Archer Daniels Midland Co. stock trades under the ticker ADM & has shown recent bullish behavior that traders & investors should research further into for when market volatility has been reduced.
ADM stock closed at $75.05/share on 5/23/2023.
Archer Daniels Midland Co. ADM Stock’s Technical Performance Broken Down
ADM Stock Price: $75.05
10 Day Moving Average: $73.99
50 Day Moving Average: $77.12
200 Day Moving Average: $84.21
RSI: 47.38
MACD: -1.209, -1.266, 0.056
Yesterday, ADM stock completed a bullish MACD crossover, closing the day +2.19%.
Their RSI is approaching neutral bullishly & recent trading volumes have been about average compared to the year prior.
Investors should be watching how ADM stock behaves around its support levels in the coming weeks to determine where they would like to enter a position once market volatility has calmed down.
ADM stock has support at the $73.99 (10 day moving average), $73.54, $71.75 & $70.11/share price levels, with resistance at the $76.72, $77.12 (50 day moving average), $78.92 & $82.46/share price levels.
Archer Daniels Midland Co. ADM Stock As A Long-Term Investment
Long-term focused investors will like ADM stock’s valuation metrics, with a 9.84 P/E (ttm) & a 1.71 P/B (mrq).
They recently reported +1.8% Quarterly Revenue Growth Y-o-Y, with +11% Quarterly Earnings Growth Y-o-Y.
ADM’s balance sheet will require a more thorough review, with $899M of Total Cash (mrq) & $11.55B of Total Debt (mrq).
ADM pays a 2.25% dividend, which appears to be sustainable as their payout ratio is 20.7%.
83.4% of ADM stock’s outstanding share float is owned by institutional investors.
Archer Daniels Midland Co. ADM Stock As A Short-Term Trade Using Options
Traders with shorter time horizons can trade options to profit from ADM stock’s price movements, while protecting their portfolios from volatility.
I am looking at the contracts with the 6/16 expiration date.
The $75, $72.50 & $74 call options are all in-the-money, listed from highest to lowest level of open interest.
The $77.50, $79 & $77 puts are also in-the-money, with the former being more liquid than the latter strikes.
Tying It All Together
ADM stock has many unique attributes that traders & investors will find appealing.
Investors will like their valuation metrics, as well as their sustainable dividend.
Traders will like their recent technical performance, as well as their liquid options.
Overall, it is worth taking a closer look at how ADM stock fits into your portfolio strategy.
*** I DO NOT OWN SHARES OR OPTIONS CONTRACT POSITIONS IN ADM STOCK AT THE TIME OF PUBLISHING THIS ARTICLE ***