ARCHER-DANIELS-MIDLAND CO (ADM.DE) Stock Fundamental Analysis
Europe - FRA:ADM - US0394831020 - Common Stock
51.95 EUR
-0.11 (-0.21%)
Taking everything into account, ADM scores 4 out of 10 in our fundamental rating. ADM was compared to 58 industry peers in the Food Products industry. The financial health of ADM is average, but there are quite some concerns on its profitability. 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.
In the past year ADM had a positive cash flow from operations.
In the past 5 years ADM has always been profitable.
Of the past 5 years ADM 4 years had a positive operating cash flow.
1.2 Ratios
With a Return On Assets value of 2.11%, ADM is not doing good in the industry: 63.79% of the companies in the same industry are doing better.
ADM has a Return On Equity of 4.90%. This is in the lower half of the industry: ADM underperforms 67.24% of its industry peers.
ADM has a Return On Invested Capital of 3.67%. This is in the lower half of the industry: ADM underperforms 63.79% of its industry peers.
ADM had an Average Return On Invested Capital over the past 3 years of 7.66%. This is in line with the industry average of 8.28%.
| 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 worse Profit Margin (1.33%) than 74.14% of its industry peers.
In the last couple of years the Profit Margin of ADM has remained more or less at the same level.
Looking at the Operating Margin, with a value of 1.91%, ADM is doing worse than 77.59% of the companies in the same industry.
In the last couple of years the Operating Margin of ADM has remained more or less at the same level.
ADM has a Gross Margin of 6.37%. This is amonst the worse of the industry: ADM underperforms 94.83% 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.
The number of shares outstanding for ADM has been reduced compared to 1 year ago.
Compared to 5 years ago, ADM has less shares outstanding
ADM has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.06 indicates that ADM is not in any danger for bankruptcy at the moment.
With a decent Altman-Z score value of 3.06, ADM is doing good in the industry, outperforming 74.14% of the companies in the same industry.
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's Debt to FCF ratio of 2.25 is amongst the best of the industry. ADM outperforms 89.66% 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 68.97% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.38 | ||
| Debt/FCF | 2.25 | ||
| Altman-Z | 3.06 |
ROIC/WACC0.45
WACC8.1%
2.3 Liquidity
ADM has a Current Ratio of 1.42. This is a normal value and indicates that ADM is financially healthy and should not expect problems in meeting its short term obligations.
ADM has a Current ratio of 1.42. This is comparable to the rest of the industry: ADM outperforms 55.17% of its industry peers.
A Quick Ratio of 0.90 indicates that ADM may have some problems paying its short term obligations.
With a Quick ratio value of 0.90, ADM perfoms like the industry average, outperforming 55.17% of the companies in the same industry.
| 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.
The Revenue has decreased by -6.75% in the past year.
Measured over the past years, ADM shows a small growth in Revenue. The Revenue has been growing by 5.76% on average per year.
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.
Based on estimates for the next years, ADM will show a small growth in Revenue. The Revenue will grow by 0.09% on average per year.
EPS Next Y-14.47%
EPS Next 2Y0.07%
EPS Next 3Y2.38%
EPS Next 5Y0.03%
Revenue Next Year-2.42%
Revenue Next 2Y0.34%
Revenue Next 3Y1.55%
Revenue Next 5Y0.09%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less 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. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 15.69, ADM is valued correctly.
The rest of the industry has a similar Price/Earnings ratio as ADM.
Compared to an average S&P500 Price/Earnings ratio of 27.54, ADM is valued a bit cheaper.
A Price/Forward Earnings ratio of 12.83 indicates a correct valuation of ADM.
Based on the Price/Forward Earnings ratio, ADM is valued a bit cheaper than the industry average as 65.52% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 23.05, ADM is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.69 | ||
| Fwd PE | 12.83 |
4.2 Price Multiples
67.24% of the companies in the same industry are cheaper than ADM, based on the Enterprise Value to EBITDA ratio.
Based on the Price/Free Cash Flow ratio, ADM is valued cheaper than 86.21% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.09 | ||
| EV/EBITDA | 13.34 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)1.27
EPS Next 2Y0.07%
EPS Next 3Y2.38%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 3.34%, ADM has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 3.40, ADM pays a bit more dividend than its industry peers.
Compared to an average S&P500 Dividend Yield of 2.41, ADM pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
5.2 History
On average, the dividend of ADM grows each year by 7.05%, which is quite nice.
Dividend Growth(5Y)7.05%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
ADM pays out 88.90% of its income as dividend. 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 2Y0.07%
EPS Next 3Y2.38%
FRA:ADM (9/29/2025, 11:47:18 AM)
51.95
-0.11 (-0.21%)
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 Cap24.96B
Analysts66.25
Price Target50.4 (-2.98%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.34% |
Yearly Dividend1.7
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)0.31%
PT rev (3m)14.73%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-25.54%
EPS NY rev (1m)0%
EPS NY rev (3m)0.2%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)-0.92%
Revenue NY rev (1m)0%
Revenue NY rev (3m)-0.21%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 15.69 | ||
| Fwd PE | 12.83 | ||
| P/S | 0.35 | ||
| P/FCF | 7.09 | ||
| P/OCF | 5.22 | ||
| P/B | 1.3 | ||
| P/tB | 1.89 | ||
| EV/EBITDA | 13.34 |
EPS(TTM)3.31
EY6.37%
EPS(NY)4.05
Fwd EY7.8%
FCF(TTM)7.33
FCFY14.1%
OCF(TTM)9.95
OCFY19.15%
SpS147.61
BVpS40
TBVpS27.45
PEG (NY)N/A
PEG (5Y)1.27
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%
ROICexcg growth 3Y-12.07%
ROICexcg 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
WACC8.1%
ROIC/WACC0.45
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-14.47%
EPS Next 2Y0.07%
EPS Next 3Y2.38%
EPS Next 5Y0.03%
Revenue 1Y (TTM)-6.75%
Revenue growth 3Y0.11%
Revenue growth 5Y5.76%
Sales Q2Q%-4.86%
Revenue Next Year-2.42%
Revenue Next 2Y0.34%
Revenue Next 3Y1.55%
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