ADM vs. SJM: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at ADM and SJM, 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 SJM’s 11.09 billion USD, indicating a significant difference in their market valuations.
ADM’s beta of 0.66 points to significantly higher volatility compared to SJM (beta: 0.33), suggesting ADM has greater potential for both gains and losses relative to market movements.
| Symbol | ADM | SJM |
|---|---|---|
| Company Name | Archer-Daniels-Midland Company | The J. M. Smucker Company |
| Country | US | US |
| Sector | Consumer Defensive | Consumer Defensive |
| Industry | Agricultural Farm Products | Packaged Foods |
| CEO | Juan Ricardo Luciano | Captain Mark T. Smucker |
| Price | 55.31 USD | 104.08 USD |
| Market Cap | 26.57 billion USD | 11.09 billion USD |
| Beta | 0.66 | 0.33 |
| Exchange | NYSE | NYSE |
| IPO Date | March 17, 1980 | October 31, 1994 |
| ADR | No | No |
Historical Performance
This chart compares the performance of ADM and SJM 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.
SJM
-17.34%
Packaged Foods Industry
- Max
- 31.57%
- Q3
- 16.24%
- Median
- 8.30%
- Q1
- 3.79%
- Min
- -9.32%
SJM has a negative Return on Equity of -17.34%. 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.
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.
SJM
-5.09%
Packaged Foods Industry
- Max
- 18.26%
- Q3
- 11.05%
- Median
- 6.28%
- Q1
- 4.78%
- Min
- -3.45%
SJM has a negative Return on Invested Capital of -5.09%. This indicates that its operations are failing to generate a profit on the total capital invested, signaling significant inefficiency or value destruction.
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.
SJM
-14.10%
Packaged Foods Industry
- Max
- 12.82%
- Q3
- 6.72%
- Median
- 4.53%
- Q1
- 2.61%
- Min
- -2.02%
SJM has a negative Net Profit Margin of -14.10%, indicating the company is operating at a net loss as its expenses exceeded its revenues.
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.
SJM
-7.72%
Packaged Foods Industry
- Max
- 19.80%
- Q3
- 10.83%
- Median
- 6.62%
- Q1
- 4.39%
- Min
- 1.79%
SJM has a negative Operating Profit Margin of -7.72%. This signifies the company is unprofitable at the operational level, as its core business expenses exceed its revenue.
Profitability at a Glance
| Symbol | ADM | SJM |
|---|---|---|
| Return on Equity (TTM) | 6.18% | -17.34% |
| Return on Assets (TTM) | 2.56% | -7.01% |
| Return on Invested Capital (TTM) | 3.42% | -5.09% |
| Net Profit Margin (TTM) | 1.63% | -14.10% |
| Operating Profit Margin (TTM) | 1.92% | -7.72% |
| Gross Profit Margin (TTM) | 6.32% | 38.79% |
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.
SJM
0.81
Packaged Foods Industry
- Max
- 4.91
- Q3
- 2.66
- Median
- 1.35
- Q1
- 1.02
- Min
- 0.45
SJM’s Current Ratio of 0.81 falls into the lower quartile for the Packaged Foods 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.
SJM
0.11
Packaged Foods Industry
- Max
- 2.61
- Q3
- 1.56
- Median
- 0.82
- Q1
- 0.36
- Min
- 0.00
Falling into the lower quartile for the Packaged Foods industry, SJM’s Debt-to-Equity Ratio of 0.11 points to a conservative financing strategy. This results in lower financial risk but potentially limits strategic investments compared to more leveraged competitors.
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.
SJM
-3.36
Packaged Foods Industry
- Max
- 12.62
- Q3
- 8.96
- Median
- 3.16
- Q1
- 1.69
- Min
- -3.36
SJM has a negative Interest Coverage Ratio of -3.36. This indicates that its earnings were insufficient to cover even its operational costs, let alone its interest payments, signaling significant financial distress.
Financial Strength at a Glance
| Symbol | ADM | SJM |
|---|---|---|
| Current Ratio (TTM) | 1.38 | 0.81 |
| Quick Ratio (TTM) | 0.81 | 0.35 |
| Debt-to-Equity Ratio (TTM) | 0.56 | 0.11 |
| Debt-to-Asset Ratio (TTM) | 0.23 | 0.04 |
| Net Debt-to-EBITDA Ratio (TTM) | 3.24 | -3.67 |
| Interest Coverage Ratio (TTM) | 2.31 | -3.36 |
Growth
The following charts compare key year-over-year (YoY) growth metrics for ADM and SJM. 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.
SJM
4.15%
Packaged Foods Industry
- Max
- 17.31%
- Q3
- 4.06%
- Median
- 2.28%
- Q1
- 0.00%
- Min
- 0.00%
With a Dividend Yield of 4.15%, SJM offers a more attractive income stream than most of its peers in the Packaged Foods industry, signaling a strong commitment to shareholder returns.
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.
SJM
-37.00%
Packaged Foods Industry
- Max
- 203.43%
- Q3
- 70.94%
- Median
- 16.83%
- Q1
- 0.00%
- Min
- 0.00%
SJM has a negative Dividend Payout Ratio of -37.00%. This typically means the company paid a dividend despite reporting a net loss, a situation that may signal financial instability.
Dividend at a Glance
| Symbol | ADM | SJM |
|---|---|---|
| Dividend Yield (TTM) | 3.65% | 4.15% |
| Dividend Payout Ratio (TTM) | 71.38% | -37.00% |
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.
SJM
-9.00
Packaged Foods Industry
- Max
- 38.86
- Q3
- 28.67
- Median
- 20.65
- Q1
- 13.95
- Min
- 3.16
SJM has a negative P/E Ratio of -9.00. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.
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.
SJM
-2.01
Packaged Foods Industry
- Max
- 9.46
- Q3
- 4.68
- Median
- 1.99
- Q1
- 1.27
- Min
- 0.07
SJM has a negative Forward PEG Ratio of -2.01. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.
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.
SJM
1.27
Packaged Foods Industry
- Max
- 2.51
- Q3
- 1.41
- Median
- 0.90
- Q1
- 0.65
- Min
- 0.18
SJM’s P/S Ratio of 1.27 aligns with the market consensus for the Packaged Foods 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.
SJM
1.82
Packaged Foods Industry
- Max
- 4.92
- Q3
- 3.32
- Median
- 2.11
- Q1
- 1.47
- Min
- 0.62
SJM’s P/B Ratio of 1.82 is within the conventional range for the Packaged Foods 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 | SJM |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 19.56 | -9.00 |
| Forward PEG Ratio (TTM) | 2.10 | -2.01 |
| Price-to-Sales Ratio (P/S, TTM) | 0.32 | 1.27 |
| Price-to-Book Ratio (P/B, TTM) | 1.21 | 1.82 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 118.63 | 13.58 |
| EV-to-EBITDA (TTM) | 10.68 | -74.91 |
| EV-to-Sales (TTM) | 0.45 | 1.34 |