ARCHER-DANIELS-MIDLAND CO (ADM) Fundamental Analysis & Valuation

NYSE:ADM • US0394831020

Current stock price

73.1285 USD
+0.76 (+1.05%)
Last:

This ADM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.

4

1. ADM Profitability Analysis

1.1 Basic Checks

  • In the past year ADM was profitable.
  • ADM had a positive operating cash flow in the past year.
  • In the past 5 years ADM has always been profitable.
  • In the past 5 years ADM always reported a positive cash flow from operatings.
ADM Yearly Net Income VS EBIT VS OCF VS FCFADM Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B -2B 4B -4B 6B -6B

1.2 Ratios

  • Looking at the Return On Assets, with a value of 2.06%, ADM is in line with its industry, outperforming 51.72% of the companies in the same industry.
  • With a Return On Equity value of 4.74%, ADM perfoms like the industry average, outperforming 51.72% of the companies in the same industry.
  • ADM has a Return On Invested Capital (3.48%) which is comparable to the rest of the industry.
  • ADM had an Average Return On Invested Capital over the past 3 years of 5.85%. This is in line with the industry average of 7.23%.
Industry RankSector Rank
ROA 2.06%
ROE 4.74%
ROIC 3.48%
ROA(3y)3.94%
ROA(5y)4.78%
ROE(3y)9.1%
ROE(5y)11.44%
ROIC(3y)5.85%
ROIC(5y)6.85%
ADM Yearly ROA, ROE, ROICADM Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 5 10 15

1.3 Margins

  • ADM has a Profit Margin (1.34%) which is comparable to the rest of the industry.
  • In the last couple of years the Profit Margin of ADM has declined.
  • Looking at the Operating Margin, with a value of 1.77%, ADM is in line with its industry, outperforming 45.98% of the companies in the same industry.
  • ADM's Operating Margin has declined in the last couple of years.
  • The Gross Margin of ADM (6.27%) is worse than 75.86% of its industry peers.
  • ADM's Gross Margin has declined in the last couple of years.
Industry RankSector Rank
OM 1.77%
PM (TTM) 1.34%
GM 6.27%
OM growth 3Y-24.65%
OM growth 5Y-8.35%
PM growth 3Y-32.01%
PM growth 5Y-13.38%
GM growth 3Y-5.6%
GM growth 5Y-1.95%
ADM Yearly Profit, Operating, Gross MarginsADM Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2 4 6

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ROAROEROICOperating and Profit MarginShow most profitable peers

6

2. ADM Health Analysis

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.
  • ADM has more shares outstanding than it did 1 year ago.
  • Compared to 5 years ago, ADM has less shares outstanding
  • Compared to 1 year ago, ADM has an improved debt to assets ratio.
ADM Yearly Shares OutstandingADM Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 100M 200M 300M 400M 500M
ADM Yearly Total Debt VS Total AssetsADM Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B 40B 50B

2.2 Solvency

  • An Altman-Z score of 3.08 indicates that ADM is not in any danger for bankruptcy at the moment.
  • Looking at the Altman-Z score, with a value of 3.08, ADM is in the better half of the industry, outperforming 70.11% of the companies in the same industry.
  • The Debt to FCF ratio of ADM is 2.00, which is a good value as it means it would take ADM, 2.00 years of fcf income to pay off all of its debts.
  • ADM has a better Debt to FCF ratio (2.00) than 83.91% of its industry peers.
  • A Debt/Equity ratio of 0.33 indicates that ADM is not too dependend on debt financing.
  • ADM's Debt to Equity ratio of 0.33 is in line compared to the rest of the industry. ADM outperforms 58.62% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 2
Altman-Z 3.08
ROIC/WACC0.42
WACC8.27%
ADM Yearly LT Debt VS Equity VS FCFADM Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 10B 20B

2.3 Liquidity

  • A Current Ratio of 1.37 indicates that ADM should not have too much problems paying its short term obligations.
  • ADM's Current ratio of 1.37 is in line compared to the rest of the industry. ADM outperforms 40.23% of its industry peers.
  • A Quick Ratio of 0.83 indicates that ADM may have some problems paying its short term obligations.
  • ADM's Quick ratio of 0.83 is in line compared to the rest of the industry. ADM outperforms 52.87% of its industry peers.
Industry RankSector Rank
Current Ratio 1.37
Quick Ratio 0.83
ADM Yearly Current Assets VS Current LiabilitesADM Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 10B 20B 30B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

3

3. ADM Growth Analysis

3.1 Past

  • ADM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -27.54%.
  • Measured over the past years, ADM shows a decrease in Earnings Per Share. The EPS has been decreasing by -0.97% on average per year.
  • Looking at the last year, ADM shows a decrease in Revenue. The Revenue has decreased by -6.15% in the last year.
  • The Revenue has been growing slightly by 4.52% on average over the past years.
EPS 1Y (TTM)-27.54%
EPS 3Y-24.16%
EPS 5Y-0.97%
EPS Q2Q%-23.68%
Revenue 1Y (TTM)-6.15%
Revenue growth 3Y-7.54%
Revenue growth 5Y4.52%
Sales Q2Q%-13.68%

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 3.23% on average per year.
  • The Revenue is expected to grow by 0.79% on average over the next years.
EPS Next Y16.28%
EPS Next 2Y16.41%
EPS Next 3Y8.87%
EPS Next 5Y3.23%
Revenue Next Year0.09%
Revenue Next 2Y1.2%
Revenue Next 3Y0.32%
Revenue Next 5Y0.79%

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 accelerating.
  • The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
ADM Yearly Revenue VS EstimatesADM Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 20B 40B 60B 80B 100B
ADM Yearly EPS VS EstimatesADM Yearly EPS VS EstimatesYearly EPS VS Estimates 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2 4 6

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4

4. ADM Valuation Analysis

4.1 Price/Earnings Ratio

  • The Price/Earnings ratio is 21.38, which indicates a rather expensive current valuation of ADM.
  • Compared to the rest of the industry, the Price/Earnings ratio of ADM is on the same level as its industry peers.
  • ADM's Price/Earnings ratio indicates a similar valuation than the S&P500 average which is at 25.51.
  • A Price/Forward Earnings ratio of 18.39 indicates a rather expensive valuation of ADM.
  • Based on the Price/Forward Earnings ratio, ADM is valued a bit cheaper than the industry average as 60.92% of the companies are valued more expensively.
  • ADM is valuated at similar levels of the S&P average when we compare the Price/Forward Earnings ratio to 22.76, which is the current average of the S&P500 Index.
Industry RankSector Rank
PE 21.38
Fwd PE 18.39
ADM Price Earnings VS Forward Price EarningsADM Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 5 10 15 20 25

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 87.36% of the companies are valued more expensively.
Industry RankSector Rank
P/FCF 8.37
EV/EBITDA 15.88
ADM Per share dataADM EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 50 100 150

4.3 Compensation for Growth

  • ADM's PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
PEG (NY)1.31
PEG (5Y)N/A
EPS Next 2Y16.41%
EPS Next 3Y8.87%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

6

5. ADM Dividend Analysis

5.1 Amount

  • ADM has a Yearly Dividend Yield of 2.88%. 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 2.45.
  • ADM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.89.
Industry RankSector Rank
Dividend Yield 2.88%

5.2 History

  • On average, the dividend of ADM grows each year by 7.23%, which is quite nice.
  • ADM has been paying a dividend for at least 10 years, so it has a reliable track record.
  • ADM has not decreased its dividend for at least 10 years, so it has a reliable track record of non decreasing dividend.
Dividend Growth(5Y)7.23%
Div Incr Years34
Div Non Decr Years34
ADM Yearly Dividends per shareADM Yearly Dividends per shareYearly Dividends per share 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 0.5 1 1.5 2

5.3 Sustainability

  • 91.56% 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.
DP91.56%
EPS Next 2Y16.41%
EPS Next 3Y8.87%
ADM Yearly Income VS Free CF VS DividendADM Yearly Income VS Free CF VS DividendYearly Income VS Free CF VS Dividend 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 0 2B -2B 4B -4B -6B
ADM Dividend Payout.ADM Dividend Payout, showing the Payout Ratio.ADM Dividend Payout.PayoutRetained Earnings

More info and screens

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ADM Fundamentals: All Metrics, Ratios and Statistics

ARCHER-DANIELS-MIDLAND CO

NYSE:ADM (4/2/2026, 12:47:05 PM)

73.1285

+0.76 (+1.05%)

Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)02-03
Earnings (Next)05-04
Inst Owners88%
Inst Owner Change2.54%
Ins Owners0.67%
Ins Owner Change4.57%
Market Cap35.19B
Revenue(TTM)80.27B
Net Income(TTM)1.08B
Analysts53
Price Target63.1 (-13.71%)
Short Float %3.3%
Short Ratio3.82
Dividend
Industry RankSector Rank
Dividend Yield 2.88%
Yearly Dividend2.06
Dividend Growth(5Y)7.23%
DP91.56%
Div Incr Years34
Div Non Decr Years34
Ex-Date02-17
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.52%
Min EPS beat(2)6.8%
Max EPS beat(2)8.23%
EPS beat(4)4
Avg EPS beat(4)7.37%
Min EPS beat(4)3.39%
Max EPS beat(4)11.04%
EPS beat(8)5
Avg EPS beat(8)0.54%
EPS beat(12)8
Avg EPS beat(12)3.18%
EPS beat(16)12
Avg EPS beat(16)8.73%
Revenue beat(2)0
Avg Revenue beat(2)-7.66%
Min Revenue beat(2)-13.01%
Max Revenue beat(2)-2.32%
Revenue beat(4)0
Avg Revenue beat(4)-6.92%
Min Revenue beat(4)-13.01%
Max Revenue beat(4)-2.32%
Revenue beat(8)0
Avg Revenue beat(8)-6.13%
Revenue beat(12)0
Avg Revenue beat(12)-5.57%
Revenue beat(16)4
Avg Revenue beat(16)-2.26%
PT rev (1m)1.64%
PT rev (3m)8.32%
EPS NQ rev (1m)-1.12%
EPS NQ rev (3m)-21.32%
EPS NY rev (1m)-7.2%
EPS NY rev (3m)-7.63%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-7.51%
Revenue NY rev (1m)-0.15%
Revenue NY rev (3m)-4.15%
Valuation
Industry RankSector Rank
PE 21.38
Fwd PE 18.39
P/S 0.44
P/FCF 8.37
P/OCF 6.45
P/B 1.55
P/tB 2.2
EV/EBITDA 15.88
EPS(TTM)3.42
EY4.68%
EPS(NY)3.98
Fwd EY5.44%
FCF(TTM)8.74
FCFY11.95%
OCF(TTM)11.33
OCFY15.49%
SpS166.81
BVpS47.24
TBVpS33.23
PEG (NY)1.31
PEG (5Y)N/A
Graham Number60.29
Profitability
Industry RankSector Rank
ROA 2.06%
ROE 4.74%
ROCE 4.33%
ROIC 3.48%
ROICexc 3.59%
ROICexgc 4.53%
OM 1.77%
PM (TTM) 1.34%
GM 6.27%
FCFM 5.24%
ROA(3y)3.94%
ROA(5y)4.78%
ROE(3y)9.1%
ROE(5y)11.44%
ROIC(3y)5.85%
ROIC(5y)6.85%
ROICexc(3y)6.05%
ROICexc(5y)7.06%
ROICexgc(3y)7.48%
ROICexgc(5y)8.73%
ROCE(3y)7.28%
ROCE(5y)8.51%
ROICexgc growth 3Y-28.04%
ROICexgc growth 5Y-3.03%
ROICexc growth 3Y-28.64%
ROICexc growth 5Y-4.03%
OM growth 3Y-24.65%
OM growth 5Y-8.35%
PM growth 3Y-32.01%
PM growth 5Y-13.38%
GM growth 3Y-5.6%
GM growth 5Y-1.95%
F-Score4
Asset Turnover1.53
Health
Industry RankSector Rank
Debt/Equity 0.33
Debt/FCF 2
Debt/EBITDA 2.84
Cap/Depr 105.67%
Cap/Sales 1.55%
Interest Coverage 2.26
Cash Conversion 209.29%
Profit Quality 389.98%
Current Ratio 1.37
Quick Ratio 0.83
Altman-Z 3.08
F-Score4
WACC8.27%
ROIC/WACC0.42
Cap/Depr(3y)127.91%
Cap/Depr(5y)125.88%
Cap/Sales(3y)1.66%
Cap/Sales(5y)1.53%
Profit Quality(3y)181.1%
Profit Quality(5y)158.67%
High Growth Momentum
Growth
EPS 1Y (TTM)-27.54%
EPS 3Y-24.16%
EPS 5Y-0.97%
EPS Q2Q%-23.68%
EPS Next Y16.28%
EPS Next 2Y16.41%
EPS Next 3Y8.87%
EPS Next 5Y3.23%
Revenue 1Y (TTM)-6.15%
Revenue growth 3Y-7.54%
Revenue growth 5Y4.52%
Sales Q2Q%-13.68%
Revenue Next Year0.09%
Revenue Next 2Y1.2%
Revenue Next 3Y0.32%
Revenue Next 5Y0.79%
EBIT growth 1Y-31.27%
EBIT growth 3Y-30.34%
EBIT growth 5Y-4.21%
EBIT Next Year183.98%
EBIT Next 3Y43.29%
EBIT Next 5Y25.55%
FCF growth 1Y242.62%
FCF growth 3Y24.87%
FCF growth 5YN/A
OCF growth 1Y95.41%
OCF growth 3Y16.17%
OCF growth 5YN/A

ARCHER-DANIELS-MIDLAND CO / ADM Fundamental Analysis FAQ

What is the fundamental rating for ADM stock?

ChartMill assigns a fundamental rating of 5 / 10 to ADM.


Can you provide the valuation status for ARCHER-DANIELS-MIDLAND CO?

ChartMill assigns a valuation rating of 4 / 10 to ARCHER-DANIELS-MIDLAND CO (ADM). This can be considered as Fairly Valued.


How profitable is ARCHER-DANIELS-MIDLAND CO (ADM) stock?

ARCHER-DANIELS-MIDLAND CO (ADM) has a profitability rating of 4 / 10.


What are the PE and PB ratios of ARCHER-DANIELS-MIDLAND CO (ADM) stock?

The Price/Earnings (PE) ratio for ARCHER-DANIELS-MIDLAND CO (ADM) is 21.38 and the Price/Book (PB) ratio is 1.55.


What is the financial health of ARCHER-DANIELS-MIDLAND CO (ADM) stock?

The financial health rating of ARCHER-DANIELS-MIDLAND CO (ADM) is 6 / 10.