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Archer Daniels Midland (ADM) Stock Moves -1.06%: What You Should Know

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Archer Daniels Midland (ADM - Free Report) closed the most recent trading day at $85.26, moving -1.06% from the previous trading session. This change was narrower than the S&P 500's daily loss of 1.13%. Meanwhile, the Dow lost 0.56%, and the Nasdaq, a tech-heavy index, added 0.03%.

Coming into today, shares of the agribusiness giant had lost 0.21% in the past month. In that same time, the Consumer Staples sector lost 5.19%, while the S&P 500 lost 7.59%.

Archer Daniels Midland will be looking to display strength as it nears its next earnings release. In that report, analysts expect Archer Daniels Midland to post earnings of $1.37 per share. This would mark year-over-year growth of 41.24%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $23.03 billion, up 13.22% from the year-ago period.

ADM's full-year Zacks Consensus Estimates are calling for earnings of $6.84 per share and revenue of $98.51 billion. These results would represent year-over-year changes of +31.79% and +15.56%, respectively.

Investors should also note any recent changes to analyst estimates for Archer Daniels Midland. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.05% higher. Archer Daniels Midland currently has a Zacks Rank of #3 (Hold).

Looking at its valuation, Archer Daniels Midland is holding a Forward P/E ratio of 12.61. Its industry sports an average Forward P/E of 24.67, so we one might conclude that Archer Daniels Midland is trading at a discount comparatively.

We can also see that ADM currently has a PEG ratio of 1.81. 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. The Agriculture - Operations industry currently had an average PEG ratio of 3.3 as of yesterday's close.

The Agriculture - Operations industry is part of the Consumer Staples sector. This group has a Zacks Industry Rank of 215, putting it in the bottom 15% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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.

Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.


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