| Factor | Score | Distribution | Value | Avg | Rank |
|---|---|---|---|---|---|
Valuation | 62 | 23.8x | 17.8x | Around median | |
Growth | 29 | -0.8% | 7.1% | Bottom tier | |
Quality | 36 | 6.4% | 4.5% | Bottom tier | |
Safety | 66 | — | 2.6x | Around median | |
Capital Return | 69 | 2.40% | 2.12% | Top tier | |
Momentum | 93 | 21.7% | 2.9% | Top tier | |
Sentiment | 75 | 6 | 3 | Top tier |
Estimates — analyst targets and a simplified DCF, not investment advice.
Ten ratios that matter, each compared against its sector median and average — so you can see whether a number is rich or cheap relative to peers in the same sector.
Archer-Daniels-Midland Company operates through three interconnected pillars: Ag Services and Oilseeds, Carbohydrate Solutions, and Nutrition. The company benefits from a global network of grain origination, transportation, and export assets, processes oilseeds to produce oils and soybean meal, and also produces ethanol, starches, sweeteners, flavor ingredients, and human and animal nutrition products. Segment operating profit in Q2 FY2026 was $1.5 billion, distributed among $867 million for Ag Services and Oilseeds, $411 million for Carbohydrate Solutions, and $172 million for Nutrition.
In Q2 FY2026, revenue was $22.7 billion, gross profit was $1.9 billion, net income was $908 million, and reported EPS was $1.87, equivalent to a gross margin of approximately 8.4% and a net income margin of approximately 4.0%. Adjusted EPS announced on the call was $1.84, while operating profit for Ag Services and Oilseeds increased 129% year over year, Carbohydrate Solutions profit increased 22%, and Nutrition profit increased 51%. Despite improved Nutrition profitability, the segment’s revenue declined 5% to $1.9 billion, illustrating that improved mix and operational execution were more important than sales growth in this unit.
The average analyst price target is $88, within a wide range of $79 to $95, while the consensus rating is “Neutral”; the average target stands only $0.46 below the 52-week range high of $88.46. The spread between the highest target of $95 and the lowest target of $79 indicates clear disagreement about the sustainability of the biofuel and crush boom, particularly given FY2026 guidance’s dependence on policies, commodity margins, and Chinese purchases.
Figures in the text are as of 2026-08-28; the live price is shown at the top of the page.
The largest driver came from Ag Services and Oilseeds, where segment profit increased 129% to $867 million. Crush profit reached $363 million, an increase of approximately $330 million, with oilseed processing volumes growing by approximately 5%. Carbohydrate Solutions profit also increased 22% to $411 million, and Nutrition profit increased 51% to $172 million, supported by ethanol, Flavors, and improvements at Decatur East.
On August 4, 2026, ADM raised its adjusted EPS guidance for FY2026 to $5.15–$5.60, from $4.15–$4.70 previously. The guidance assumes continued strength in crush and ethanol margins and improved operating performance in Nutrition. It also assumes China will continue purchasing North American soybeans as it progresses toward fulfilling its commitment to purchase 25 million metric tons of U.S. soybeans during 2026.
Renewable fuel volume obligations supported domestic demand and crush margins, while favorable ethanol economics encouraged higher blending rates in the United States. ADM raised its estimated net benefit from the 45Z incentive for FY2026 from approximately $150 million to approximately $250 million. In Q2 FY2026, Vantage Corn Processor profit increased by $52 million to $85 million, and the company also sequestered 337 thousand metric tons of carbon.
Automated analysis for informational purposes only — not investment advice.
Management estimates the addressable U.S. market for natural colors at approximately $1 billion in revenue. ADM targets generating $80–$100 million in operating profit over several years as customers shift from synthetic colors to natural alternatives. As of August 4, 2026, the company had signed two contracts to convert red, yellow, and orange shades to natural alternatives, one in a well-known packaged food line and the other in flavored beverages.
North American crush was approximately 90% covered for Q3 FY2026, but only approximately 30% covered for Q4, leaving earnings exposed to changes in executable margins. The guidance also depends on continued Chinese purchases, ethanol strength, and biofuel incentives, while liquid sweeteners continue to experience weak volumes and margins. Commodity price volatility, mark-to-market and timing effects, and disruptions in Ukraine and the Middle East add factors that could change the second-half outcome.
ADM generated approximately $1.8 billion in operating cash flow before changes in working capital during the first half of FY2026. Net leverage was 1.6 times on June 30, 2026, compared with an expectation of approximately 2 times at the end of FY2026. The company expects capital expenditures of between $1.3 billion and $1.5 billion during FY2026 and paid $256 million in dividends in Q2, marking the 378th consecutive quarter in which it paid dividends.
