Archer Daniels Midland Stock Return On Asset
| ADM Stock | USD 61.72 1.30 2.15% |
Archer Daniels Midland fundamentals help investors to digest information that contributes to Archer Daniels' financial success or failures. It also enables traders to predict the movement of Archer Stock. The fundamental analysis module provides a way to measure Archer Daniels' intrinsic value by examining its available economic and financial indicators, including the cash flow records, the balance sheet account changes, the income statement patterns, and various microeconomic indicators and financial ratios related to Archer Daniels stock.
Archer |
Archer Daniels Midland Company Return On Asset Analysis
Archer Daniels' Return on Asset or ROA shows how effective is the management of the company in generating income from utilizing all of the assets at their disposal. It is a useful ratio to evaluate the performance of different departments of a company as well as to understand management performance over time.
Current Archer Daniels Return On Asset | 0.0437 |
Most of Archer Daniels' fundamental indicators, such as Return On Asset, are part of a valuation analysis module that helps investors searching for stocks that are currently trading at higher or lower prices than their real value. If the real value is higher than the market price, Archer Daniels Midland is considered to be undervalued, and we provide a buy recommendation. Otherwise, we render a sell signal.
Return on Asset measures overall efficiency of a company in generating profits from its total assets. It is expressed as the percentage of profits earned per dollar of Asset. A low ROA typically means that a company is asset-intensive and therefore will needs more money to continue generating revenue in the future.
| Competition |
Based on the latest financial disclosure, Archer Daniels Midland has a Return On Asset of 0.0437. This is 45.67% higher than that of the Food Products sector and 143.7% lower than that of the Consumer Staples industry. The return on asset for all United States stocks is 131.21% lower than that of the firm.
Archer Return On Asset Peer Comparison
Stock peer comparison is one of the most widely used and accepted methods of equity analyses. It analyses Archer Daniels' direct or indirect competition against its Return On Asset to detect undervalued stocks with similar characteristics or determine the stocks which would be a good addition to a portfolio. Peer analysis of Archer Daniels could also be used in its relative valuation, which is a method of valuing Archer Daniels by comparing valuation metrics of similar companies.Archer Daniels is currently under evaluation in return on asset category among related companies.
Archer Fundamentals
| Return On Equity | 0.14 | ||||
| Return On Asset | 0.0437 | ||||
| Profit Margin | 0.04 % | ||||
| Operating Margin | 0.03 % | ||||
| Current Valuation | 39.29 B | ||||
| Shares Outstanding | 501.76 M | ||||
| Shares Owned By Insiders | 0.59 % | ||||
| Shares Owned By Institutions | 83.91 % | ||||
| Number Of Shares Shorted | 8.29 M | ||||
| Price To Earning | 13.30 X | ||||
| Price To Book | 1.27 X | ||||
| Price To Sales | 0.33 X | ||||
| Revenue | 93.97 B | ||||
| Gross Profit | 7.57 B | ||||
| EBITDA | 3.94 B | ||||
| Net Income | 3.48 B | ||||
| Cash And Equivalents | 1.04 B | ||||
| Cash Per Share | 2.19 X | ||||
| Total Debt | 9.6 B | ||||
| Debt To Equity | 0.40 % | ||||
| Current Ratio | 1.51 X | ||||
| Book Value Per Share | 47.04 X | ||||
| Cash Flow From Operations | 4.46 B | ||||
| Short Ratio | 1.27 X | ||||
| Earnings Per Share | 6.43 X | ||||
| Price To Earnings To Growth | 16.43 X | ||||
| Target Price | 63.11 | ||||
| Number Of Employees | 40.21 K | ||||
| Beta | 0.77 | ||||
| Market Capitalization | 30.24 B | ||||
| Total Asset | 54.63 B | ||||
| Retained Earnings | 26.16 B | ||||
| Working Capital | 11.11 B | ||||
| Current Asset | 7.33 B | ||||
| Current Liabilities | 4.56 B | ||||
| Annual Yield | 0.03 % | ||||
| Five Year Return | 2.80 % | ||||
| Net Asset | 54.63 B | ||||
| Last Dividend Paid | 1.8 |
About Archer Daniels Fundamental Analysis
The Macroaxis Fundamental Analysis modules help investors analyze Archer Daniels Midland's financials across various querterly and yearly statements, indicators and fundamental ratios. We help investors to determine the real value of Archer Daniels using virtually all public information available. We use both quantitative as well as qualitative analysis to arrive at the intrinsic value of Archer Daniels Midland based on its fundamental data. In general, a quantitative approach, as applied to this company, focuses on analyzing financial statements comparatively, whereas a qaualitative method uses data that is important to a company's growth but cannot be measured and presented in a numerical way.
Please read more on our fundamental analysis page.
Some investors attempt to determine whether the market's mood is bullish or bearish by monitoring changes in market sentiment. Unlike more traditional methods such as technical analysis, investor sentiment usually refers to the aggregate attitude towards Archer Daniels in the overall investment community. So, suppose investors can accurately measure the market's sentiment. In that case, they can use it for their benefit. For example, some tools to gauge market sentiment could be utilized using contrarian indexes, Archer Daniels' short interest history, or implied volatility extrapolated from Archer Daniels options trading.
Pair Trading with Archer Daniels
One of the main advantages of trading using pair correlations is that every trade hedges away some risk. Because there are two separate transactions required, even if Archer Daniels position performs unexpectedly, the other equity can make up some of the losses. Pair trading also minimizes risk from directional movements in the market. For example, if an entire industry or sector drops because of unexpected headlines, the short position in Archer Daniels will appreciate offsetting losses from the drop in the long position's value.Moving together with Archer Stock
| 0.87 | BG | Bunge Limited Financial Report 1st of May 2024 | PairCorr |
| 0.77 | MO | Altria Group Earnings Call This Week | PairCorr |
Moving against Archer Stock
| 0.78 | ISPR | Ispire Technology Common | PairCorr |
| 0.68 | SAM | Boston Beer Earnings Call This Week | PairCorr |
| 0.68 | HPCO | Hempacco Report 10th of May 2024 | PairCorr |
| 0.67 | PAVS | Paranovus Entertainment | PairCorr |
| 0.63 | BUD | Anheuser Busch Inbev Financial Report 2nd of May 2024 | PairCorr |
The ability to find closely correlated positions to Archer Daniels could be a great tool in your tax-loss harvesting strategies, allowing investors a quick way to find a similar-enough asset to replace Archer Daniels when you sell it. If you don't do this, your portfolio allocation will be skewed against your target asset allocation. So, investors can't just sell and buy back Archer Daniels - that would be a violation of the tax code under the "wash sale" rule, and this is why you need to find a similar enough asset and use the proceeds from selling Archer Daniels Midland to buy it.
The correlation of Archer Daniels is a statistical measure of how it moves in relation to other instruments. This measure is expressed in what is known as the correlation coefficient, which ranges between -1 and +1. A perfect positive correlation (i.e., a correlation coefficient of +1) implies that as Archer Daniels moves, either up or down, the other security will move in the same direction. Alternatively, perfect negative correlation means that if Archer Daniels Midland moves in either direction, the perfectly negatively correlated security will move in the opposite direction. If the correlation is 0, the equities are not correlated; they are entirely random. A correlation greater than 0.8 is generally described as strong, whereas a correlation less than 0.5 is generally considered weak.
Correlation analysis and pair trading evaluation for Archer Daniels can also be used as hedging techniques within a particular sector or industry or even over random equities to generate a better risk-adjusted return on your portfolios.Check out Archer Daniels Piotroski F Score and Archer Daniels Altman Z Score analysis. Note that the Archer Daniels Midland information on this page should be used as a complementary analysis to other Archer Daniels' statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try the Equity Forecasting module to use basic forecasting models to generate price predictions and determine price momentum.
Complementary Tools for Archer Stock analysis
When running Archer Daniels' price analysis, check to measure Archer Daniels' market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Archer Daniels is operating at the current time. Most of Archer Daniels' value examination focuses on studying past and present price action to predict the probability of Archer Daniels' future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Archer Daniels' price. Additionally, you may evaluate how the addition of Archer Daniels to your portfolios can decrease your overall portfolio volatility.
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Is Archer Daniels' industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Archer Daniels. If investors know Archer will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Archer Daniels listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
The market value of Archer Daniels Midland is measured differently than its book value, which is the value of Archer that is recorded on the company's balance sheet. Investors also form their own opinion of Archer Daniels' value that differs from its market value or its book value, called intrinsic value, which is Archer Daniels' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Archer Daniels' market value can be influenced by many factors that don't directly affect Archer Daniels' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Archer Daniels' value and its price as these two are different measures arrived at by different means. Investors typically determine if Archer Daniels is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Archer Daniels' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.