Archer-Daniels-Midland (NYSE:ADM) to Repurchase 100,000,000 Stock

Archer-Daniels-Midland (NYSE:ADM) announced that its board has initiated a share buyback plan on Wednesday, December 11th, RTT News reports. The company plans to buyback 100,000,000 shares. This buyback authorization authorizes the company to repurchase shares of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its shares are undervalued.

Archer-Daniels-Midland Trading Up 0.3 %

Shares of ADM opened at $53.09 on Friday. Archer-Daniels-Midland has a 12 month low of $48.92 and a 12 month high of $77.35. The stock’s 50-day moving average is $54.75 and its two-hundred day moving average is $58.76. The company has a debt-to-equity ratio of 0.34, a current ratio of 1.40 and a quick ratio of 0.84. The stock has a market cap of $25.41 billion, a PE ratio of 15.13 and a beta of 0.72.

Archer-Daniels-Midland Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, December 12th. Investors of record on Thursday, November 21st were given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 3.77%. The ex-dividend date of this dividend was Thursday, November 21st. Archer-Daniels-Midland’s dividend payout ratio (DPR) is presently 57.14%.

Wall Street Analysts Forecast Growth

A number of research firms recently weighed in on ADM. Morgan Stanley lowered their price target on Archer-Daniels-Midland from $57.00 to $52.00 and set an “equal weight” rating on the stock in a report on Tuesday, November 12th. BMO Capital Markets cut their price target on Archer-Daniels-Midland from $55.00 to $51.00 and set a “market perform” rating for the company in a research note on Wednesday, December 4th. Barclays lowered their price objective on shares of Archer-Daniels-Midland from $60.00 to $56.00 and set an “underweight” rating on the stock in a research note on Wednesday, December 4th. Stephens initiated coverage on shares of Archer-Daniels-Midland in a report on Wednesday. They issued an “equal weight” rating and a $55.00 price target on the stock. Finally, Citigroup raised their price objective on shares of Archer-Daniels-Midland from $51.00 to $55.00 and gave the stock a “neutral” rating in a research note on Wednesday, December 4th. One investment analyst has rated the stock with a sell rating and fifteen have assigned a hold rating to the company’s stock. According to data from MarketBeat.com, Archer-Daniels-Midland presently has a consensus rating of “Hold” and a consensus target price of $60.62.

About Archer-Daniels-Midland

Archer-Daniels-Midland Company engages in the procurement, transportation, storage, processing, and merchandising of agricultural commodities, ingredients, flavors, and solutions in the United States, Switzerland, the Cayman Islands, Brazil, Mexico, Canada, the United Kingdom, and internationally. It operates in three segments: Ag Services and Oilseeds, Carbohydrate Solutions, and Nutrition.