ADM Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
Archer-Daniels-Midland Co (ADM) is not a strong buy at this time for a beginner, long-term investor with $50,000-$100,000 available. While the stock shows some positive catalysts, such as insider buying and bullish moving averages, the financial performance is declining, and analyst sentiment remains cautious. The lack of strong proprietary trading signals and mixed sentiment from options and technical indicators suggest holding rather than buying.
The stock's technical indicators are mixed. While the moving averages are bullish (SMA_5 > SMA_20 > SMA_200), the MACD histogram is negative and contracting, and the RSI is neutral at 72.249. The stock is trading near its resistance level of 69.656, which could limit upside potential in the short term.
Insider buying: Director David R. McAtee II purchased $486.7K worth of stock, indicating confidence in the company's future.
Bullish moving averages suggest positive momentum.
Gross margin increased by 3.48% YoY in Q4 2025.
Declining financial performance: Revenue, net income, and EPS all dropped significantly YoY in Q4
Analyst sentiment is cautious, with multiple underweight or neutral ratings and price targets below the current price.
No strong trading signals from Intellectia Proprietary Trading Signals or Congress trading data.
In Q4 2025, revenue declined by 13.68% YoY to $18.56B, net income dropped 19.58% YoY to $456M, and EPS fell 20.34% YoY to $0.94. However, gross margin improved slightly to 6.54%, up 3.48% YoY.
Analysts remain cautious on ADM. JPMorgan and BMO Capital raised price targets slightly but maintained underweight and market perform ratings, respectively. Morgan Stanley downgraded the stock to underweight, citing risks in the company's Carb Solutions unit and weaker margins. The consensus view is neutral to bearish, with price targets generally below the current price.
