Archer Daniels Midland Co. ADM Stock Analysis

Archer Daniels Midland Co. stock trades under the ticker ADM & has shown recent bullishness that traders & investors should research further into.

ADM stock closed at $82.66/share on 2/7/2023.

Archer Daniels Midland Co. ADM Stock’s Technical Performance Broken Down

Archer Daniels Midland Co. ADM Stock's Technical Performance Over The Last Year
Archer Daniels Midland Co. ADM Stock’s Technical Performance Over The Last Year

ADM Stock Price: $82.66

10 Day Moving Average: $83.24

50 Day Moving Average: $89.26

200 Day Moving Average: $86.09

RSI: 36.05

MACD: -1.955

Yesterday, ADM stock completed a bullish MACD crossover, gaining 0.12% on the day’s session.

Recent trading volumes have been about average compared to the year prior & their RSI is retreating towards neutral from oversold territory, signaling investors are not sure of where to value their shares.

ADM stock has support at the $81.09 & $80.73/share price levels, as they try to break out above the $83.24 (10 Day Moving Average) & $83.40/share resistance levels.

Archer Daniels Midland Co. ADM Stock As A Long-Term Investment

Long-term oriented investors will like ADM stock’s valuation metrics, with a 13.37 P/E (ttm) & a 1.95 P/B (mrq).

They recently reported 13.6% Quarterly Revenue Growth Y-o-Y, with 30.3% Quarterly Earnings Growth Y-o-Y.

Their balance sheet will require a more thorough examination, with $1.04B of Total Cash (mrq) & $9.18B of Total Debt (mrq).

ADM stock pays a 2.00% dividend, which appears to be sustainable in the long-run, as their payout ratio is 20.75%.

82.53% 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 movements in ADM stock’s price, while shielding their portfolio from market volatility.

I am looking at the contracts with the 3/17 expiration date.

The $75, $70 & $80 call options are all in-the-money, listed from highest to lowest level of open interest.

The $87.50, $82.50 & $90 puts are also all in-the-money, with the former being more liquid than the latter strikes.

Tying It All Together

ADM stock has many interesting characteristics that traders & investors will like.

Investors will like their valuation metrics & dividend, but will want to review their balance sheet in more detail.

Traders will like their recent technical performance & how liquid their options are.

Overall, it is worth taking a closer look into ADM stock to see how it fits into your portfolio strategy.

*** I DO NOT OWN SHARES NOR OPTIONS POSITIONS AROUND ADM STOCK AT THE TIME OF PUBLISHING THIS ARTICLE ***