Archer Daniels Midland Co Stock Price, News & Analysis

Ray G. Young has been appointed Vice Chairman of ADM, transitioning from his role as Chief Financial Officer as the company seeks a successor. Young will provide strategic guidance on key initiatives crucial for ADM's growth. Chairman and CEO Juan Luciano expressed gratitude for Young's contributions to ADM's transformation into a leader in sustainable nutrition. The company will start a search for a new CFO with both internal and external candidates to ensure a seamless transition.

ADM has priced its inaugural sustainable bond at $750 million with a coupon rate of 2.900%, maturing in 2032. The funds will support ESG initiatives under its Sustainable Financing Framework, targeting projects in sustainable agriculture, green buildings, and food security. The bond offering is set to close on February 28, 2022. With this issuance, ADM aims to enhance its commitment to sustainability, responding to consumer demand for responsibly produced products.

ADM's Ag Services & Oilseeds president, Greg Morris, and head of Investor Relations, Vikram Luthar, will participate in a fireside chat at the Bank of America 2022 Global Agriculture and Materials conference on March 3 in Fort Lauderdale, Florida. They will discuss ADM’s transformation, ongoing strategic execution, and positive outlook for 2022, aiming for earnings of $6-$7.00 per share by 2025. The event will be streamed live at 9:30 a.m. Eastern Time.

ADM has unveiled its alternative protein outlook, forecasting growth to $125 billion by 2030. The company identifies seven emerging trends shaping this market, including the rise of novel protein sources, fermentation-as-a-service, and kid-friendly product formats. Innovations in plant-based products are expected to meet consumer demand for health-forward options. With over 60 global innovation centers, ADM is uniquely positioned to support brands in capitalizing on these opportunities, ensuring a sustainable food supply chain for the future.

ADM's Board of Directors declared a cash dividend of 40.0 cents per share, an 8.1% increase from the previous quarter. This marks the 361st consecutive quarterly payment and showcases ADM's commitment to shareholder value. The dividend will be paid on March 1, 2022, to shareholders of record by February 8, 2022. The announcement follows a successful Global Investor Day, where ADM outlined its strategic plans and strong 2022 outlook, reinforcing a history of over 40 years of annual dividend growth.

ADM reported record full-year net earnings of $2.7 billion for 2021, with adjusted net earnings reaching $2.9 billion. The company experienced a 34% increase in segment operating profit. Fourth quarter EPS was $1.38, up from $1.22 in 2020, with adjusted EPS at $1.50. The board announced an 8% increase in quarterly dividends, reflecting strong performance and strategic alignment with growth in food security and sustainability. ADM expects to continue this momentum into 2022, aiming for an EPS target of $6.00-$7.00.