Citi analyst Thomas Palmer raised the firm’s price target on Archer Daniels (ADM) to $55 from $51 and keeps a Neutral rating on the shares. The firm says it came away from ADM’s Q3earnings callwith a better understanding of the company’s nearer-term challenges and opportunity to mitigate cyclical headwinds with operational improvements. It sees opportunity for ADM’s earnings to benefit from higher crush volumes, the restart of Decatur East, operational and demand recovery in the Human Nutrition segment, and capital deployments. However, Citi is not sure that much recovery in the agriculture products industry should be anticipated, especially when considering the mounting headwinds on crush margins and refined oil spreads.
Don't Miss our Black Friday Offers:
- Unlock your investing potential with TipRanks Premium - Now At 40% OFF!
- Make smarter investments with weekly expert stock picks from the Smart Investor Newsletter
Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>>
See Insiders’ Hot Stocks on TipRanks >>
Read More on ADM:
- Archer Daniels price target lowered to $56 from $60 at Barclays
- Biden admin won’t finalize clean fuel guidance before exit, Reuters reports
- Archer Daniels Midland Schedules Investor Conference Call
- Archer Daniels reports Q3 adjusted EPS $1.09, consensus $1.09
- Archer Daniels backs FY24 EPS view $4.50-$5.00, consensus $4.60
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.