ARCHER-DANIELS-MIDLAND CO (ADM.DE) Stock Fundamental Analysis
Europe - FRA:ADM - US0394831020 - Common Stock
52.89 EUR
-0.06 (-0.11%)
We assign a fundamental rating of 4 out of 10 to ADM. ADM was compared to 59 industry peers in the Food Products industry. While ADM seems to be doing ok healthwise, there are quite some concerns on its profitability. ADM has a valuation in line with the averages, but it does not seem to be growing.
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.
Each year in the past 5 years ADM has been profitable.
Of the past 5 years ADM 4 years had a positive operating cash flow.
1.2 Ratios
ADM has a Return On Assets of 2.11%. This is comparable to the rest of the industry: ADM outperforms 40.68% of its industry peers.
ADM has a Return On Equity of 4.90%. This is in the lower half of the industry: ADM underperforms 64.41% of its industry peers.
ADM has a Return On Invested Capital of 3.67%. This is comparable to the rest of the industry: ADM outperforms 40.68% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for ADM is in line with the industry average of 7.26%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.11% | ||
| ROE | 4.9% | ||
| ROIC | 3.67% |
ROA(3y)5.67%
ROA(5y)5.08%
ROE(3y)13.47%
ROE(5y)12.27%
ROIC(3y)7.66%
ROIC(5y)6.81%
1.3 Margins
ADM has a Profit Margin of 1.33%. This is in the lower half of the industry: ADM underperforms 66.10% of its industry peers.
ADM's Profit Margin has been stable in the last couple of years.
ADM has a worse Operating Margin (1.91%) than 76.27% of its industry peers.
ADM's Operating Margin has been stable in the last couple of years.
ADM's Gross Margin of 6.37% is on the low side compared to the rest of the industry. ADM is outperformed by 93.22% of its industry peers.
In the last couple of years the Gross Margin of ADM has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 1.91% | ||
| PM (TTM) | 1.33% | ||
| GM | 6.37% |
OM growth 3Y-12%
OM growth 5Y-1.08%
PM growth 3Y-12.83%
PM growth 5Y-0.27%
GM growth 3Y-1.29%
GM growth 5Y1.04%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ADM is destroying value.
Compared to 1 year ago, ADM has less shares outstanding
The number of shares outstanding for ADM has been reduced compared to 5 years ago.
The debt/assets ratio for ADM is higher compared to a year ago.
2.2 Solvency
ADM has an Altman-Z score of 3.06. This indicates that ADM is financially healthy and has little risk of bankruptcy at the moment.
ADM has a better Altman-Z score (3.06) than 76.27% of its industry peers.
ADM has a debt to FCF ratio of 2.25. This is a good value and a sign of high solvency as ADM would need 2.25 years to pay back of all of its debts.
ADM has a Debt to FCF ratio of 2.25. This is amongst the best in the industry. ADM outperforms 91.53% of its industry peers.
A Debt/Equity ratio of 0.38 indicates that ADM is not too dependend on debt financing.
The Debt to Equity ratio of ADM (0.38) is better than 72.88% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 2.25 | ||
| Altman-Z | 3.06 |
ROIC/WACC0.46
WACC7.97%
2.3 Liquidity
A Current Ratio of 1.42 indicates that ADM should not have too much problems paying its short term obligations.
ADM's Current ratio of 1.42 is in line compared to the rest of the industry. ADM outperforms 57.63% of its industry peers.
ADM has a Quick Ratio of 1.42. This is a bad value and indicates that ADM is not financially healthy enough and could expect problems in meeting its short term obligations.
ADM has a Quick ratio of 0.90. This is comparable to the rest of the industry: ADM outperforms 54.24% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.9 |
3. Growth
3.1 Past
ADM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -29.56%.
Measured over the past years, ADM shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.32% on average per year.
Looking at the last year, ADM shows a decrease in Revenue. The Revenue has decreased by -6.75% in the last year.
ADM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 5.76% yearly.
EPS 1Y (TTM)-29.56%
EPS 3Y-3.11%
EPS 5Y12.32%
EPS Q2Q%-9.71%
Revenue 1Y (TTM)-6.75%
Revenue growth 3Y0.11%
Revenue growth 5Y5.76%
Sales Q2Q%-4.86%
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 0.03% on average per year.
ADM is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.09% yearly.
EPS Next Y-17.85%
EPS Next 2Y-0.63%
EPS Next 3Y2.16%
EPS Next 5Y0.03%
Revenue Next Year-2.47%
Revenue Next 2Y0.43%
Revenue Next 3Y1.84%
Revenue Next 5Y0.09%
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 decreasing.
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. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.93, ADM is valued correctly.
ADM's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of ADM to the average of the S&P500 Index (27.00), we can say ADM is valued slightly cheaper.
A Price/Forward Earnings ratio of 13.20 indicates a correct valuation of ADM.
ADM's Price/Forward Earnings ratio is in line with the industry average.
ADM is valuated rather cheaply when we compare the Price/Forward Earnings ratio to 22.87, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.93 | ||
| Fwd PE | 13.2 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ADM indicates a slightly more expensive valuation: ADM is more expensive than 61.02% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, ADM is valued cheaper than 88.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.19 | ||
| EV/EBITDA | 13.49 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.29
EPS Next 2Y-0.63%
EPS Next 3Y2.16%
5. Dividend
5.1 Amount
ADM has a Yearly Dividend Yield of 3.26%.
ADM's Dividend Yield is a higher than the industry average which is at 3.32.
ADM's Dividend Yield is a higher than the S&P500 average which is at 2.31.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.26% |
5.2 History
The dividend of ADM is nicely growing with an annual growth rate of 7.05%!
Dividend Growth(5Y)7.05%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
88.90% of the earnings are spent on dividend by ADM. This is not a sustainable payout ratio.
The dividend of ADM is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP88.9%
EPS Next 2Y-0.63%
EPS Next 3Y2.16%
FRA:ADM (10/29/2025, 10:46:17 AM)
52.89
-0.06 (-0.11%)
Chartmill FA Rating
GICS SectorConsumer Staples
GICS IndustryGroupFood, Beverage & Tobacco
GICS IndustryFood Products
Earnings (Last)
Earnings (Next)
Inst Owners84.35%
Inst Owner ChangeN/A
Ins Owners0.59%
Ins Owner ChangeN/A
Market Cap25.41B
Revenue(TTM)82.78B
Net Income(TTM)1.10B
Analysts66.25
Price Target50.67 (-4.2%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.26% |
Yearly Dividend1.71
Dividend Growth(5Y)7.05%
DP88.9%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)7.22%
Min EPS beat(2)3.39%
Max EPS beat(2)11.04%
EPS beat(4)2
Avg EPS beat(4)-0.15%
Min EPS beat(4)-13.33%
Max EPS beat(4)11.04%
EPS beat(8)4
Avg EPS beat(8)-1.29%
EPS beat(12)8
Avg EPS beat(12)5.57%
EPS beat(16)12
Avg EPS beat(16)8.84%
Revenue beat(2)0
Avg Revenue beat(2)-6.17%
Min Revenue beat(2)-8.97%
Max Revenue beat(2)-3.37%
Revenue beat(4)0
Avg Revenue beat(4)-6.48%
Min Revenue beat(4)-8.97%
Max Revenue beat(4)-3.37%
Revenue beat(8)0
Avg Revenue beat(8)-5.85%
Revenue beat(12)2
Avg Revenue beat(12)-3.4%
Revenue beat(16)6
Avg Revenue beat(16)0.12%
PT rev (1m)0.54%
PT rev (3m)12.03%
EPS NQ rev (1m)0.73%
EPS NQ rev (3m)-26.09%
EPS NY rev (1m)-3.96%
EPS NY rev (3m)-3.94%
Revenue NQ rev (1m)-0.15%
Revenue NQ rev (3m)-1.78%
Revenue NY rev (1m)-0.06%
Revenue NY rev (3m)-0.45%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.93 | ||
| Fwd PE | 13.2 | ||
| P/S | 0.36 | ||
| P/FCF | 7.19 | ||
| P/OCF | 5.3 | ||
| P/B | 1.32 | ||
| P/tB | 1.92 | ||
| EV/EBITDA | 13.49 |
EPS(TTM)3.32
EY6.28%
EPS(NY)4.01
Fwd EY7.58%
FCF(TTM)7.35
FCFY13.9%
OCF(TTM)9.98
OCFY18.87%
SpS148.14
BVpS40.14
TBVpS27.55
PEG (NY)N/A
PEG (5Y)1.29
Graham Number54.76
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 2.11% | ||
| ROE | 4.9% | ||
| ROCE | 4.72% | ||
| ROIC | 3.67% | ||
| ROICexc | 3.79% | ||
| ROICexgc | 4.8% | ||
| OM | 1.91% | ||
| PM (TTM) | 1.33% | ||
| GM | 6.37% | ||
| FCFM | 4.96% |
ROA(3y)5.67%
ROA(5y)5.08%
ROE(3y)13.47%
ROE(5y)12.27%
ROIC(3y)7.66%
ROIC(5y)6.81%
ROICexc(3y)7.91%
ROICexc(5y)7.02%
ROICexgc(3y)9.73%
ROICexgc(5y)8.63%
ROCE(3y)9.78%
ROCE(5y)8.76%
ROICexgc growth 3Y-12.07%
ROICexgc growth 5Y2.66%
ROICexc growth 3Y-12.06%
ROICexc growth 5Y2.21%
OM growth 3Y-12%
OM growth 5Y-1.08%
PM growth 3Y-12.83%
PM growth 5Y-0.27%
GM growth 3Y-1.29%
GM growth 5Y1.04%
F-Score4
Asset Turnover1.59
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 2.25 | ||
| Debt/EBITDA | 3.09 | ||
| Cap/Depr | 127.41% | ||
| Cap/Sales | 1.77% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 203.95% | ||
| Profit Quality | 373.89% | ||
| Current Ratio | 1.42 | ||
| Quick Ratio | 0.9 | ||
| Altman-Z | 3.06 |
F-Score4
WACC7.97%
ROIC/WACC0.46
Cap/Depr(3y)135.46%
Cap/Depr(5y)121.61%
Cap/Sales(3y)1.57%
Cap/Sales(5y)1.47%
Profit Quality(3y)67.69%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-29.56%
EPS 3Y-3.11%
EPS 5Y12.32%
EPS Q2Q%-9.71%
EPS Next Y-17.85%
EPS Next 2Y-0.63%
EPS Next 3Y2.16%
EPS Next 5Y0.03%
Revenue 1Y (TTM)-6.75%
Revenue growth 3Y0.11%
Revenue growth 5Y5.76%
Sales Q2Q%-4.86%
Revenue Next Year-2.47%
Revenue Next 2Y0.43%
Revenue Next 3Y1.84%
Revenue Next 5Y0.09%
EBIT growth 1Y-47.49%
EBIT growth 3Y-11.91%
EBIT growth 5Y4.61%
EBIT Next Year81.69%
EBIT Next 3Y26.8%
EBIT Next 5Y13.87%
FCF growth 1Y13.54%
FCF growth 3Y-39.08%
FCF growth 5YN/A
OCF growth 1Y10.41%
OCF growth 3Y-24.93%
OCF growth 5YN/A
ARCHER-DANIELS-MIDLAND CO / ADM.DE FAQ
What is the fundamental rating for ADM stock?
ChartMill assigns a fundamental rating of 4 / 10 to ADM.DE.
What is the valuation status of ARCHER-DANIELS-MIDLAND CO (ADM.DE) stock?
ChartMill assigns a valuation rating of 4 / 10 to ARCHER-DANIELS-MIDLAND CO (ADM.DE). This can be considered as Fairly Valued.
What is the profitability of ADM stock?
ARCHER-DANIELS-MIDLAND CO (ADM.DE) has a profitability rating of 3 / 10.
What is the valuation of ARCHER-DANIELS-MIDLAND CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for ARCHER-DANIELS-MIDLAND CO (ADM.DE) is 15.93 and the Price/Book (PB) ratio is 1.32.
Can you provide the expected EPS growth for ADM stock?
The Earnings per Share (EPS) of ARCHER-DANIELS-MIDLAND CO (ADM.DE) is expected to decline by -17.85% in the next year.