Archer Daniels Midland (NYSE:ADM) Posts Earnings Results, Beats Estimates By $0.07 EPS

Archer Daniels Midland (NYSE:ADM) announced its quarterly earnings results on Tuesday. The company reported $0.87 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.80 by $0.07, FiscalAI reports. Archer Daniels Midland had a net margin of 1.43% and a return on equity of 8.01%. The business had revenue of $18.56 billion during the quarter, compared to the consensus estimate of $21.03 billion. During the same quarter last year, the firm posted $1.14 EPS. The business’s revenue was down 13.7% compared to the same quarter last year. Archer Daniels Midland updated its FY 2026 guidance to 3.600-4.250 EPS.

Here are the key takeaways from Archer Daniels Midland’s conference call:

• ADM reported Q4 adjusted EPS of $0.87 and FY adjusted EPS of $3.43, generated ~$2.7 billion of cash from operations (before working capital), realized a $1.5 billion cash benefit from inventory reduction, finished the year with 1.9x leverage, and paid its 376th consecutive quarterly dividend.
• The company set 2026 adjusted EPS guidance of $3.60–$4.25, but said outcomes are highly dependent on the timing and magnitude of U.S. biofuel (RVO) policy clarity, China trade normalization, and market adoption—introducing material timing and mark-to-market uncertainty.
• AS&O underperformed: Q4 segment operating profit was $444 million (down 31%) and full-year AS&O was down 34%, driven by weaker North American exports, soft crush margins, negative timing effects and reduced insurance proceeds—pressuring near-term results.
• Within Carbohydrate Solutions, weaker Starches & Sweeteners were largely offset by much stronger ethanol performance (Vantage Corn Processors Q4 OP up ~187%), and ADM cited continued robust ethanol export opportunities plus an estimated (but variable) potential benefit from 45Z/45Q support.
• Nutrition is recovering—Decatur East is back online, specialty ingredients and flavors showed improvement, and the Alltech JV has commenced operations (reducing revenue as the business becomes an equity investment), although Q4 operating profit was down due mainly to lower insurance proceeds versus the prior year.

Archer Daniels Midland Stock Down 1.0%

ADM stock opened at $67.41 on Wednesday. The company has a 50 day moving average price of $61.53 and a two-hundred day moving average price of $60.47. The company has a debt-to-equity ratio of 0.29, a quick ratio of 0.92 and a current ratio of 1.37. The stock has a market capitalization of $32.40 billion, a P/E ratio of 27.52, a PEG ratio of 4.66 and a beta of 0.71. Archer Daniels Midland has a one year low of $40.98 and a one year high of $69.75.

Archer Daniels Midland Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, March 10th. Investors of record on Tuesday, February 17th will be given a dividend of $0.52 per share. This represents a $2.08 dividend on an annualized basis and a yield of 3.1%. This is an increase from Archer Daniels Midland’s previous quarterly dividend of $0.51. The ex-dividend date is Tuesday, February 17th. Archer Daniels Midland’s dividend payout ratio (DPR) is 83.27%.

Analysts Set New Price Targets

Several brokerages have recently commented on ADM. Morgan Stanley lowered Archer Daniels Midland from an “equal weight” rating to an “underweight” rating and decreased their price target for the stock from $57.00 to $50.00 in a research note on Tuesday, December 16th. BMO Capital Markets reissued a “market perform” rating and issued a $63.00 target price on shares of Archer Daniels Midland in a report on Wednesday. Zacks Research upgraded Archer Daniels Midland from a “strong sell” rating to a “hold” rating in a research report on Friday, January 23rd. UBS Group reiterated a “buy” rating on shares of Archer Daniels Midland in a research report on Monday, December 15th. Finally, Weiss Ratings restated a “hold (c)” rating on shares of Archer Daniels Midland in a research report on Wednesday, January 21st. One research analyst has rated the stock with a Buy rating, five have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus target price of $56.86.

Hedge Funds Weigh In On Archer Daniels Midland

Institutional investors have recently added to or reduced their stakes in the business. Jacobs Levy Equity Management Inc. grew its holdings in Archer Daniels Midland by 176.8% in the 3rd quarter. Jacobs Levy Equity Management Inc. now owns 1,967,471 shares of the company’s stock valued at $117,537,000 after buying an additional 1,256,596 shares during the period. Man Group plc purchased a new stake in Archer Daniels Midland in the third quarter valued at approximately $41,036,000. Marshall Wace LLP increased its position in Archer Daniels Midland by 9,680.0% during the third quarter. Marshall Wace LLP now owns 394,817 shares of the company’s stock worth $23,586,000 after purchasing an additional 390,780 shares during the last quarter. Caisse de depot et placement du Quebec purchased a new stake in shares of Archer Daniels Midland during the 3rd quarter valued at $12,545,000. Finally, California Public Employees Retirement System increased its holdings in shares of Archer Daniels Midland by 12.0% during the 3rd quarter. California Public Employees Retirement System now owns 908,291 shares of the company’s stock worth $54,261,000 after buying an additional 96,998 shares during the last quarter. 78.28% of the stock is currently owned by institutional investors and hedge funds.

More Archer Daniels Midland News

Here are the key news stories impacting Archer Daniels Midland this week:

• Positive Sentiment: Q4 EPS beat consensus, reporting $0.87 vs. ~ $0.80 expected — a cushion against weaker top-line performance. Read More.
• Positive Sentiment: The board raised the quarterly dividend 2% to $0.52 (3.1% yield), supporting income-focused investors and signaling confidence in cash generation. (Dividend announcement)
• Neutral Sentiment: Company published earnings materials and the conference-call transcript/slide deck for investors to dig into segment details and management commentary. Read More.
• Neutral Sentiment: Recent SEC settlement and governance changes were highlighted as reshaping oversight; this could affect execution of ADM’s nutrition-growth strategy but is not an immediate earnings driver. Read More.
• Negative Sentiment: Revenue missed materially — $18.56B vs. ~$21.03B expected — led by weaker Ag Services & Oilseeds and Carbohydrate sales, which pressured the top line despite the EPS beat. Read More.
• Negative Sentiment: FY‑2026 EPS guidance was set to $3.60–$4.25, just under the consensus (~$4.23), disappointing investors and prompting share-pressure. Read More.
• Negative Sentiment: Management cited trade turbulence and U.S. biofuel-policy uncertainty as near-term headwinds that reduced visibility and hurt revenue in the quarter. Read More.
• Negative Sentiment: Pre-existing governance/accounting concerns continue to test investor confidence, adding to volatility around the stock as fundamentals are reassessed. Read More.

Archer Daniels Midland Company Profile

Archer Daniels Midland Company (ADM) is a global agricultural processor and food-ingredient provider that sources, transports and processes oilseeds, corn, wheat and other agricultural commodities. The company operates large-scale crushing, refining and processing facilities that produce vegetable oils, protein meals, corn sweeteners, starches, ethanol, animal feeds and a wide range of food and industrial ingredients. ADM also develops specialty ingredients and solutions for human and animal nutrition, food and beverage formulation, and industrial applications such as bio-based materials and renewable fuels.

ADM’s business combines commodity origination and merchandising with downstream manufacturing and ingredient formulation.