Credit Suisse Boosts Price Target on Archer Daniels Midland Company (ADM)

By admin | 4 years ago

Equities research analysts at Credit Suisse (NYSE: CS) upped their price target on shares of Archer Daniels Midland Company (NYSE: ADM) from $35.00 to $37.00 in a research note issued to investors on Wednesday.

The analysts wrote, “Our F2012 EPS estimate is raised to $2.55 from $2.52. While the results in the quarter were not great, the company executed well in a tough oilseeds environment and delivered better ethanol results than we feared. This reinforces our conviction that the company’s transition to a more ROIC-focused management is working, and that ADM is set up for a much stronger FY 13. We expect ADM to benefit from a 12-14% increase in U.S. corn production, strong origination out of North America in the fall to compensate for the weak Brazilian soy crop, temporary shutdowns of 14-15 “destination” ethanol plants by competitors outside of the corn belt, and full realization of $150 million in savings from workforce reductions and the elimination of financial reporting redundancies by March, 2013.”


ADM has been the subject of a number of other recent research reports. Analysts at Deutsche Bank (NYSE: DB) raised their price target on shares of Archer Daniels Midland Company to $35.00 in a research note to investors on Wednesday. Separately, analysts at Standpoint Research downgraded shares of Archer Daniels Midland Company from a “buy” rating to a “hold” rating in a research note to investors on Tuesday. Finally, analysts at Morgan Stanley (NYSE: MS) cut their EPS estimates on shares of Archer Daniels Midland Company in a research note on Tuesday. They now have an “overweight” rating and a $37.00 price target on the stock.

Archer Daniels Midland Company traded down 1.18% on Wednesday, hitting $32.56. Archer Daniels Midland Company has a 1-year low of $23.69 and a 1-year high of $34.66. The company has a market cap of $21.543 billion and a price-to-earnings ratio of 14.54.

The company last announced its quarterly results on Tuesday, May 1st. It reported $0.78 earnings per share (EPS) for the previous quarter, beating the Thomson Reuters consensus estimate of $0.60 EPS by $0.18. The company’s quarterly revenue was up 5.4% on a year-over-year basis. Analysts expect that Archer Daniels Midland Company will post $0.70 EPS next quarter.

Archer Daniels Midland Company is principally engaged in procuring, transporting, storing, processing, and merchandising agricultural commodities and products.

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