Archer Daniels Midland Company ADM is slated to report first-quarter 2026 results on May 5, before market open. The company is likely to report a bottom-line decline when it posts the quarterly results.
The Zacks Consensus Estimate for the company’s earnings is pegged at 66 cents per share, which indicates a decline of 5.7% from the year-ago quarter’s reported figure. The consensus mark has moved down by a penny in the past seven days. For revenues, the consensus mark is pegged at $21.1 billion, implying 4.6% growth from the year-ago quarter’s reported figure.
In the last reported quarter, the company delivered an earnings surprise of 5.1%.It has a trailing four-quarter average negative earnings surprise of 3.8%.
Archer Daniels Midland Company Price, Consensus and EPS Surprise
Archer Daniels Midland Company price-consensus-eps-surprise-chart | Archer Daniels Midland Company Quote
Key Points to Note Ahead of ADM’s Q1 Results
ADM’s first-quarter 2026 results are expected to reflect continued pressure in the Ag Services & Oilseeds segment, primarily due to softer global crush margins and a less favorable merchandising environment. Management noted that lower volatility and subdued soybean meal demand have weighed on processing margins, while changing global trade flows have limited earnings leverage. Although destination marketing and execution remain supportive, ongoing weakness in crushing economics is likely to remain a key headwind in the first quarter of 2026.
Stabilization efforts within the Nutrition segment are likely to remain in focus during the quarter. The segment has been showing gradual improvement, supported by steady demand in Flavors and other specialty solutions. The return of the Decatur East facility to normal operations is expected to support improved utilization levels in Specialty Ingredients, while ongoing portfolio optimization and efficiency initiatives may aid margin recovery across higher-value product lines.
ADM’s cost-control and network-simplification initiatives are also expected to support performance in the first quarter. Management continues to focus on streamlining operations, optimizing its asset base and improving productivity across manufacturing and supply chain activities. These actions are likely to provide incremental margin support and help offset cyclical pressures in commodity-driven businesses.
Investments in innovation and growth-oriented platforms remain another key factor to watch. ADM continues to expand its presence in value-added categories such as health and wellness ingredients, specialty solutions and biosolutions. These investments, along with advancements in digital capabilities and customer-focused innovation, are expected to gradually strengthen the company’s long-term earnings profile and diversify revenue streams.
Macroeconomic and geopolitical uncertainty is likely to remain a significant external factor affecting ADM’s first-quarter results. Ongoing trade volatility, shifting global demand patterns and uncertain farmer selling behavior could influence commodity flows and pricing dynamics. These factors may continue to create earnings variability and limit near-term visibility, making disciplined execution critical to sustaining performance.
The Zacks Consensus Estimate for the Ag Services and Oilseeds segment’s revenues is pegged at $16.6 billion, suggesting 5.5% year-over-year growth. The consensus mark for the Carbohydrate Solutions segment is $2.54 billion, indicating a year-over-year decline of 1.2%.
What the Zacks Model Unveils for ADM
Our proven model conclusively predicts an earnings beat for Archer Daniels this time around. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is exactly the case here.
Archer Daniels currently has an Earnings ESP of +5.08% and a Zacks Rank #2. You can uncover the best stocks before they are reported with our Earnings ESP Filter.
Valuation Picture
The company has a forward 12-month price-to-earnings ratio of 16.07X, which is below the five-year high of 18.93X and above the Agriculture - Operations industry’s average of 15.48X.
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The recent market movements show that ADM shares have risen 10.5% in the past three months compared with the industry's 5.6% gain.
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Other Stocks With the Favorable Combination
Here are some other companies that, according to our model, have the right combination of elements to beat on earnings this reporting cycle.
Altria Group, Inc. MO currently has an Earnings ESP of +0.52% and a Zacks Rank of 3. You can see the complete list of today’s Zacks #1 Rank stocks here.
The Zacks Consensus Estimate for Altria’s upcoming quarter’s earnings per share is pegged at $1.24, implying a 0.8% increase from the year-ago period. The consensus mark for Altria’s quarterly revenues is pegged at $4.56 billion, which indicates an increase of 0.9% from the prior-year quarter. MO delivered a trailing four-quarter earnings surprise of 2.5%, on average.
The Hershey Company HSY currently has an Earnings ESP of +1.12% and a Zacks Rank of 3. The Zacks Consensus Estimate for Hershey’s upcoming quarter’s EPS is pegged at $2.05, which implies a 1.9% decrease year over year.
The consensus estimate for Hershey’s quarterly revenues is pinned at $3.02 billion, which calls for 7.9% growth from the figure reported in the prior-year quarter. HSY delivered a trailing four-quarter earnings surprise of nearly 17.2%, on average.
Celsius Holdings, Inc. CELH currently has an Earnings ESP of +3.81% and a Zacks Rank of 3. The Zacks Consensus Estimate for Celsius Holdings’ upcoming quarter’s EPS is pegged at 29 cents, which implies a 61.1% increase year over year.
The consensus estimate for Celsius Holdings’ quarterly revenues is pegged at $755.2 million, which indicates a surge of 129.4% from the figure reported in the prior-year quarter. CELH delivered a trailing four-quarter earnings surprise of roughly 45.3%, on average.
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Hershey Company (The) (HSY): Free Stock Analysis Report
Altria Group, Inc. (MO): Free Stock Analysis Report
Archer Daniels Midland Company (ADM): Free Stock Analysis Report
Celsius Holdings Inc. (CELH): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).