Archer-Daniels Midland's stock experienced a significant pre-market plunge of 5.14% following the release of its fourth-quarter financial results and 2026 guidance.
The agricultural commodities processor reported quarterly revenue of $18.56 billion, missing analyst expectations of $21.12 billion. While adjusted earnings per share of $0.87 beat estimates of $0.80, investors focused on the company's downbeat profit forecast for 2026.
ADM expects adjusted earnings per share in the range of $3.60 to $4.25 for 2026, with the midpoint below analysts' average estimate of approximately $4.22 to $4.24. The company attributed this cautious outlook to the continued deferral of U.S. biofuel policy, flat crush margins, and trade uncertainty. The biofuel policy delay has particularly impacted the company's agricultural services and oilseed segment, where operating profit fell 31% in the fourth quarter.