Goldman Sachs Maintains Neutral, $30 PT on Archer Daniels

Goldman Sachs reiterates its Neutral rating and $30 price target on Archer Daniels Midland ADM as corn-processing improvement offsets soybean pressures for now. Goldman says, “Despite a large US soybean processing business, we see more balanced risk to ADM numbers as strength in corn refining should offset soybean pressures, at least short-term. We expect fundamentals to turn more challenging by mid-2012 as corn returns revert lower. Overall, we expect the current operating environment to depress returns and limit multiple expansion from low levels.” ADM closed at $28.34 per share on Monday.