ADM - Archer-Daniels-Midland: Short-Term Profitability Issues Create Long-Term Opportunity
2024-04-02 07:32:51 ET
Summary
- Archer-Daniels-Midland's issues with decreased profitability are due to short-term factors such as industry cyclicality and one-off expenses.
- The current accounting probe is unlikely to have a long-term impact.
- ADM is a fundamentally strong business with a healthy balance sheet.
- I rate ADM as a buy where I expect a 16% annual return over the next five years.