Archer Daniels Midland Co (ADM)

[radar72]

Such a sweet ride here! I can't believe more I-hubbers have not played this one. SO solid.

[*MARINE 1*]

Might have been too soon. ADM looking strong today.

[*MARINE 1*]

finished at $26.6 nice roll out imo

[*MARINE 1*]

Rolled out on Friday, she's getting ready to fall off a cliff imo

[*MARINE 1*]

$27.00 done and down range :) :)

[*MARINE 1*]

Last Price (USD) $ 27.16

can we reach $30.00 next week?

[*MARINE 1*]

Looking for $27.00 next week imo.

[*MARINE 1*]

finished 24.83 with a HOD of 25.02. Now that looks better!!

[radar72]

Nice run back up today. Still holding. I love this stock. So solid. May add more....

[*MARINE 1*]

with Russia leading the way on dumping U.S. equities this is going to be ugly and it's happening quick imo

[frenchee]

Hi M1,

Looks like ADM is on the verge of changing its intermediate-term trend to down. If the up-trend line is broken, next price objective would be the lower Bollinger Band around 18.5. I speculating we could see a test of 16 because of the volume associated with today's 14.15% loss.

[*MARINE 1*]

FYI:

ADM Announces Election of Corporate Officers

DECATUR, Ill., Nov. 19 /PRNewswire-FirstCall/ -- Archer Daniels Midland Company (NYSE:ADM) today announced its Board of Directors elected Kevin Hess, Randall Kampfe, Marc Sanner and Stuart Funderburg as corporate officers. The appointments were effective November 6.

Hess was elected vice president (Oilseeds Production). He began with ADM in 1985 and has held numerous positions within the Company's Oilseeds Processing business segment. Hess has a Bachelor of Science in chemistry from the University of Northern Iowa and a Bachelor of Science in chemical engineering from Iowa State.

Kampfe has been elected vice president (Corn Production). Since joining ADM in 1974, he has held various operations management positions in the Company's Oilseeds Processing and Corn Processing business segments. Kampfe has a Bachelor of Science in engineering and a Master of Business Administration from the University of Nebraska.

Sanner was elected vice president and general auditor. He joined ADM in 1987 and has held various tax and accounting positions within the Company, most recently serving as general auditor. Sanner has a Bachelor of Science in accounting and a Master of Business Administration from Eastern Illinois University. He is a Certified Public Accountant.

Funderburg has been elected assistant secretary and assistant general counsel. Since joining ADM in 1998, he has worked in the law department, most recently serving as assistant general counsel. Funderburg has a Bachelor of Science in agricultural economics and agronomy from the University of Illinois and a Juris Doctor from the University of Illinois College of Law.

About ADM

Every day, the 27,000 people of Archer Daniels Midland Company (NYSE:ADM) turn crops into renewable products that meet the demands of a growing world. At more than 230 processing plants, we convert corn, oilseeds, wheat and cocoa into products for food, animal feed, chemical and energy uses. We operate the world's premier crop origination and transportation network, connecting crops and markets in more than 60 countries. Our global headquarters is in Decatur, Illinois, and our net sales for the fiscal year ended June 30, 2008, were $70 billion. For more information about our Company and our products, visit http://www.admworld.com/.

[*MARINE 1*]

Closed at $25.27..........Good gains

[*MARINE 1*]

Closed 24.56 Nice green day

[*MARINE 1*]

Still doing good on a red day........ green $24.44

[*MARINE 1*]

Did well today, NICE!

[radar72]

This stock is stronger than most stuff out there today. Wish I bought more way down low! Still holding...

[*MARINE 1*]

Tomorrow should be interesting

[*MARINE 1*]

Keep rollin!!!!!!!!!

[radar72]

Wow! Awesome day here so far. Nice move.

[radar72]

We took a bit of a drop today but the chart still looks awesome to me going into next few months. Really looks like it made a nice turn.

[*MARINE 1*]

[*MARINE 1*]

Up Another 1.12

[*MARINE 1*]

nice gains today

[*MARINE 1*]

UPDATE 2-AB Foods, Archer Daniels in U.S. vegetable oil JV
Date : 10/28/2008 @ 4:17AM

[*MARINE 1*]

Nice going ADM!!!!
Wow :)

[radar72]

Yes indeed! We're moving back up in a BIG way.

[*MARINE 1*]

ADM looking good today!!

[radar72]

I'm in! As of last week.... Already makin' money. This stock looks damn good to me at this price. Good hold for the next 4-6 months IMO.

[*MARINE 1*]

Change:0.48 (2.69%)

[radar72]

WOW! This thing really popped today as the market started to recover a bit late day. Been keeping an eye on it but wanted to get in under $15. Going to check it out Monday.

[spec machine]

Looks good to me.

Thanks frenchee

[frenchee]

ADM coming up on some significant support on the weekly charts in the iBox. Time to nibble?

[frenchee]

Weekend Investor
Ethanol Stocks Bust but Stay a Risky Buy
By HERB GREENBERG
March 15, 2008; Page B2

The good news for VeraSun Energy Corp., one of the country's largest ethanol producers: Its most recent quarter beat gloomy analyst estimates.

The bad news: Even with the better-than-expected results, profit for the fourth quarter tumbled 81% as the economics of ethanol (for the time being, at least) remained upside down.

Such is life in what had been the fast lane of an industry that emerged on Wall Street several years ago on a wave of corn-fed momentum after decades of a quiet life back home in the Midwest.


It has since been a classic boom-to-bust stock story, with shares of anything remotely related to ethanol trading at a fraction of what they had been at their highs, which for most was the day they went public during a frenzy that lasted from the summer of 2006 to early 2007.

Analyst Mark Miller of William Blair & Co. perhaps summed it up best on VeraSun's fourth-quarter earnings call this past week when he commented, "This is the first conference call where the stock has traded below book value." The same could be said for the other major ethanol pure plays: Aventine Renewable Energy Holdings Inc., Pacific Ethanol Inc. and US BioEnergy Corp., which is about to merge with VeraSun.

Mr. Miller, in noting the below-net-worth value, wondered whether management had anything to say about the stock's slide, since it implied "you are not going to earn your cost of capital...." Chief Executive Don Endres, who founded the South Dakota company and whose family has been in farming for generations, responded that he believed "there is a lot of misinformation that's out there" that has scared small investors, which he believes is "unfortunate, because this has so much potential."

That, as you might have heard, is subject to much debate. Ethanol's from-out-of-nowhere boom was tied almost exclusively to its use as a replacement to methyl tertiary-butyl ether, a gasoline additive that had been proved to be a carcinogenic groundwater pollutant. "These guys IPO'ed when corn was $1.80 to $1.90 [a bushel] and ethanol was $4.50 a gallon because of a shock to the system: The momentary disconnect when MTBE fell off," says Ian Horowitz, an analyst for Soleil Securities. "If I'm Valero, I don't care what I have to pay for a replacement product, I just know I have to get it in. It wasn't a pricing decision."

Now, with corn at $5.64 a bushel and ethanol at about $2.60 a gallon, he says "it's all digested and worked through," which means ethanol becomes just another commodity. Modern refiners typically can produce about 2.8 gallons of ethanol from a bushel of corn. Like any commodity, Mr. Horowitz adds, ethanol is dictated by its own set of variables over which it has no control: oil, corn, natural gas and the spread between ethanol and gasoline.

There also are uncertainties over future government mandates for the use of ethanol, subsidies to refiners for using ethanol, the possibility that tariffs on imported ethanol will be reduced or eliminated and a host of other concerns that have cropped up lately.

"There are a lot of emotional issues people raise," Mr. Endres, VeraSun's CEO, told me by phone. Ethanol, he says, is now "10% of the fuel industry, so we're up on the radar of a whole lot of groups that have a large amount of resources that they can use to push against us."

He believes that other worries, such as high corn prices and overcapacity, will work themselves out in the next year or two. "We're forging new ground and a new world in energy prices," he says. "We believe this is a new business opportunity."

Maybe it is, but a bigger question is whether at these prices ethanol stocks are the bargain they appear to be. Soleil's Mr. Horowitz -- who was publicly dubious of most ethanol companies before they went public -- doesn't think they are. He believes a safer approach is through diversified agricompanies such as Archer Daniels Midland Co. or Andersons Inc.

If ethanol goes bad, "it implies some other part of their business is working very well," he says. "They don't care if they're making money in biodiesels or ethanol." Too risky, they no doubt realize, to bet the farm on.

[frenchee]

At ADM, Crop Prices Cut Both Ways
A WSJ NEWS ROUNDUP
February 5, 2008; Page C7

Higher crop prices were a double-edged sword for Archer Daniels Midland Co. in its fiscal second quarter.

Its ethanol production continued to be squeezed by lower prices for the biofuel and higher corn costs, but the company posted a 7% profit rise as bumper U.S. crops helped it capitalize on higher prices for grains, including corn, through its grain-handling services.

Operating profit in its agricultural-services business, which stores and moves a host of commodities, more than doubled to $315 million from $131 million in the quarter ended Dec. 31 on handling North American crops as the rest of the world experienced shortages.

"The size of the crop this year," Chief Executive Officer Patricia Woertz said, "has been something that has given us tremendous opportunity."

The Decatur, Ill., company's revenue jumped 50%, but its gross profit margins slipped to 5.7% from 8.3% as the cost of products sold surged.

Profit in ADM's corn-processing business slipped 18% to $275 million in the recent quarter, hurt mainly by lower ethanol prices. Profit for sweeteners and starches, such as high-fructose corn syrup used in soft drinks, slipped 3% to $147 million.

ADM's oilseed-processing profit grew 14% to $219 million due to strong global demand for protein meal and oil. In the company's "other" segment, which includes a handful of businesses, the operating profit rose 3.5% to $146 million.

The company also said corporate charges related principally to inventory valuations more than doubled to $225 million in the recent quarter from $107 million in the year-earlier period.

Its shares were down $1.30, or 2.9%, to $44.20 in 4 p.m. New York Stock Exchange composite trading. Shares have had a strong run over the past year as government incentives for biofuels helped increase planted acres and raise crop prices, while emerging-market demand for staple grains, particularly in China, has been growing.

Recently, however, it has seen the profitability in its corn-processing business slip due to high corn costs and a rapid bulking up of ethanol-production capacity.

[frenchee]

This stock is cheap relative to its peers...

P/E Ratio: 11.43

P/E Ratio High 26.30

P/E Ratio Low 10.00

P/E Ratio vs. Industry: 52.59%

[frenchee]

Archer Daniels Shares Falter
SHARES OF ARCHER DANIELS MIDLAND were down 4% in midday trading Monday following a Barron's article which argued that despite the crop processor and biofuel producer's positive outlook, its valuation is unsupported by its margins and profit forecasts.

In "Harvest Time for ADM Shares," Barron's Michael Santoli wrote that there was a significant chance that new capacity in ADM's key businesses would soften pricing and hurt margins, producing a meaningful shortfall to the fiscal 2008 earnings forecast of $2.55 a share.

ADM is plowing new capital into an aggressive ethanol-production expansion program while the economics of ethanol supply and demand are unfavorable.

Moreover, a spate of insider selling at the company hardly seems to validate the Street's overwhelming bullishness. It also doesn't make the stock's current valuation seem like a fruitful entry point.

[frenchee]

Is Archer-Daniels-Midland Co. Going Shopping?

For a while I have been saying that the ethanol industry is due for consolidation and it seems that the largest producer of it in the US, Archer Daniels Midland (ADM) agrees.

ADM's Chief Financial Officer Doug Schmalz said Tuesday the corn and soy bean processing giant would consider buying ethanol plants now that lower prices for the fuel have been preassuring production margins. "In general, we'll look at all opportunitites including acquisitons," Schmalz said at the Citi Biofuels Conference.

"We have to have properties that will fit within our network. Some plants just wouldn't fit; others might. We'll analyze that as they become available."

This is where it gets really fun. We get to speculate as to what may happen. ADM will not be picking up the mom and pop ethanol collaboratives that have sprung up in recent years. When you will be producing 1.5 billion gallons of ethanol by the end of next year, picking up a 20 million gallon a year plant is a waste of your time.

That being said, when companies like Verasun (VSE) and Pacific Ethanol (PEIX) are both trading a 52 week lows, the timing to pick one of them up is perfect. Verasun would give ADM another 500 mgpy of production and access to an E85 infrastructure and partnerships with auto makers. Pacific Ethanol would give ADM another 300 mgpy and instant access to the potentially largest ethanol market in the US, California.

Pacific Ethanol has a market cap of $350 million and Verasun's is $810 million so either would easily be digestible for the $21 billion ADM.

There has been way too much coming from ADM recently about expansion plans via partnerships or purchases for something not to be either in the works already or about to be. ADM, as I have said before is probably the quietest company out there. For them to actually be talking means something, most likely something very big is about to happen.

Investors have watched the stock drift for most of 2007 and I have repeatedly said to be patient and hold on (I am holding on to my shares with you). Continue to do so and by this time next year, we'll be laughing at those who did not.

[frenchee]

Archer Daniels Midland (ADM) and CononcoPhillips (COP) announced that they agreed to collaborate on the development of renewable transportation fuels from biomass, creating a partnership between the biggest U.S. ethanol producer and one of the biggest oil refiners. The collaboration will research and seek to commercialize two components of a next-generation biofuel production process:

* The conversion of biomass from crops, wood or switchgrass into biocrude, a non-fossil substance that can be processed into fuel; and
* The refining of biocrude to produce transportation fuel.

ADM will provide "biomass," or organic material left over from crops, wood or switchgrass and ConocoPhillips will convert the materials into "biocrude" fuel for transportation.


ConocoPhillips believes that the development of next-generation biofuels is a critical step in the diversification of our nation's energy sources," said Jim Mulva, chairman and chief executive officer, ConocoPhillips. "We are hopeful that this collaboration will provide innovative technology toward the large-scale production of biofuels that can be moved efficiently and affordably through existing infrastructure.

Patricia Woertz, chairman and CEO of ADM, added, "As we advance our global bioenergy interests, this alliance with ConocoPhillips represents an important next step. Innovative collaboration like this will identify and bring to market feasible, economic and sustainable next-generation biofuels."

This is very interesting. There has been a ton of talk out there about "cellulostic ethanol" and while ADM is developing that technology, what they seem to be doing here is creating "cellulostic crude". The ramifications of the agreement between the two are far reaching. Big Oil has thus far rejected the biofuel industry and this agreement serves as that needed recognition. It also diversifies ADM's earnings profile away from ethanol and farther into the biodiesel and now biocrude areas that are growing at staggering rates.

Consider that just three years ago, only 25 million gallons of biodiesel were produced in the US. That number will top 250 million gallon this year and it is expected to double next year. Biodiesel burns cleaner and is 30% MORE mileage friendly than it's pure petroleum brethren.

What ADM and Conoco are doing is jumping into a thus far untouched market head first to dominate it. The fact they are even setting up the refining of the finished product says it is close to a reality.

Sound good shareholders? To me too.

[frenchee]

You still around MrSparex?

[frenchee]

MrSparex,

Please put an ADM chart in your iBox.

TIA

[frenchee]

ADM held support this past week. Appears to be good to go...

[spec machine]

News: ADM - Cell Ethanol

Joint ADM and Purdue University Cellulosic Ethanol Project Selected for Funding by U.S. Department of Energy
11:00a ET April 16, 2007 (PR NewsWire)
A joint BioEnergy project of Archer Daniels Midland Company (NYSE: ADM) and Purdue University has been selected to receive funding by the U.S. Department of Energy to further the commercialization of cellulosic ethanol. Specifically, the Purdue-ADM project is focused on commercializing the use of highly-efficient yeast which converts cellulosic materials into ethanol through fermentation.

"As the global leader in BioEnergy, we are able to leverage our biofuel production and agricultural processing expertise to advance the development of cost-efficient processing technologies, including those that will turn cellulosic materials into ethanol and other co-products," stated Tom Binder, President-ADM Research.

"One of our goals is to reduce the cost of the process and make it applicable for commercial production," said Nancy Ho, the principal investigator and a researcher in Purdue's Laboratory of Renewable Resources Engineering (LORRE).

The development of improved fermentation organisms is a crucial step in the commercialization of cellulosic ethanol. In order to be cost-efficient and work in commercial-scale processing, such organisms must be able to produce high concentrations of ethanol from hexose and pentose sugar streams that can be derived from a wide range of plant lignocellulosic material, such as fibers, hulls, straws, soft and hardwoods.

The research team will include scientists from Purdue and from ADM. The joint project will receive federal funding, beginning this fiscal year and ending in fiscal year 2010, subject to Congressional appropriations. The Purdue-ADM project was selected, along with four other projects, by the Department of Energy for federal funding to develop improved fermentation organisms.

About ADM

Archer Daniels Midland Company (ADM) is the world leader in BioEnergy and has a premier position in the agricultural processing value chain. ADM is one of the world's largest processors of soybeans, corn, wheat and cocoa. ADM is a leading manufacturer of biodiesel, ethanol, soybean oil and meal, corn sweeteners, flour and other value-added food and feed ingredients. Headquartered in Decatur, Illinois, ADM has over 26,000 employees, more than 240 processing plants and net sales for the fiscal year ended June 30, 2006 of $37 billion. Additional information can be found on ADM's Web site at http://www.admworld.com/.

About Purdue

Purdue University is a coeducational, state-assisted system in Indiana. Founded in 1869 and named after benefactor John Purdue, the university is one of the nation's leading research institutions with a reputation for excellent and affordable education. Building upon historical strengths in engineering and agriculture, the West Lafayette campus currently offers 7,400 courses in more than 500 undergraduate majors and specializations in the schools/colleges of agriculture, consumer and family sciences, education, engineering, health sciences, liberal arts, management, nursing, pharmacy and pharmacal sciences, science, technology, and veterinary medicine. Programs of graduate study and research leading to advanced degrees fall under the jurisdiction of the Graduate School.

SOURCE Archer Daniels Midland

Brian Peterson, Senior Vice President-Corporate Affairs of Archer Daniels Midland, [phone]
http://www.admworld.com/

[momentumtrader]

Check out this new ethanol company
convergence ethanol

They have a live interview coming up.

http://biz.yahoo.com/pz/070119/112126.html

[Pedtupe]

ADM double-bottomed. good entry. charts...

[MrSparex]

Good DD? Thoughtful insights?