GURUFOCUS.COM » STOCK LIST » Consumer Defensive » Consumer Packaged Goods » Archer-Daniels Midland Co (NYSE:ADM) » Definitions » Cyclically Adjusted PB Ratio

Archer-Daniels Midland Co (Archer-Daniels Midland Co) Cyclically Adjusted PB Ratio : 1.45 (As of Apr. 27, 2024)


View and export this data going back to 1945. Start your Free Trial

What is Archer-Daniels Midland Co Cyclically Adjusted PB Ratio?

As of today (2024-04-27), Archer-Daniels Midland Co's current share price is $60.10. Archer-Daniels Midland Co's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 was $41.57. Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio for today is 1.45.

The historical rank and industry rank for Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio or its related term are showing as below:

ADM' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 0.95   Med: 1.65   Max: 2.57
Current: 1.47

During the past years, Archer-Daniels Midland Co's highest Cyclically Adjusted PB Ratio was 2.57. The lowest was 0.95. And the median was 1.65.

ADM's Cyclically Adjusted PB Ratio is ranked worse than
55.33% of 1229 companies
in the Consumer Packaged Goods industry
Industry Median: 1.32 vs ADM: 1.47

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Archer-Daniels Midland Co's adjusted book value per share data for the three months ended in Dec. 2023 was $47.041. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is $41.57 for the trailing ten years ended in Dec. 2023.

Shiller PE for Stocks: The True Measure of Stock Valuation


Archer-Daniels Midland Co Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Archer-Daniels Midland Co Cyclically Adjusted PB Ratio Chart

Archer-Daniels Midland Co Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 1.44 1.51 1.86 2.35 1.74

Archer-Daniels Midland Co Quarterly Data
Mar19 Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2.35 1.98 1.84 1.82 1.74

Competitive Comparison of Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio

For the Farm Products subindustry, Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio Distribution in the Consumer Packaged Goods Industry

For the Consumer Packaged Goods industry and Consumer Defensive sector, Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio falls into.



Archer-Daniels Midland Co Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=60.10/41.57
=1.45

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Archer-Daniels Midland Co's Cyclically Adjusted Book per Share for the quarter that ended in Dec. 2023 is calculated as:

For example, Archer-Daniels Midland Co's adjusted Book Value per Share data for the three months ended in Dec. 2023 was:

Adj_Book=Book Value per Share/CPI of Dec. 2023 (Change)*Current CPI (Dec. 2023)
=47.041/129.4194*129.4194
=47.041

Current CPI (Dec. 2023) = 129.4194.

Archer-Daniels Midland Co Quarterly Data

Book Value per Share CPI Adj_Book
201403 30.569 99.695 39.683
201406 31.148 100.560 40.087
201409 31.310 100.428 40.349
201412 30.730 99.070 40.144
201503 29.958 99.621 38.919
201506 30.453 100.684 39.144
201509 29.722 100.392 38.316
201512 30.082 99.792 39.013
201603 30.492 100.470 39.278
201606 30.283 101.688 38.541
201609 30.343 101.861 38.552
201612 29.970 101.863 38.078
201703 30.090 102.862 37.859
201706 30.925 103.349 38.726
201709 31.431 104.136 39.062
201712 32.878 104.011 40.910
201803 33.510 105.290 41.190
201806 33.470 106.317 40.743
201809 33.905 106.507 41.199
201812 33.955 105.998 41.458
201903 33.741 107.251 40.715
201906 33.970 108.070 40.681
201909 33.902 108.329 40.502
201912 34.485 108.420 41.164
202003 34.148 108.902 40.582
202006 34.700 108.767 41.289
202009 34.752 109.815 40.956
202012 35.971 109.897 42.361
202103 37.283 111.754 43.176
202106 38.608 114.631 43.589
202109 39.301 115.734 43.948
202112 40.138 117.630 44.161
202203 42.135 121.301 44.955
202206 43.515 125.017 45.047
202209 43.710 125.227 45.174
202212 44.395 125.222 45.883
202303 45.615 127.348 46.357
202306 46.528 128.729 46.778
202309 47.155 129.860 46.995
202312 47.041 129.419 47.041

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Archer-Daniels Midland Co  (NYSE:ADM) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Archer-Daniels Midland Co Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Archer-Daniels Midland Co's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Archer-Daniels Midland Co (Archer-Daniels Midland Co) Business Description

Address
77 West Wacker Drive, Suite 4600, Chicago, IL, USA, 60601
Archer-Daniels Midland is a major processor of oilseeds, corn, wheat, and other agricultural commodities. The company is also one of the largest grain merchandisers through its extensive network of logistical assets to store and transport crops around the globe. ADM also runs a nutrition business that focuses on both human and animal ingredients and is a large producer of corn-based sweeteners, starches, and ethanol.
Executives
Regina Jones officer: Senior Vice President 7102 COMMERCE WAY, BRENTWOOD TN 37027
Strader Fruit Molly L officer: Vice Pres., Corp. Controller 77 WEST WACKER DRIVE, SUITE 4600, CHICAGO IL 60601
Brabander Ellen De director 2500 INNOVATION WAY, GREENFIELD IN 46140
D Cameron Findlay officer: Senior Vice President 77 W. WACKER DR., SUITE 2600, CHICAGO IL 60601
Juan R Luciano officer: Executive V.P. & COO 77 W. WACKER DR., SUITE 4600, CHICAGO IL 60601
Francisco J Sanchez director 77 W. WACKER DR., SUITE 4600, CHICAGO IL 60601
Gregory A Morris officer: Senior Vice President 77 W. WACKER DR., SUITE 4600, CHICAGO IL 60601
Collins James C. Jr. director 1007 MARKET STREET, D-9058, WILMINGTON DE 19898
Vikram Luthar officer: Vice President & Treasurer ARCHER-DANIELS-MIDLAND COMPANY, 77 WEST WACKER DRIVE, SUITE 4600, CHICAGO IL 60601
Christopher M Cuddy officer: President-Corn 77 W. WACKER DR., SUITE 4600, CHICAGO IL 60601
Vincent F Macciocchi officer: Senior Vice President 77 W. WACKER DR., SUITE 4600, CHICAGO IL 60601
Ray G Young officer: Sr. Vice President 77 WEST WACKER DR., SUITE 4600, CHICAGO IL 60601
Theodore Iii Colbert director C/O THE BOEING COMPANY, 100 RIVERSIDE PLAZA, CHICAGO IL 60606-1596
Jennifer L Weber officer: Senior Vice President 1000 LOWES BOULEVARD, MOORESVILLE NC 28117
Joseph D. Taets officer: Vice President 77 W. WACKER DR., SUITE 4600, CHICAGO IL 60601