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Archer-Daniels-Midland Co
NYSE:ADM

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Archer-Daniels-Midland Co
NYSE:ADM
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Price: 53.61 USD -0.7% Market Closed
Market Cap: 25.7B USD

Operating Margin
Archer-Daniels-Midland Co

1.9%
Current
4%
Average
5.8%
Industry

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
1.9%
=
Operating Profit
1.6B
/
Revenue
83.9B

Operating Margin Across Competitors

Archer-Daniels-Midland Co
Glance View

Economic Moat
None
Market Cap
25.7B USD
Industry
Food Products

In the heartland of America's agrarian economy, Archer-Daniels-Midland Co., widely recognized as ADM, stands as a colossal force, sculpting the journey from seed to table. Founded in 1902, the company has burgeoned into one of the largest agricultural processors in the world, with a hand in nearly every aspect of the food production chain. ADM acts as a bridge between the farm and the consumer, overseeing the transformation of raw agricultural commodities into essential ingredients for myriad industries. By processing crops such as corn, wheat, and soybeans, ADM creates everything from sweeteners and starches to oils and biodiesel, serving diversified markets including food, beverage, renewable energy, and animal nutrition. This integration across sectors allows ADM to mitigate risks associated with agricultural volatility while benefiting from economies of scale. The company's operational prowess lies in its extensive global network of processing facilities, storage silos, and transportation infrastructure. This global footprint ensures that ADM can swiftly respond to shifts in supply and demand while maintaining competitive pricing. Traditionally, their revenue streams have been fueled by the core business divisions of Ag Services and Oilseeds, Carbohydrate Solutions, and Nutrition. Each branch operates like a finely tuned machine, turning grains into revenue through a vertically integrated supply chain approach. By leveraging technology and innovation in areas like sustainable agriculture and food processing, ADM continues to refine its business model to accommodate evolving consumer preferences and environmental concerns. Essentially, ADM thrives by anticipating market needs and delivering tailored solutions that span the agricultural and food production spectrum.

ADM Intrinsic Value
65.62 USD
Undervaluation 18%
Intrinsic Value
Price
A
What is Operating Margin?

Operating Margin represents how efficiently a company is able to generate profit through its core operations.

Higher ratios are generally better, illustrating the company is efficient in its operations and is good at turning sales into profits.

Operating Margin
1.9%
=
Operating Profit
1.6B
/
Revenue
83.9B
What is the Operating Margin of Archer-Daniels-Midland Co?

Based on Archer-Daniels-Midland Co's most recent financial statements, the company has Operating Margin of 1.9%.

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