Archer Daniels Midland (ADM) Ascends But Remains Behind Market: Some Facts to Note
In the latest market close, Archer Daniels Midland (ADM) reached $70.93, with a +0.35% movement compared to the previous day. This move lagged the S&P 500's daily gain of 1.03%. On the other hand, the Dow registered a gain of 0.87%, and the technology-centric Nasdaq increased by 1.26%.
Heading into today, shares of the agribusiness giant had lost 4.91% over the past month, lagging the Consumer Staples sector's gain of 1.52% and the S&P 500's gain of 3.01% in that time.
The investment community will be paying close attention to the earnings performance of Archer Daniels Midland in its upcoming release. The company's earnings per share (EPS) are projected to be $1.65, reflecting a 14.51% decrease from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $24.35 billion, indicating a 7.16% decrease compared to the same quarter of the previous year.
ADM's full-year Zacks Consensus Estimates are calling for earnings of $7.26 per share and revenue of $95.31 billion. These results would represent year-over-year changes of -7.52% and -6.42%, respectively.
Any recent changes to analyst estimates for Archer Daniels Midland should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. Archer Daniels Midland currently has a Zacks Rank of #3 (Hold).
Investors should also note Archer Daniels Midland's current valuation metrics, including its Forward P/E ratio of 9.74. This signifies a discount in comparison to the average Forward P/E of 17.97 for its industry.
The Agriculture - Operations industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 152, putting it in the bottom 40% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
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Archer Daniels Midland Company (ADM) : Free Stock Analysis Report
