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ADMArcher-Daniels-Midland Company
$77.93$37.6B
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Archer-Daniels-Midland Company (ADM) Financial Ratios

Latest Ratios: P/E Ratio 34.9x · EV/EBITDA 17.3x · ROE 4.7%. (1996–2025 historical series)

Income StatementBalance SheetCash FlowRatios
AnnualQuarterly

ADM Valuation Multiples

Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Market Cap$37.6B$27.8B$24.9B$39.1B$52.3B$38.3B$28.4B$26.2B$23.2B$22.9B$27.0B
Enterprise Value$44.9B$35.2B$35.8B$47.4B$61.5B$47.9B$38.8B$35.2B$29.6B$29.6B$33.3B
P/E Ratio →34.9525.7813.8411.2312.0414.1116.0019.0012.8414.3721.13
P/S Ratio0.470.350.290.420.510.450.440.410.360.380.43
P/B Ratio1.641.211.111.602.121.681.411.361.221.251.57
P/FCF8.936.6220.3013.2024.217.05———19.7345.50
P/OCF6.895.108.938.7815.035.80———10.3718.29

P/E links to full P/E history page with 30-year chart

ADM EV Ratios

Enterprise-value multiples — capital-structure-neutral measures of total business value

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
EV / Revenue—0.440.420.500.610.560.600.540.460.490.53
EV / EBITDA17.2513.5211.159.2611.7412.0114.1413.3010.0212.0213.12
EV / EBIT31.5718.8612.109.5910.9313.3917.4517.6912.2215.2715.74
EV / FCF—8.3829.2015.9728.508.83———25.4956.14

ADM Profitability

Margins and return-on-capital ratios measuring operating efficiency

Margins

Full margin charts and quarterly trend are on the Earnings History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Gross Margin6.3%6.3%6.8%8.0%7.5%7.0%6.9%6.4%6.5%5.8%5.8%
Operating Margin1.8%1.8%2.4%4.3%4.1%3.5%2.7%2.6%3.1%2.5%2.6%
Net Profit Margin1.3%1.3%2.1%3.7%4.3%3.2%2.8%2.1%2.8%2.6%2.1%

Return on Capital

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
ROE4.7%4.7%7.7%14.2%18.3%12.6%9.0%7.2%9.7%9.0%7.3%
ROA2.5%2.5%3.3%6.1%7.5%5.1%3.8%3.3%4.5%4.0%3.2%
ROIC3.3%3.3%4.7%9.1%9.5%7.1%4.5%4.6%6.0%4.8%5.3%
ROCE4.2%4.2%6.0%11.3%12.1%9.1%5.7%5.6%7.1%5.7%6.1%

ADM Leverage & Debt

Solvency and debt-coverage ratios — lower is generally safer

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Debt / Equity0.370.370.510.390.420.460.550.510.440.410.40
Debt / EBITDA3.233.233.591.881.962.654.033.732.843.042.73
Net Debt / Equity—0.320.490.340.380.420.520.470.340.360.37
Net Debt / EBITDA2.842.843.401.611.772.423.793.412.162.712.49
Debt / FCF—1.768.912.774.281.78———5.7610.64
Interest Coverage3.053.054.197.5713.9012.606.944.946.645.867.27

ADM Liquidity & Efficiency

Short-term solvency ratios and asset-utilisation metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Current Ratio11.2011.201.391.601.461.451.501.551.751.591.60
Quick Ratio11.2011.200.810.950.850.790.860.891.000.860.93
Cash Ratio1.311.310.040.070.040.040.040.060.170.060.07
Asset Turnover—2.321.611.721.701.521.291.471.581.521.57
Inventory Turnover——6.897.236.365.475.116.606.836.256.65
Days Sales Outstanding——25.3925.2427.2024.7128.2729.3921.8122.5725.79

ADM Shareholder Yields

Earnings, FCF, buyback, and dividend yields — total returns to shareholders

Dividends

Full dividend history and growth charts are on the Dividend History page

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Dividend Yield2.6%3.5%4.0%2.5%1.7%2.2%2.9%3.0%3.3%3.2%2.6%
Payout Ratio91.6%91.6%54.7%28.1%20.7%30.8%45.7%57.2%41.9%45.8%54.8%

Total Shareholder Return Metrics

MetricTTMFY 2025FY 2024FY 2023FY 2022FY 2021FY 2020FY 2019FY 2018FY 2017FY 2016
Earnings Yield2.9%3.9%7.2%8.9%8.3%7.1%6.2%5.3%7.8%7.0%4.7%
FCF Yield11.2%15.1%4.9%7.6%4.1%14.2%———5.1%2.2%
Buyback Yield0.0%0.0%9.3%6.8%2.8%0.0%0.5%0.6%0.3%3.3%3.7%
Total Shareholder Yield2.6%3.5%13.3%9.3%4.5%2.2%3.3%3.6%3.6%6.5%6.3%
Shares Outstanding—$484M$493M$542M$563M$566M$563M$565M$567M$572M$591M

Key Metrics

Growth RegimeContracting
ProfitabilityStrained
Balance SheetMixed
Cash FlowMixed
Top Statement Risk

Accounting and margin volatility

Verified Source

Metrics are mathematically derived from official filings.

SEC 10-K (2026Q1)

Valuation Multiples Reflecting Earnings Uncertainty

Based on current market data, ADM trades at a trailing P/E of 34.44, which appears elevated relative to its historical norms and suggests that investors are pricing in a recovery that remains unsupported by the recent 6.15% revenue contraction reported in recent financial filings.

The divergence between the trailing P/E and the forward P/E of 16.68 indicates that the market is heavily discounting current earnings volatility, likely due to the ongoing internal accounting investigation. Investors should monitor whether this valuation discount relative to specialty ingredient peers persists as the company attempts to stabilize its Nutrition segment margins.

Capital Efficiency Facing Structural Headwinds

As reported in financial statements, ADM's ROIC has trended downward from 1.9% in 2023Q4 to 1.0% in 2026Q1, indicating that the company is struggling to generate adequate returns on its massive asset base during this period of normalized commodity price volatility and reduced trading arbitrage opportunities.

The consistent decay in ROIC suggests that the capital-intensive nature of the global logistics network is becoming a drag on performance when throughput volumes are not optimized. This trend warrants further investigation into whether the company's recent capital allocation toward Nutrition is actually diluting returns compared to its core agricultural processing operations.

Working Capital Cycles Impacting Liquidity

According to recent quarterly data, ADM's cash conversion cycle has fluctuated significantly, reaching 54 days in 2026Q1, which highlights the inherent difficulty in managing inventory and receivables within a global agricultural supply chain that is currently experiencing reduced velocity and shifting demand patterns.

The variability in the CCC suggests that the company's ability to convert physical grain into cash is highly sensitive to seasonal harvest cycles and trade finance availability. Investors should be cautious, as any further lengthening of this cycle may indicate that the company is forced to hold inventory longer than desired, increasing carrying costs.

Misapplication of Traditional P/E Multiples

Based on the company's unique business model, the P/E ratio is frequently misapplied by market participants, as it fails to account for the massive non-cash mark-to-market adjustments on derivative hedging contracts that artificially inflate or deflate reported earnings in any given quarter.

Analysts should instead focus on EV/EBITDA or cash-flow-based metrics to strip away the noise created by hedging accounting. Relying on P/E in this context obscures the underlying operational reality of the crush spreads and logistics margins, which are the true drivers of long-term value creation for the firm.

Download Financial Ratios Data

Includes 30+ ratios · 30 years · Updated daily

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ADM — Frequently Asked Questions

Quick answers to the most common questions about buying ADM stock.

What is Archer-Daniels-Midland Company's P/E ratio?

Archer-Daniels-Midland Company's current P/E ratio is 34.9x. The historical average is 18.2x. This places it at the 93th percentile of its historical range.

What is Archer-Daniels-Midland Company's EV/EBITDA?

Archer-Daniels-Midland Company's current EV/EBITDA is 17.3x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 10.8x.

What is Archer-Daniels-Midland Company's ROE?

Archer-Daniels-Midland Company's return on equity (ROE) is 4.7%. The historical average is 9.7%.

Is ADM stock overvalued?

Based on historical data, Archer-Daniels-Midland Company is trading at a P/E of 34.9x. This is at the 93th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.

What is Archer-Daniels-Midland Company's dividend yield?

Archer-Daniels-Midland Company's current dividend yield is 2.62% with a payout ratio of 91.6%.

What are Archer-Daniels-Midland Company's profit margins?

Archer-Daniels-Midland Company has 6.3% gross margin and 1.8% operating margin.

How much debt does Archer-Daniels-Midland Company have?

Archer-Daniels-Midland Company's Debt/EBITDA ratio is 3.2x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.