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ADM vs. EL: A Head-to-Head Stock Comparison

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Here’s a clear look at ADM and EL, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Overview

ADM’s market capitalization stands at 26.57 billion USD, while EL’s is 31.95 billion USD, indicating their market valuations are broadly comparable.

EL carries a higher beta at 1.12, indicating it’s more sensitive to market moves, while ADM (beta: 0.66) exhibits greater stability.

SymbolADMEL
Company NameArcher-Daniels-Midland CompanyThe Estée Lauder Companies Inc.
CountryUSUS
SectorConsumer DefensiveConsumer Defensive
IndustryAgricultural Farm ProductsHousehold & Personal Products
CEOJuan Ricardo LucianoStephane de la Faverie
Price55.31 USD88.72 USD
Market Cap26.57 billion USD31.95 billion USD
Beta0.661.12
ExchangeNYSENYSE
IPO DateMarch 17, 1980November 17, 1995
ADRNoNo

Historical Performance

This chart compares the performance of ADM and EL 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.

ADM vs. EL: Growth of a $10,000 investment over the past one year.

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.

EL

-18.42%

Household & Personal Products Industry

Max
38.00%
Q3
32.25%
Median
24.06%
Q1
4.84%
Min
-18.42%

EL has a negative Return on Equity of -18.42%. This indicates the company is generating a loss for its shareholders, which can be a result of unprofitability or negative shareholder equity and is often a sign of financial distress.

ADM vs. EL: A comparison of their ROE against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

-4.23%

Household & Personal Products Industry

Max
34.47%
Q3
21.03%
Median
9.28%
Q1
3.66%
Min
-4.23%

EL has a negative Return on Invested Capital of -4.23%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.

ADM vs. EL: A comparison of their ROIC against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

-5.89%

Household & Personal Products Industry

Max
20.09%
Q3
12.77%
Median
8.06%
Q1
3.36%
Min
-6.60%

EL has a negative Net Profit Margin of -5.89%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

ADM vs. EL: A comparison of their Net Profit Margin against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

-4.25%

Household & Personal Products Industry

Max
33.32%
Q3
16.82%
Median
10.84%
Q1
5.76%
Min
-4.25%

EL has a negative Operating Profit Margin of -4.25%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.

ADM vs. EL: A comparison of their Operating Margin against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

Profitability at a Glance

SymbolADMEL
Return on Equity (TTM)6.18%-18.42%
Return on Assets (TTM)2.56%-4.38%
Return on Invested Capital (TTM)3.42%-4.23%
Net Profit Margin (TTM)1.63%-5.89%
Operating Profit Margin (TTM)1.92%-4.25%
Gross Profit Margin (TTM)6.32%73.85%

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.

EL

1.41

Household & Personal Products Industry

Max
3.05
Q3
1.96
Median
1.27
Q1
0.84
Min
0.71

EL’s Current Ratio of 1.41 aligns with the median group of the Household & Personal Products industry, indicating that its short-term liquidity is in line with its sector peers.

ADM vs. EL: A comparison of their Current Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

2.16

Household & Personal Products Industry

Max
2.16
Q3
1.78
Median
0.87
Q1
0.40
Min
0.05

EL’s leverage is in the upper quartile of the Household & Personal Products industry, with a Debt-to-Equity Ratio of 2.16. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

ADM vs. EL: A comparison of their D/E Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

-1.74

Household & Personal Products Industry

Max
21.84
Q3
12.04
Median
3.71
Q1
1.13
Min
-1.74

EL has a negative Interest Coverage Ratio of -1.74. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.

ADM vs. EL: A comparison of their Interest Coverage against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

Financial Strength at a Glance

SymbolADMEL
Current Ratio (TTM)1.381.41
Quick Ratio (TTM)0.811.02
Debt-to-Equity Ratio (TTM)0.562.16
Debt-to-Asset Ratio (TTM)0.230.47
Net Debt-to-EBITDA Ratio (TTM)3.2449.64
Interest Coverage Ratio (TTM)2.31-1.74

Growth

The following charts compare key year-over-year (YoY) growth metrics for ADM and EL. These metrics are based on the companies’ annual financial reports.

Revenue Growth

ADM vs. EL: A comparison of their annual year-over-year Revenue Growth.

Earnings Per Share (EPS) Growth

ADM vs. EL: A comparison of their annual year-over-year Earnings Per Share (EPS) Growth.

Free Cash Flow Growth

ADM vs. EL: A comparison of their annual year-over-year 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.

EL

1.93%

Household & Personal Products Industry

Max
5.15%
Q3
3.16%
Median
2.31%
Q1
0.00%
Min
0.00%

EL’s Dividend Yield of 1.93% is consistent with its peers in the Household & Personal Products industry, providing a dividend return that is standard for its sector.

ADM vs. EL: A comparison of their Dividend Yield against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

-83.70%

Household & Personal Products Industry

Max
147.82%
Q3
68.54%
Median
51.42%
Q1
0.00%
Min
0.00%

EL has a negative Dividend Payout Ratio of -83.70%. This typically means the company paid a dividend despite reporting a net loss, a situation that may signal financial instability.

ADM vs. EL: A comparison of their Payout Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

Dividend at a Glance

SymbolADMEL
Dividend Yield (TTM)3.65%1.93%
Dividend Payout Ratio (TTM)71.38%-83.70%

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.

EL

-36.70

Household & Personal Products Industry

Max
66.72
Q3
42.49
Median
24.63
Q1
20.39
Min
5.23

EL has a negative P/E Ratio of -36.70. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

ADM vs. EL: A comparison of their P/E Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

-1.26

Household & Personal Products Industry

Max
5.42
Q3
4.43
Median
2.84
Q1
1.79
Min
0.43

EL has a negative Forward PEG Ratio of -1.26. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

ADM vs. EL: A comparison of their Forward PEG Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

2.16

Household & Personal Products Industry

Max
5.97
Q3
4.00
Median
2.38
Q1
0.63
Min
0.24

EL’s P/S Ratio of 2.16 aligns with the market consensus for the Household & Personal Products industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

ADM vs. EL: A comparison of their P/S Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

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.

EL

7.36

Household & Personal Products Industry

Max
38.54
Q3
20.07
Median
6.47
Q1
0.97
Min
0.38

EL’s P/B Ratio of 7.36 is within the conventional range for the Household & Personal 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.

ADM vs. EL: A comparison of their P/B Ratio against their respective Agricultural Farm Products and Household & Personal Products industry benchmarks.

Valuation at a Glance

SymbolADMEL
Price-to-Earnings Ratio (P/E, TTM)19.56-36.70
Forward PEG Ratio (TTM)2.10-1.26
Price-to-Sales Ratio (P/S, TTM)0.322.16
Price-to-Book Ratio (P/B, TTM)1.217.36
Price-to-Free Cash Flow Ratio (P/FCF, TTM)118.6333.70
EV-to-EBITDA (TTM)10.68284.55
EV-to-Sales (TTM)0.452.62