Food processing giant Archer Daniels Midland (ADM) is temporarily shutting down a soybean processing plant.
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ADM has one soybean crushing facility in Iowa. And it is planning to shut that facility down for several weeks, while Iowa soybean farmers are in the midst of harvesting their crop, which is reportedly a record this year.
The plant is being closed for “essential maintenance” for six weeks, said Archer Daniels Midland. The company adds that it will “…meet customer needs throughout this timeframe utilizing our vast transportation, origination, and processing network.”
Carbon Capture Problems
Separately, ADM has stopped all carbon dioxide injections at a carbon capture plant in Decatur, Illinois after discovering that a leak had developed there. The facility had already been shutdown once over a leak, but now, a new leak emerged as the facility reported “brine movement to different underground layers 5,000 feet deep.”
As a result, ADM shutdown carbon injections for the next two weeks, while also filing a plan with the Environmental Protection Agency (EPA) for “further diagnostic testing” during that same period.
Is Archer Daniels Midland Stock a Good Buy?
Turning to Wall Street, analysts have a Hold consensus rating on ADM stock based on seven Holds and one Sell assigned in the past three months, as indicated by the graphic below. After a 16.37% loss in its share price over the past year, the average ADM price target of $63.14 per share implies 6.62% upside potential.
