Archer Daniels price target lowered to $48 from $54 at BofA

BofA lowered the firm’s price target on Archer Daniels (ADM) to $48 from $54 and keeps an Underperform rating on the shares. Nutrition continues to underperform expectations, while even if the current 45Z guidance is finalized, supporting the biofuels market, the new credit should cut well over $100M per year in biodiesel profits versus pre-2024 levels, the analyst tells investors. In addition, the firm believes that last year’s discovery of accounting irregularities, despite not having an impact on consolidated earnings, will continue to weigh on Archer’s multiple.