ARCHER-DANIELS-MIDLAND CO (ADM) Stock Fundamental Analysis
USA • New York Stock Exchange • NYSE:ADM • US0394831020
66.33 USD
+0.9 (+1.38%)
At close: Feb 6, 2026
66.33 USD
0 (0%)
After Hours: 2/6/2026, 8:16:54 PM
We assign a fundamental rating of 4 out of 10 to ADM. ADM was compared to 88 industry peers in the Food Products industry. ADM scores quite bad on profitability, while its financial health is fine. Not spectacular, but in line with the averages. 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.
- ADM had a positive operating cash flow in the past year.
- ADM had positive earnings in each of the past 5 years.
- ADM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- ADM has a Return On Assets of 3.11%. This is comparable to the rest of the industry: ADM outperforms 55.17% of its industry peers.
- ADM has a Return On Equity (4.74%) which is comparable to the rest of the industry.
- The Return On Invested Capital of ADM (3.38%) is comparable to the rest of the industry.
- Measured over the past 3 years, the Average Return On Invested Capital for ADM is significantly below the industry average of 27.76%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 4.74% | ||
| ROIC | 3.38% |
ROA(3y)4.29%
ROA(5y)4.99%
ROE(3y)9.1%
ROE(5y)11.44%
ROIC(3y)5.82%
ROIC(5y)6.83%
1.3 Margins
- Looking at the Profit Margin, with a value of 1.34%, ADM is in line with its industry, outperforming 45.98% of the companies in the same industry.
- ADM's Profit Margin has declined in the last couple of years.
- ADM's Operating Margin of 1.77% is in line compared to the rest of the industry. ADM outperforms 44.83% of its industry peers.
- ADM's Operating Margin has declined in the last couple of years.
- ADM has a worse Gross Margin (6.27%) than 77.01% of its industry peers.
- ADM's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector 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%
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.
- The number of shares outstanding for ADM has been increased compared to 1 year ago.
- The number of shares outstanding for ADM has been reduced compared to 5 years ago.
- ADM has a worse debt/assets ratio than last year.
2.2 Solvency
- 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 Debt to FCF ratio of 2.00. This is amongst the best in the industry. ADM outperforms 85.06% of its industry peers.
- ADM has a Debt/Equity ratio of 0.37. This is a healthy value indicating a solid balance between debt and equity.
- Looking at the Debt to Equity ratio, with a value of 0.37, ADM is in line with its industry, outperforming 55.17% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 2 | ||
| Altman-Z | N/A |
ROIC/WACC0.43
WACC7.79%
2.3 Liquidity
- ADM has a Current Ratio of 11.20. This indicates that ADM is financially healthy and has no problem in meeting its short term obligations.
- ADM's Current ratio of 11.20 is amongst the best of the industry. ADM outperforms 98.85% of its industry peers.
- ADM has a Quick Ratio of 11.20. This indicates that ADM is financially healthy and has no problem in meeting its short term obligations.
- ADM's Quick ratio of 11.20 is amongst the best of the industry. ADM outperforms 98.85% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 11.2 | ||
| Quick Ratio | 11.2 |
3. Growth
3.1 Past
- The earnings per share for ADM have decreased strongly by -27.54% in the last year.
- ADM shows a decrease in Earnings Per Share. Measured over the last years, the EPS has been decreasing by -0.97% yearly.
- ADM shows a decrease in Revenue. In the last year, the revenue decreased by -6.15%.
- Measured over the past years, ADM shows a small growth in Revenue. The Revenue has been growing by 4.52% on average per year.
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
- The Earnings Per Share is expected to grow by 7.23% on average over the next years.
- The Revenue is expected to grow by 0.43% on average over the next years.
EPS Next Y25.3%
EPS Next 2Y18.08%
EPS Next 3Y11.71%
EPS Next 5Y7.23%
Revenue Next Year4.42%
Revenue Next 2Y4.49%
Revenue Next 3Y0.5%
Revenue Next 5Y0.43%
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.
4. Valuation
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 19.39, ADM is valued on the expensive side.
- ADM's Price/Earnings ratio is in line with the industry average.
- ADM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 27.92.
- A Price/Forward Earnings ratio of 15.48 indicates a correct valuation of ADM.
- Based on the Price/Forward Earnings ratio, ADM is valued a bit cheaper than the industry average as 68.97% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of ADM to the average of the S&P500 Index (27.78), we can say ADM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.39 | ||
| Fwd PE | 15.48 |
4.2 Price Multiples
- ADM's Enterprise Value to EBITDA is on the same level as the industry average.
- 91.95% 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 | 7.58 | ||
| EV/EBITDA | 14.58 |
4.3 Compensation for Growth
- The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.77
PEG (5Y)N/A
EPS Next 2Y18.08%
EPS Next 3Y11.71%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 3.18%, ADM has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 2.24, ADM pays a bit more dividend than its industry peers.
- ADM's Dividend Yield is rather good when compared to the S&P500 average which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
5.2 History
- On average, the dividend of ADM grows each year by 7.21%, which is quite nice.
- ADM has paid a dividend for at least 10 years, which is 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)7.21%
Div Incr Years34
Div Non Decr Years34
5.3 Sustainability
- ADM pays out 91.56% of its income as dividend. This is not a sustainable payout ratio.
- ADM's earnings are growing around the same pace than its dividend. As long as the earnings growth is kept the dividend growth is sustainable.
DP91.56%
EPS Next 2Y18.08%
EPS Next 3Y11.71%
66.33
+0.9 (+1.38%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)02-03 2026-02-03/bmo
Earnings (Next)05-04 2026-05-04/bmo
Inst Owners86.87%
Inst Owner Change-1.99%
Ins Owners0.59%
Ins Owner Change-0.24%
Market Cap31.88B
Revenue(TTM)80.27B
Net Income(TTM)1.08B
Analysts52.63
Price Target59.07 (-10.95%)
Short Float %3%
Short Ratio4.44
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.18% |
Yearly Dividend2.06
Dividend Growth(5Y)7.21%
DP91.56%
Div Incr Years34
Div Non Decr Years34
Ex-DateN/A
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)0.78%
PT rev (3m)-1.41%
EPS NQ rev (1m)-1.33%
EPS NQ rev (3m)-38.55%
EPS NY rev (1m)-0.22%
EPS NY rev (3m)-11.77%
Revenue NQ rev (1m)0.44%
Revenue NQ rev (3m)-5.9%
Revenue NY rev (1m)0.02%
Revenue NY rev (3m)-1.4%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 19.39 | ||
| Fwd PE | 15.48 | ||
| P/S | 0.4 | ||
| P/FCF | 7.58 | ||
| P/OCF | 5.85 | ||
| P/B | 1.4 | ||
| P/tB | 1.99 | ||
| EV/EBITDA | 14.58 |
EPS(TTM)3.42
EY5.16%
EPS(NY)4.29
Fwd EY6.46%
FCF(TTM)8.75
FCFY13.19%
OCF(TTM)11.34
OCFY17.1%
SpS167.03
BVpS47.32
TBVpS33.29
PEG (NY)0.77
PEG (5Y)N/A
Graham Number60.34
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.11% | ||
| ROE | 4.74% | ||
| ROCE | 4.21% | ||
| ROIC | 3.38% | ||
| ROICexc | 3.48% | ||
| ROICexgc | 4.36% | ||
| OM | 1.77% | ||
| PM (TTM) | 1.34% | ||
| GM | 6.27% | ||
| FCFM | 5.24% |
ROA(3y)4.29%
ROA(5y)4.99%
ROE(3y)9.1%
ROE(5y)11.44%
ROIC(3y)5.82%
ROIC(5y)6.83%
ROICexc(3y)6.01%
ROICexc(5y)7.04%
ROICexgc(3y)7.43%
ROICexgc(5y)8.7%
ROCE(3y)7.23%
ROCE(5y)8.48%
ROICexgc growth 3Y-28.95%
ROICexgc growth 5Y-3.77%
ROICexc growth 3Y-29.36%
ROICexc growth 5Y-4.62%
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-Score5
Asset Turnover2.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.37 | ||
| Debt/FCF | 2 | ||
| Debt/EBITDA | 3.23 | ||
| Cap/Depr | 105.67% | ||
| Cap/Sales | 1.55% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 209.29% | ||
| Profit Quality | 389.98% | ||
| Current Ratio | 11.2 | ||
| Quick Ratio | 11.2 | ||
| Altman-Z | N/A |
F-Score5
WACC7.79%
ROIC/WACC0.43
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 Y25.3%
EPS Next 2Y18.08%
EPS Next 3Y11.71%
EPS Next 5Y7.23%
Revenue 1Y (TTM)-6.15%
Revenue growth 3Y-7.54%
Revenue growth 5Y4.52%
Sales Q2Q%-13.68%
Revenue Next Year4.42%
Revenue Next 2Y4.49%
Revenue Next 3Y0.5%
Revenue Next 5Y0.43%
EBIT growth 1Y-31.27%
EBIT growth 3Y-30.34%
EBIT growth 5Y-4.21%
EBIT Next Year190.05%
EBIT Next 3Y43.54%
EBIT Next 5Y24.8%
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 FAQ
What is the fundamental rating for ADM stock?
ChartMill assigns a fundamental rating of 4 / 10 to ADM.
What is the valuation status for ADM stock?
ChartMill assigns a valuation rating of 5 / 10 to ARCHER-DANIELS-MIDLAND CO (ADM). This can be considered as Fairly Valued.
Can you provide the profitability details for ARCHER-DANIELS-MIDLAND CO?
ARCHER-DANIELS-MIDLAND CO (ADM) has a profitability rating of 3 / 10.
What is the earnings growth outlook for ARCHER-DANIELS-MIDLAND CO?
The Earnings per Share (EPS) of ARCHER-DANIELS-MIDLAND CO (ADM) is expected to grow by 25.3% in the next year.
Can you provide the dividend sustainability for ADM stock?
The dividend rating of ARCHER-DANIELS-MIDLAND CO (ADM) is 6 / 10 and the dividend payout ratio is 91.56%.