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Archer Daniels Midland (ADM) Dips More Than Broader Markets: What You Should Know
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Archer Daniels Midland (ADM - Free Report) closed the most recent trading day at $79.30, moving -1.8% from the previous trading session. This change lagged the S&P 500's 0.16% loss on the day. Elsewhere, the Dow lost 0.48%, while the tech-heavy Nasdaq added 0.11%.
Prior to today's trading, shares of the agribusiness giant had lost 4.76% over the past month. This has lagged the Consumer Staples sector's loss of 3.29% and the S&P 500's loss of 1.25% in that time.
Wall Street will be looking for positivity from Archer Daniels Midland as it approaches its next earnings report date. In that report, analysts expect Archer Daniels Midland to post earnings of $1.55 per share. This would mark a year-over-year decline of 16.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.67 billion, down 4.12% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.18 per share and revenue of $98.03 billion. These totals would mark changes of -8.54% and -3.74%, respectively, from last year.
Any recent changes to analyst estimates for Archer Daniels Midland should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.73% lower. Archer Daniels Midland is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Archer Daniels Midland is holding a Forward P/E ratio of 11.25. This valuation marks a discount compared to its industry's average Forward P/E of 17.12.
Also, we should mention that ADM has a PEG ratio of 1.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ADM's industry had an average PEG ratio of 1.21 as of yesterday's close.
The Agriculture - Operations industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 184, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Archer Daniels Midland (ADM) Dips More Than Broader Markets: What You Should Know
Archer Daniels Midland (ADM - Free Report) closed the most recent trading day at $79.30, moving -1.8% from the previous trading session. This change lagged the S&P 500's 0.16% loss on the day. Elsewhere, the Dow lost 0.48%, while the tech-heavy Nasdaq added 0.11%.
Prior to today's trading, shares of the agribusiness giant had lost 4.76% over the past month. This has lagged the Consumer Staples sector's loss of 3.29% and the S&P 500's loss of 1.25% in that time.
Wall Street will be looking for positivity from Archer Daniels Midland as it approaches its next earnings report date. In that report, analysts expect Archer Daniels Midland to post earnings of $1.55 per share. This would mark a year-over-year decline of 16.67%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.67 billion, down 4.12% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $7.18 per share and revenue of $98.03 billion. These totals would mark changes of -8.54% and -3.74%, respectively, from last year.
Any recent changes to analyst estimates for Archer Daniels Midland should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.73% lower. Archer Daniels Midland is holding a Zacks Rank of #3 (Hold) right now.
Looking at its valuation, Archer Daniels Midland is holding a Forward P/E ratio of 11.25. This valuation marks a discount compared to its industry's average Forward P/E of 17.12.
Also, we should mention that ADM has a PEG ratio of 1.76. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. ADM's industry had an average PEG ratio of 1.21 as of yesterday's close.
The Agriculture - Operations industry is part of the Consumer Staples sector. This industry currently has a Zacks Industry Rank of 184, which puts it in the bottom 27% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.