UPDATE: Deutsche Bank Increases PT to $35 on Archer-Daniels-Midland; Frequent Dislocation Benefit
Deutsche Bank raises its price target from $31 to $35 on Hold-rated Archer-Daniels-Midland (NYSE: ADM) as it sees the company benefiting from frequent periods of dislocation in agribusiness.
Deutsche Bank comments, "ADM should continue to benefit from more frequent periods of dislocation in the agribusiness chain across a variety of crops, particularly as it builds out its global infrastructure over the long term. We expect trends to remain muted through the summer owing to overcapacity in oilseeds globally, poor ethanol margins, tight corn basis. However, with a large expected corn crop in the U.S., ADM's prospects can drastically change."
ADM closed at $33.02 on Tuesday.
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