NEW YORK (TheStreet) -- Shares of Archer Daniels Midland (ADM - Get Report) are falling 1.82% to $44.26 this afternoon ahead of the company's 2016 second quarter earnings report due out before Tuesday's opening bell.
Analysts surveyed by Thomson Reuters are looking for the Decatur, IL-based seed processor to report earnings of 45 cents per share on revenue of $16.97 billion. For the 2015 second quarter, Archer Daniels Midland reported earnings of 60 cents on revenue of $17.19 billion.
BB&T Capital Markets wrote in a recent note that the grain business has struggled lately due to worldwide bumper grain crops that have increased supply at the same time that corn demand growth has eased due to economic troubles in China.
Bad weather in South America and Southeast Asia have hurt crops there this year, but North American crops are faring better.
Corn prices rose 21% from March to June, but recently have been sliding by as much as 27% by mid-July, Investors.com reports.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rated this stock as a "buy" with a ratings score of B.
The company's strengths can be seen in multiple areas, such as its reasonable valuation levels and largely solid financial position with reasonable debt levels by most measures. TheStreet Ratings feels its strengths outweigh the fact that the company has had somewhat weak growth in earnings per share.
You can view the full analysis from the report here: ADM