ADM vs. BJ: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ADM and BJ, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Overview
ADM’s market capitalization of 26.57 billion USD is substantially larger than BJ’s 14.45 billion USD, indicating a significant difference in their market valuations.
With betas of 0.66 for ADM and 0.47 for BJ, both stocks show similar sensitivity to overall market movements.
| Symbol | ADM | BJ |
|---|---|---|
| Company Name | Archer-Daniels-Midland Company | BJ's Wholesale Club Holdings, Inc. |
| Country | US | US |
| Sector | Consumer Defensive | Consumer Defensive |
| Industry | Agricultural Farm Products | Discount Stores |
| CEO | Juan Ricardo Luciano | Robert W. Eddy |
| Price | 55.31 USD | 109.44 USD |
| Market Cap | 26.57 billion USD | 14.45 billion USD |
| Beta | 0.66 | 0.47 |
| Exchange | NYSE | NYSE |
| IPO Date | March 17, 1980 | June 28, 2018 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ADM and BJ by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period.
Data is adjusted for dividends and splits.
Profitability
Return on Equity
ADM
6.18%
Agricultural Farm Products Industry
- Max
- 19.53%
- Q3
- 12.40%
- Median
- 7.41%
- Q1
- 5.58%
- Min
- 4.52%
ADM’s Return on Equity of 6.18% is on par with the norm for the Agricultural Farm Products industry, indicating its profitability relative to shareholder equity is typical for the sector.
BJ
31.68%
Discount Stores Industry
- Max
- 31.68%
- Q3
- 28.60%
- Median
- 15.53%
- Q1
- 12.21%
- Min
- 12.12%
In the upper quartile for the Discount Stores industry, BJ’s Return on Equity of 31.68% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.
Return on Invested Capital
ADM
3.42%
Agricultural Farm Products Industry
- Max
- 15.58%
- Q3
- 9.63%
- Median
- 5.28%
- Q1
- 3.56%
- Min
- 1.71%
ADM’s Return on Invested Capital of 3.42% is in the lower quartile for the Agricultural Farm Products industry. This indicates a less efficient conversion of invested capital into profit compared to most of its competitors.
BJ
12.27%
Discount Stores Industry
- Max
- 20.02%
- Q3
- 12.27%
- Median
- 11.13%
- Q1
- 6.51%
- Min
- 5.03%
BJ’s Return on Invested Capital of 12.27% is in line with the norm for the Discount Stores industry, reflecting a standard level of efficiency in generating profits from its capital base.
Net Profit Margin
ADM
1.63%
Agricultural Farm Products Industry
- Max
- 8.26%
- Q3
- 6.13%
- Median
- 3.22%
- Q1
- 1.67%
- Min
- 1.12%
Falling into the lower quartile for the Agricultural Farm Products industry, ADM’s Net Profit Margin of 1.63% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.
BJ
2.76%
Discount Stores Industry
- Max
- 2.92%
- Q3
- 2.92%
- Median
- 2.81%
- Q1
- 2.75%
- Min
- 2.75%
BJ’s Net Profit Margin of 2.76% is aligned with the median group of its peers in the Discount Stores industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin
ADM
1.92%
Agricultural Farm Products Industry
- Max
- 9.85%
- Q3
- 8.83%
- Median
- 4.47%
- Q1
- 2.84%
- Min
- 0.72%
ADM’s Operating Profit Margin of 1.92% is in the lower quartile for the Agricultural Farm Products industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.
BJ
3.93%
Discount Stores Industry
- Max
- 5.42%
- Q3
- 5.42%
- Median
- 4.33%
- Q1
- 3.93%
- Min
- 2.10%
BJ’s Operating Profit Margin of 3.93% is around the midpoint for the Discount Stores industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | ADM | BJ |
|---|---|---|
| Return on Equity (TTM) | 6.18% | 31.68% |
| Return on Assets (TTM) | 2.56% | 8.01% |
| Return on Invested Capital (TTM) | 3.42% | 12.27% |
| Net Profit Margin (TTM) | 1.63% | 2.76% |
| Operating Profit Margin (TTM) | 1.92% | 3.93% |
| Gross Profit Margin (TTM) | 6.32% | 18.57% |
Financial Strength
Current Ratio
ADM
1.38
Agricultural Farm Products Industry
- Max
- 3.86
- Q3
- 2.58
- Median
- 1.98
- Q1
- 1.51
- Min
- 1.26
ADM’s Current Ratio of 1.38 falls into the lower quartile for the Agricultural Farm Products industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
BJ
0.77
Discount Stores Industry
- Max
- 1.25
- Q3
- 1.23
- Median
- 1.02
- Q1
- 0.78
- Min
- 0.74
BJ’s Current Ratio of 0.77 falls into the lower quartile for the Discount Stores industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio
ADM
0.56
Agricultural Farm Products Industry
- Max
- 1.00
- Q3
- 0.70
- Median
- 0.53
- Q1
- 0.34
- Min
- 0.07
ADM’s Debt-to-Equity Ratio of 0.56 is typical for the Agricultural Farm Products industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
BJ
1.37
Discount Stores Industry
- Max
- 2.34
- Q3
- 1.40
- Median
- 0.80
- Q1
- 0.31
- Min
- 0.20
BJ’s Debt-to-Equity Ratio of 1.37 is typical for the Discount Stores industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio
ADM
2.31
Agricultural Farm Products Industry
- Max
- 12.12
- Q3
- 9.52
- Median
- 3.38
- Q1
- 2.68
- Min
- 0.95
In the lower quartile for the Agricultural Farm Products industry, ADM’s Interest Coverage Ratio of 2.31 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
BJ
17.11
Discount Stores Industry
- Max
- 18.46
- Q3
- 17.45
- Median
- 13.09
- Q1
- 10.49
- Min
- 1.08
BJ’s Interest Coverage Ratio of 17.11 is positioned comfortably within the norm for the Discount Stores industry, indicating a standard and healthy capacity to cover its interest payments.
Financial Strength at a Glance
| Symbol | ADM | BJ |
|---|---|---|
| Current Ratio (TTM) | 1.38 | 0.77 |
| Quick Ratio (TTM) | 0.81 | 0.14 |
| Debt-to-Equity Ratio (TTM) | 0.56 | 1.37 |
| Debt-to-Asset Ratio (TTM) | 0.23 | 0.38 |
| Net Debt-to-EBITDA Ratio (TTM) | 3.24 | 2.46 |
| Interest Coverage Ratio (TTM) | 2.31 | 17.11 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ADM and BJ. These metrics are based on the companies’ annual financial reports.
Revenue Growth
Earnings Per Share (EPS) Growth
Free Cash Flow Growth
Dividend
Dividend Yield
ADM
3.65%
Agricultural Farm Products Industry
- Max
- 7.76%
- Q3
- 5.34%
- Median
- 3.60%
- Q1
- 2.88%
- Min
- 0.00%
ADM’s Dividend Yield of 3.65% is consistent with its peers in the Agricultural Farm Products industry, providing a dividend return that is standard for its sector.
BJ
0.00%
Discount Stores Industry
- Max
- 4.51%
- Q3
- 0.91%
- Median
- 0.49%
- Q1
- 0.00%
- Min
- 0.00%
BJ currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.
Dividend Payout Ratio
ADM
71.38%
Agricultural Farm Products Industry
- Max
- 75.60%
- Q3
- 52.87%
- Median
- 34.22%
- Q1
- 33.38%
- Min
- 0.00%
ADM’s Dividend Payout Ratio of 71.38% is in the upper quartile for the Agricultural Farm Products industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.
BJ
0.00%
Discount Stores Industry
- Max
- 44.99%
- Q3
- 36.65%
- Median
- 19.69%
- Q1
- 0.00%
- Min
- 0.00%
BJ’s Dividend Payout Ratio of 0.00% is within the typical range for the Discount Stores industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | ADM | BJ |
|---|---|---|
| Dividend Yield (TTM) | 3.65% | 0.00% |
| Dividend Payout Ratio (TTM) | 71.38% | 0.00% |
Valuation
Price-to-Earnings Ratio
ADM
19.56
Agricultural Farm Products Industry
- Max
- 33.52
- Q3
- 20.70
- Median
- 16.17
- Q1
- 10.00
- Min
- 4.88
ADM’s P/E Ratio of 19.56 is within the middle range for the Agricultural Farm Products industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
BJ
25.12
Discount Stores Industry
- Max
- 55.76
- Q3
- 45.00
- Median
- 33.38
- Q1
- 22.25
- Min
- 10.79
BJ’s P/E Ratio of 25.12 is within the middle range for the Discount Stores industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.
Forward P/E to Growth Ratio
ADM
2.10
Agricultural Farm Products Industry
- Max
- 1.93
- Q3
- 1.81
- Median
- 1.54
- Q1
- 1.32
- Min
- 0.67
The Forward PEG Ratio is often not a primary valuation metric in the Agricultural Farm Products industry.
BJ
3.18
Discount Stores Industry
- Max
- 5.06
- Q3
- 3.70
- Median
- 2.97
- Q1
- 2.24
- Min
- 1.25
BJ’s Forward PEG Ratio of 3.18 is within the middle range of its peers in the Discount Stores industry. This suggests a reasonable balance between the stock’s price and its expected growth, aligning with sector valuation norms.
Price-to-Sales Ratio
ADM
0.32
Agricultural Farm Products Industry
- Max
- 2.89
- Q3
- 1.43
- Median
- 0.36
- Q1
- 0.25
- Min
- 0.01
ADM’s P/S Ratio of 0.32 aligns with the market consensus for the Agricultural Farm Products industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
BJ
0.70
Discount Stores Industry
- Max
- 2.07
- Q3
- 1.63
- Median
- 0.96
- Q1
- 0.64
- Min
- 0.43
BJ’s P/S Ratio of 0.70 aligns with the market consensus for the Discount Stores industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.
Price-to-Book Ratio
ADM
1.21
Agricultural Farm Products Industry
- Max
- 3.19
- Q3
- 1.88
- Median
- 1.10
- Q1
- 0.99
- Min
- 0.77
ADM’s P/B Ratio of 1.21 is within the conventional range for the Agricultural Farm Products industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
BJ
7.30
Discount Stores Industry
- Max
- 16.12
- Q3
- 9.30
- Median
- 5.40
- Q1
- 3.27
- Min
- 2.73
BJ’s P/B Ratio of 7.30 is within the conventional range for the Discount Stores industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.
Valuation at a Glance
| Symbol | ADM | BJ |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 19.56 | 25.12 |
| Forward PEG Ratio (TTM) | 2.10 | 3.18 |
| Price-to-Sales Ratio (P/S, TTM) | 0.32 | 0.70 |
| Price-to-Book Ratio (P/B, TTM) | 1.21 | 7.30 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 118.63 | 50.64 |
| EV-to-EBITDA (TTM) | 10.68 | 15.82 |
| EV-to-Sales (TTM) | 0.45 | 0.82 |