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

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Here’s a clear look at ADM and STZ, 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 STZ’s is 30.48 billion USD, indicating their market valuations are broadly comparable.

With betas of 0.66 for ADM and 0.70 for STZ, both stocks show similar sensitivity to overall market movements.

SymbolADMSTZ
Company NameArcher-Daniels-Midland CompanyConstellation Brands, Inc.
CountryUSUS
SectorConsumer DefensiveConsumer Defensive
IndustryAgricultural Farm ProductsBeverages - Wineries & Distilleries
CEOJuan Ricardo LucianoWilliam A. Newlands
Price55.31 USD172.32 USD
Market Cap26.57 billion USD30.48 billion USD
Beta0.660.70
ExchangeNYSENYSE
IPO DateMarch 17, 1980March 17, 1992
ADRNoNo

Historical Performance

This chart compares the performance of ADM and STZ 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. STZ: 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.

STZ

-0.99%

Beverages - Wineries & Distilleries Industry

Max
35.39%
Q3
26.24%
Median
12.22%
Q1
0.68%
Min
-0.99%

STZ has a negative Return on Equity of -0.99%. 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. STZ: A comparison of their ROE against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

0.64%

Beverages - Wineries & Distilleries Industry

Max
12.16%
Q3
11.54%
Median
6.24%
Q1
1.03%
Min
0.64%

STZ’s Return on Invested Capital of 0.64% is in the lower quartile for the Beverages - Wineries & Distilleries industry. This indicates a less efficient conversion of invested capital into profit compared to most of its competitors.

ADM vs. STZ: A comparison of their ROIC against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

-0.80%

Beverages - Wineries & Distilleries Industry

Max
21.86%
Q3
18.81%
Median
9.72%
Q1
1.03%
Min
-0.80%

STZ has a negative Net Profit Margin of -0.80%, indicating the company is operating at a net loss as its expenses exceeded its revenues.

ADM vs. STZ: A comparison of their Net Profit Margin against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

3.33%

Beverages - Wineries & Distilleries Industry

Max
28.89%
Q3
28.11%
Median
17.76%
Q1
6.58%
Min
3.33%

STZ’s Operating Profit Margin of 3.33% is in the lower quartile for the Beverages - Wineries & Distilleries industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

ADM vs. STZ: A comparison of their Operating Margin against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries industry benchmarks.

Profitability at a Glance

SymbolADMSTZ
Return on Equity (TTM)6.18%-0.99%
Return on Assets (TTM)2.56%-0.38%
Return on Invested Capital (TTM)3.42%0.64%
Net Profit Margin (TTM)1.63%-0.80%
Operating Profit Margin (TTM)1.92%3.33%
Gross Profit Margin (TTM)6.32%51.90%

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.

STZ

0.92

Beverages - Wineries & Distilleries Industry

Max
3.88
Q3
3.10
Median
2.22
Q1
1.43
Min
0.92

STZ’s Current Ratio of 0.92 falls into the lower quartile for the Beverages - Wineries & Distilleries industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

ADM vs. STZ: A comparison of their Current Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

1.76

Beverages - Wineries & Distilleries Industry

Max
2.11
Q3
1.85
Median
1.22
Q1
0.61
Min
0.37

STZ’s Debt-to-Equity Ratio of 1.76 is typical for the Beverages - Wineries & Distilleries industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

ADM vs. STZ: A comparison of their D/E Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

0.83

Beverages - Wineries & Distilleries Industry

Max
9.07
Q3
8.13
Median
7.62
Q1
5.77
Min
2.23

STZ’s Interest Coverage Ratio of 0.83 is a critical concern. A value below 1.0 means operating earnings are insufficient to cover interest expenses, indicating severe financial strain and high default risk.

ADM vs. STZ: A comparison of their Interest Coverage against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries industry benchmarks.

Financial Strength at a Glance

SymbolADMSTZ
Current Ratio (TTM)1.380.92
Quick Ratio (TTM)0.810.56
Debt-to-Equity Ratio (TTM)0.561.76
Debt-to-Asset Ratio (TTM)0.230.56
Net Debt-to-EBITDA Ratio (TTM)3.2415.55
Interest Coverage Ratio (TTM)2.310.83

Growth

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

Revenue Growth

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

Earnings Per Share (EPS) Growth

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

Free Cash Flow Growth

ADM vs. STZ: 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.

STZ

2.35%

Beverages - Wineries & Distilleries Industry

Max
4.29%
Q3
3.62%
Median
2.95%
Q1
2.29%
Min
1.61%

STZ’s Dividend Yield of 2.35% is consistent with its peers in the Beverages - Wineries & Distilleries industry, providing a dividend return that is standard for its sector.

ADM vs. STZ: A comparison of their Dividend Yield against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

-899.02%

Beverages - Wineries & Distilleries Industry

Max
98.04%
Q3
89.24%
Median
80.45%
Q1
64.39%
Min
48.33%

STZ has a negative Dividend Payout Ratio of -899.02%. This typically means the company paid a dividend despite reporting a net loss, a situation that may signal financial instability.

ADM vs. STZ: A comparison of their Payout Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries industry benchmarks.

Dividend at a Glance

SymbolADMSTZ
Dividend Yield (TTM)3.65%2.35%
Dividend Payout Ratio (TTM)71.38%-899.02%

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.

STZ

-380.87

Beverages - Wineries & Distilleries Industry

Max
283.34
Q3
171.27
Median
59.20
Q1
36.80
Min
14.39

STZ has a negative P/E Ratio of -380.87. This occurs when a company has negative earnings (a net loss), making the ratio unsuitable for valuation analysis.

ADM vs. STZ: A comparison of their P/E Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

-38.22

Beverages - Wineries & Distilleries Industry

Max
43.98
Q3
24.22
Median
4.45
Q1
3.21
Min
1.97

STZ has a negative Forward PEG Ratio of -38.22. This typically results from negative earnings or forecasts of declining future earnings, making the ratio not meaningful for valuation.

ADM vs. STZ: A comparison of their Forward PEG Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

2.99

Beverages - Wineries & Distilleries Industry

Max
3.18
Q3
2.89
Median
2.41
Q1
1.76
Min
0.97

STZ’s P/S Ratio of 2.99 is in the upper echelon for the Beverages - Wineries & Distilleries industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

ADM vs. STZ: A comparison of their P/S Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries 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.

STZ

4.50

Beverages - Wineries & Distilleries Industry

Max
66.00
Q3
27.93
Median
3.67
Q1
2.54
Min
0.77

STZ’s P/B Ratio of 4.50 is within the conventional range for the Beverages - Wineries & Distilleries 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. STZ: A comparison of their P/B Ratio against their respective Agricultural Farm Products and Beverages - Wineries & Distilleries industry benchmarks.

Valuation at a Glance

SymbolADMSTZ
Price-to-Earnings Ratio (P/E, TTM)19.56-380.87
Forward PEG Ratio (TTM)2.10-38.22
Price-to-Sales Ratio (P/S, TTM)0.322.99
Price-to-Book Ratio (P/B, TTM)1.214.50
Price-to-Free Cash Flow Ratio (P/FCF, TTM)118.6315.73
EV-to-EBITDA (TTM)10.6854.92
EV-to-Sales (TTM)0.454.17