Archer-Daniels-Midland Company — Earnings Quality Grade F
ADM · Consumer Defensive
Major red flags
Screening Summary
Financial Trends
Revenue & Net Income ($B)
Margins (%)
18-Point Screening
Revenue Quality
DSO 16 days, change -3 days YoY
AR growth -21.5% vs revenue growth -6.2%
Revenue -6.2%, CFFO 95.4%. Cash follows revenue
Expense Quality
Inventory -10.4% vs COGS -5.7%. Normal
CapEx growth -20.2% vs revenue -6.2%. Normal
SG&A/Gross Profit = 71.7%, exceeds 70%
Gross margin 6.3%, change -0.5pp. Stable
Cash Flow Quality
CFFO/NI = 5.06. Profits backed by cash
FCF $4.2B, FCF/NI = 3.90
Accruals ratio = -8.3%. Low accruals
Cash $1.0B covers only 11% of debt $9.8B
Balance Sheet Health
Goodwill+Intangibles $6.7B = 30% of equity. Manageable
Debt/EBITDA = 3.2x. Healthy
Other assets -30.1% vs revenue -6.2%. Normal
No write-off data
Acquisition Risk
FCF after acquisitions positive
Goodwill+Intangibles change -0% YoY. Normal
Manipulation Score
M-Score = -3.03 (< -2.22). Unlikely manipulator
Beneish M-Score
Altman Z-Score
Generated from public financial data using forensic accounting frameworks. Not investment advice. Data: Yahoo Finance · 2026-04-10