According to a recent 13F filing with the Securities and Exchange Commission (SEC), Cambridge Investment Research Advisors Inc. has increased its holdings in Archer-Daniels-Midland Company (NYSE:ADM) by 7.7% during the second quarter of this year. The firm now owns 144,002 shares of the company’s stock, after acquiring an additional 10,262 shares during the quarter. The value of Cambridge Investment Research Advisors Inc.’s holdings in Archer-Daniels-Midland is estimated at $10,881,000 as of its most recent filing.
Archer-Daniels-Midland reported its quarterly earnings data on July 25th, revealing an earnings per share (EPS) of $1.89 for the quarter. This figure surpassed analysts’ consensus estimate of $1.59 by $0.30. The company also showcased a net margin of 4.14% and a return on equity (ROE) of 17.52%. However, it did experience a decline in revenue during this period, generating $25.19 billion compared to analysts’ expectations of $25.82 billion. In the same quarter last year, Archer-Daniels-Midland earned an EPS of $2.15.
Analysts have recently discussed their views on ADM shares as well. Argus raised their price objective for Archer-Daniels-Midland from $91.00 to $95.00 and issued a “buy” rating in their research report on August 1st. StockNews.com initiated coverage on ADM with a “buy” rating on August 17th, while Morgan Stanley increased their price objective from $83 to $87 and rated the company as “equal weight” in their report published on July 31st.Roth Mkm also started coverage on Archer-Daniels-Midland on June 22nd with a “buy” rating and a price objective of $92. Finally, Barclays reduced their price objective from $99.00 to $95.00 in a report dated June 1st.
Currently, Archer-Daniels-Midland Company has an average rating of “Moderate Buy” and a consensus price target of $97.50 as per data obtained from Bloomberg.com.
Moving forward, analysts predict that Archer-Daniels-Midland will post an EPS of 7.19 for the current year.
It is important to note that this information is accurate as of its reference date – September 22, 2023.
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Recent Developments in Hedge Fund and Institutional Investor Activity and Insider Trading at Archer-Daniels-Midland
Archer-Daniels-Midland (ADM), a global food processing and commodities trading corporation, has seen some interesting developments in its recent financial activities. Hedge funds and institutional investors have made strategic modifications to their holdings of the company, while an insider, Fruit Molly L. Strader, sold a significant number of shares.
Hanseatic Management Services Inc., for instance, recently acquired a new stake in Archer-Daniels-Midland during the first quarter. The purchase was valued at approximately $26,000. Similarly, Newbridge Financial Services Group Inc. increased its position in the company by 88.1% during the same period by purchasing an additional 223 shares worth $38,000.
In addition to these moves, MRP Capital Investments LLC made a new stake in Archer-Daniels-Midland during the first quarter worth roughly $40,000. Almanack Investment Partners LLC also entered the market with a new stake in the third quarter with an investment worth about $43,000. Carolinas Wealth Consulting LLC further boosted its position in Archer-Daniels-Midland during the first quarter by acquiring an additional 164 shares valued at $55,000.
These activities highlight that hedge funds and institutional investors now own about 77.73% of Archer-Daniels-Midland stock. It reflects their confidence in the company’s potential and underscores its desirability as a sound investment option.
Turning to insider trading activities within the corporation, Fruit Molly L. Strader sold 1,455 shares on July 26th this year at an average price of $86.80 per share. The transaction had a total value of $126,294 and it should be noted that after this sale Strader holds around 10,809 shares valued at approximately $938,221.20 in ADM.
The disclosure of this transaction was made through documents filed with the Securities & Exchange Commission. These documents are publicly available on the SEC’s website, allowing interested parties to delve into the specifics of insider trading within the company.
Examining Archer-Daniels-Midland’s current financial status, it is notable that the stock opened at $78.88 on Friday. With a market capitalization of $42.29 billion, the company has a debt-to-equity ratio of 0.33—a clear indicator of its robust financial health.
Furthermore, ADM boasts a quick ratio of 1.00 and a current ratio of 1.63, demonstrating its ability to meet short-term obligations efficiently. The company has achieved this solid position amidst challenging global economic conditions.
With a price-to-earnings (P/E) ratio of 10.53 and a P/E/growth (P/E/G) ratio of 1.72, ADM suggests an attractive investment opportunity deserving careful consideration. Its beta value stands at 0.83, indicating lower volatility compared to the broader market.
Analyzing the company’s stock performance over time, we note that Archer-Daniels-Midland Company reached its 52-week low last year at $69.92 and recorded a 52-week high at $98.28.
In conclusion, Archer-Daniels-Midland remains actively pursued by hedge funds and institutional investors who recognize its potential for delivering favorable returns in the long term. While an insider sold shares recently, their actions should not discourage potential investors from exploring opportunities in this reputable food processing and commodities trading corporation.
