Barclays Cuts Archer-Daniels-Midland (NYSE:ADM) Price Target to $48.00

Archer-Daniels-Midland (NYSE:ADM) had its target price cut by Barclays from $50.00 to $48.00 in a research note issued to investors on Monday morning,Benzinga reports. They currently have an underweight rating on the stock.

A number of other research analysts also recently commented on ADM. Citigroup increased their target price on shares of Archer-Daniels-Midland from $51.00 to $55.00 and gave the company a “neutral” rating in a research report on Wednesday, December 4th. Bank of America cut their price target on Archer-Daniels-Midland from $54.00 to $48.00 and set an “underperform” rating on the stock in a research report on Tuesday, February 11th. BMO Capital Markets decreased their price objective on Archer-Daniels-Midland from $51.00 to $49.00 and set a “market perform” rating for the company in a report on Wednesday, February 5th. Morgan Stanley reduced their price target on shares of Archer-Daniels-Midland from $52.00 to $47.00 and set an “equal weight” rating for the company in a research report on Tuesday, February 11th. Finally, Stephens decreased their price target on shares of Archer-Daniels-Midland from $55.00 to $52.00 in a research note on Tuesday, February 4th. Two analysts have rated the stock with a sell rating and seven have given a hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Hold” and an average target price of $54.89.

Archer-Daniels-Midland Stock Down 3.6 %

Shares of NYSE ADM opened at $47.01 on Monday. Archer-Daniels-Midland has a 1 year low of $44.92 and a 1 year high of $66.08. The company has a market capitalization of $22.55 billion, a price-to-earnings ratio of 13.02, a price-to-earnings-growth ratio of 1.54 and a beta of 0.72. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.39 and a quick ratio of 0.81. The business has a 50-day moving average of $49.29 and a two-hundred day moving average of $54.11.

Archer-Daniels-Midland (NYSE:ADM) last posted its earnings results on Tuesday, February 4th. The company reported $1.14 earnings per share for the quarter, topping the consensus estimate of $1.07 by $0.07. The firm had revenue of $21.50 billion during the quarter, compared to analysts’ expectations of $22.77 billion. Archer-Daniels-Midland had a return on equity of 10.44% and a net margin of 2.10%. The firm’s revenue was down 6.4% compared to the same quarter last year. During the same quarter in the previous year, the business earned $1.36 earnings per share. On average, analysts forecast that Archer-Daniels-Midland will post 4.31 earnings per share for the current fiscal year.

Archer-Daniels-Midland Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 11th. Investors of record on Tuesday, February 18th will be given a $0.51 dividend. The ex-dividend date of this dividend is Tuesday, February 18th. This represents a $2.04 dividend on an annualized basis and a yield of 4.34%. This is an increase from Archer-Daniels-Midland’s previous quarterly dividend of $0.50. Archer-Daniels-Midland’s dividend payout ratio (DPR) is presently 56.51%.

Archer-Daniels-Midland declared that its board has initiated a stock buyback program on Wednesday, December 11th that allows the company to buyback 100,000,000 outstanding shares. This buyback authorization allows the company to reacquire shares of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s management believes its stock is undervalued.

Institutional Trading of Archer-Daniels-Midland

Hedge funds have recently modified their holdings of the business. Norges Bank purchased a new position in Archer-Daniels-Midland in the fourth quarter worth $333,521,000. Wellington Management Group LLP increased its holdings in shares of Archer-Daniels-Midland by 41.5% in the 3rd quarter. Wellington Management Group LLP now owns 19,430,111 shares of the company’s stock valued at $1,160,755,000 after purchasing an additional 5,702,451 shares in the last quarter. Pacer Advisors Inc. lifted its stake in shares of Archer-Daniels-Midland by 28.4% in the fourth quarter. Pacer Advisors Inc. now owns 10,382,639 shares of the company’s stock valued at $524,531,000 after purchasing an additional 2,296,193 shares during the period. Invesco Ltd. boosted its holdings in Archer-Daniels-Midland by 24.8% during the fourth quarter. Invesco Ltd. now owns 7,145,818 shares of the company’s stock worth $361,007,000 after buying an additional 1,420,625 shares in the last quarter. Finally, State Street Corp grew its position in Archer-Daniels-Midland by 3.3% during the third quarter. State Street Corp now owns 32,045,672 shares of the company’s stock worth $1,914,408,000 after buying an additional 1,018,256 shares during the period. 78.28% of the stock is owned by institutional investors and hedge funds.

About Archer-Daniels-Midland

Archer-Daniels-Midland Company engages in the procurement, transportation, storage, processing, and merchandising of agricultural commodities, ingredients, flavors, and solutions in the United States, Switzerland, the Cayman Islands, Brazil, Mexico, Canada, the United Kingdom, and internationally. It operates in three segments: Ag Services and Oilseeds, Carbohydrate Solutions, and Nutrition.