ARCHER-DANIELS-MIDLAND CO (ADM) Fundamental Analysis & Valuation
NYSE:ADM • US0394831020
69.39 USD
+1.47 (+2.16%)
At close: Mar 10, 2026
69.39 USD
0 (0%)
After Hours: 3/10/2026, 8:04:00 PM
This ADM fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
ADM gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 88 industry peers in the Food Products industry. ADM has only an average score on both its financial health and profitability. ADM is valued correctly, but it does not seem to be growing.
1. ADM Profitability Analysis
1.1 Basic Checks
- In the past year ADM was profitable.
- In the past year ADM had a positive cash flow from operations.
- Each year in the past 5 years ADM has been profitable.
- Each year in the past 5 years ADM had a positive operating cash flow.
1.2 Ratios
- The Return On Assets of ADM (2.06%) is comparable to the rest of the industry.
- ADM has a Return On Equity (4.74%) which is in line with its industry peers.
- The Return On Invested Capital of ADM (3.48%) 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 7.13%.
| Industry Rank | Sector 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%
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.
- ADM has a Operating Margin of 1.77%. This is comparable to the rest of the industry: ADM outperforms 46.59% of its industry peers.
- In the last couple of years the Operating Margin of ADM has declined.
- ADM has a worse Gross Margin (6.27%) than 75.00% of its industry peers.
- In the last couple of years the Gross Margin of ADM has declined.
| 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. 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.
- ADM has less shares outstanding than it did 5 years ago.
- Compared to 1 year ago, ADM has an improved debt to assets ratio.
2.2 Solvency
- ADM has an Altman-Z score of 3.03. This indicates that ADM is financially healthy and has little risk of bankruptcy at the moment.
- ADM's Altman-Z score of 3.03 is fine compared to the rest of the industry. ADM outperforms 69.32% of its industry peers.
- ADM has a debt to FCF ratio of 2.00. This is a good value and a sign of high solvency as ADM would need 2.00 years to pay back of all of its debts.
- ADM has a better Debt to FCF ratio (2.00) than 84.09% of its industry peers.
- ADM has a Debt/Equity ratio of 0.33. This is a healthy value indicating a solid balance between debt and equity.
- The Debt to Equity ratio of ADM (0.33) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.33 | ||
| Debt/FCF | 2 | ||
| Altman-Z | 3.03 |
ROIC/WACC0.43
WACC8.07%
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 Current ratio of 1.37. This is comparable to the rest of the industry: ADM outperforms 40.91% 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 53.41% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.37 | ||
| Quick Ratio | 0.83 |
3. ADM Growth Analysis
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%.
- 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
- ADM is expected to show a small growth in Earnings Per Share. In the coming years, the EPS will grow by 3.23% yearly.
- ADM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.79% yearly.
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
- The EPS growth rate is accelerating: in the next years the growth will be better 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. ADM Valuation Analysis
4.1 Price/Earnings Ratio
- The Price/Earnings ratio is 20.29, which indicates a rather expensive current valuation of ADM.
- The rest of the industry has a similar Price/Earnings ratio as ADM.
- ADM's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.25.
- Based on the Price/Forward Earnings ratio of 17.45, the valuation of ADM can be described as rather expensive.
- Based on the Price/Forward Earnings ratio, ADM is valued a bit cheaper than the industry average as 64.77% of the companies are valued more expensively.
- When comparing the Price/Forward Earnings ratio of ADM to the average of the S&P500 Index (24.39), we can say ADM is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.29 | ||
| Fwd PE | 17.45 |
4.2 Price Multiples
- ADM's Enterprise Value to EBITDA is on the same level as the industry average.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of ADM indicates a rather cheap valuation: ADM is cheaper than 90.91% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.94 | ||
| EV/EBITDA | 15.05 |
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)1.25
PEG (5Y)N/A
EPS Next 2Y16.41%
EPS Next 3Y8.87%
5. ADM Dividend Analysis
5.1 Amount
- ADM has a Yearly Dividend Yield of 3.13%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 2.30, ADM pays a bit more dividend than its industry peers.
- Compared to an average S&P500 Dividend Yield of 1.82, ADM pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
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 their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)7.23%
Div Incr Years34
Div Non Decr Years34
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 Fundamentals: All Metrics, Ratios and Statistics
69.39
+1.47 (+2.16%)
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 Owners88%
Inst Owner Change2.54%
Ins Owners0.67%
Ins Owner Change7.45%
Market Cap33.39B
Revenue(TTM)80.27B
Net Income(TTM)1.08B
Analysts53
Price Target62.08 (-10.53%)
Short Float %2.78%
Short Ratio3.74
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.13% |
Yearly Dividend2.06
Dividend Growth(5Y)7.23%
DP91.56%
Div Incr Years34
Div Non Decr Years34
Ex-Date02-17 2026-02-17 (0.52)
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)5.1%
PT rev (3m)5.28%
EPS NQ rev (1m)-18.63%
EPS NQ rev (3m)-16.18%
EPS NY rev (1m)-7.2%
EPS NY rev (3m)-8.09%
Revenue NQ rev (1m)-6.5%
Revenue NQ rev (3m)-0.92%
Revenue NY rev (1m)-4.15%
Revenue NY rev (3m)-2.71%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 20.29 | ||
| Fwd PE | 17.45 | ||
| P/S | 0.42 | ||
| P/FCF | 7.94 | ||
| P/OCF | 6.12 | ||
| P/B | 1.47 | ||
| P/tB | 2.09 | ||
| EV/EBITDA | 15.05 |
EPS(TTM)3.42
EY4.93%
EPS(NY)3.98
Fwd EY5.73%
FCF(TTM)8.74
FCFY12.59%
OCF(TTM)11.33
OCFY16.33%
SpS166.81
BVpS47.24
TBVpS33.23
PEG (NY)1.25
PEG (5Y)N/A
Graham Number60.29
Profitability
| Industry Rank | Sector 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 Rank | Sector 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 | 3.03 |
F-Score4
WACC8.07%
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 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 FAQ
What is the fundamental rating for ADM stock?
ChartMill assigns a fundamental rating of 5 / 10 to ADM.
What is the valuation status for ADM stock?
ChartMill assigns a valuation rating of 4 / 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 4 / 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 16.28% 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%.