue NY rev (1m)-1.37%
Revenue NY rev (3m)-1.42%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.77 | ||
| Fwd PE | 13.45 | ||
| P/S | 0.34 | ||
| P/FCF | 5.94 | ||
| P/OCF | 4.59 | ||
| P/B | 1.24 | ||
| P/tB | 1.78 | ||
| EV/EBITDA | 12.81 |
EPS(TTM)3.15
EY6.34%
EPS(NY)3.69
Fwd EY7.44%
FCF(TTM)8.36
FCFY16.82%
OCF(TTM)10.81
OCFY21.77%
SpS147.84
BVpS39.96
TBVpS27.87
PEG (NY)N/A
PEG (5Y)1.28
Graham Number53.22
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 | 3.02 |
F-Score4
WACC8.05%
ROIC/WACC0.46
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-27.14%
EPS Next 2Y-4.26%
EPS Next 3Y-0.45%
EPS Next 5Y0.26%
Revenue 1Y (TTM)-4.37%
Revenue growth 3Y0.11%
Revenue growth 5Y5.76%
Sales Q2Q%2.18%
Revenue Next Year-3.8%
Revenue Next 2Y-0.53%
Revenue Next 3Y0.28%
Revenue Next 5Y-0.26%
EBIT growth 1Y-38.7%
EBIT growth 3Y-11.91%
EBIT growth 5Y4.61%
EBIT Next Year59.02%
EBIT Next 3Y24.67%
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 5 / 10 to ADM.DE.
What is the valuation status of ARCHER-DANIELS-MIDLAND CO (ADM.DE) stock?
ChartMill assigns a valuation rating of 4 / 10 to ARCHER-DANIELS-MIDLAND CO (ADM.DE). This can be considered as Fairly Valued.
What is the profitability of ADM stock?
ARCHER-DANIELS-MIDLAND CO (ADM.DE) has a profitability rating of 4 / 10.
What is the valuation of ARCHER-DANIELS-MIDLAND CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ARCHER-DANIELS-MIDLAND CO (ADM.DE) is 15.77 and the Price/Book (PB) ratio is 1.24.
Can you provide the expected EPS growth for ADM stock?
The Earnings per Share (EPS) of ARCHER-DANIELS-MIDLAND CO (ADM.DE) is expected to decline by -27.14% in the next year.