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Compare Stocks › ADM vs BRK-B

Archer-Daniels-Midland Company (ADM) vs Berkshire Hathaway Inc. (BRK-B)

ADM
Archer-Daniels-Midland Company
$74.94
VS
BRK-B
Berkshire Hathaway Inc.
$473.01

Rewards

ADM
  • ★Free cash flow has grown at a 24.9% CAGR over the past 4 years, demonstrating strong earnings power growth.
  • ★Share count has been reduced by 12% over the past 4 years through buybacks, increasing each share's claim on earnings.
  • ★FCF yield of 11.6% is historically attractive — the business generates significant cash relative to its price.
BRK-B
  • ★Each dollar of retained earnings has created $3.95 of earning power — management is an exceptional capital allocator.
  • ★PEG ratio of 0.13 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
  • ★Net debt/EBITDA of -2.3x means the company holds more cash than debt — a net cash position.

Risks

ADM
  • ⚠ROIC has declined by 6.2 percentage points over the observed period, which may signal competitive erosion.
  • ⚠Gross margin of 6.3% is low, suggesting a competitive or commodity-like market with limited pricing power.
  • ⚠Trailing P/E of 33.6x is 117% above the historical average of 15.5x — the stock trades at a premium to its own history.
BRK-B
  • ⚠FCF yield of 6.0% suggests reasonable valuation assuming continued moderate growth.
  • ⚠Trailing P/E of 15.2x is 72% above the historical average of 8.9x — the stock trades at a premium to its own history.

Key Valuation Metrics

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ADM
BRK-B
Valuation
$4.20B
Free Cash Flow
$61.23B
11.64%
FCF Yield
6.00%
33.61
Trailing P/E
15.24
15.41
Forward P/E
21.95
Quality & Moat
3.52%
ROIC
4.96%
4.68%
ROE
9.18%
6.27%
Gross Margin
27.78%
0.97
PEG Ratio
0.13
Balance Sheet Safety
0.42
Debt / Equity
0.18
N/A
Interest Coverage
N/A
3.46
Net Debt / EBITDA
-2.28
2.78%
Dividend Yield
N/A
ADM: 2Ties: 1BRK-B: 8
ADMBRK-B

Historical Fundamentals

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ADM

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

BRK-B

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.

$1 Retained Earnings Test

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ADM
$-6.80
created per $1 retained over 3 years
Market Cap Declined
Σ Retained
$3.41B
Δ Market Cap
$-23.19B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
BRK-B
$1.66
created per $1 retained over 3 years
Value Creator
Σ Retained
$252.19B
Δ Market Cap
+$417.89B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer

Discounted Cash Flow (DCF) Analysis

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ADM
35.1% Overvalued
Price is 35.1% above estimated fair value
Current Price: $74.94
Fair Value: $55.46
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
BRK-B
31.0% Margin of Safety
Price is 31.0% below estimated fair value
Current Price: $473.01
Fair Value: $685.41
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued

Reverse DCF — Market-Implied Growth

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ADM

What growth rate is the market pricing in at $75?

+17.7%
Market-Implied Owner Earnings Growth
Standard FCF implies -0.9%

The market implies +17.7% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding -0.9%, reflecting heavy growth investment.

BRK-B

What growth rate is the market pricing in at $473?

-0.3%
Market-Implied Owner Earnings Growth
Standard FCF implies +1.0%

The market implies -0.3% Owner Earnings growth, above historical trends.

Standard FCF implies a demanding +1.0%, reflecting heavy growth investment.

Economic Moat Score

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ADM
44/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with revenue predictability as the key competitive advantage. Improving roic consistency would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
BRK-B
40/100
Narrow Moat
70+ Wide · 40-69 Narrow · <40 None

Narrow moat with reinvestment efficiency as the key competitive advantage. Improving revenue predictability would strengthen the moat.

Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 5 years of fundamental data.

Forensic Accounting

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ADM
-2.99
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
BRK-B
-2.41
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone

M-Score Trend

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.

Ownership Breakdown

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ADM
Insiders 0.7%Institutions 81.6%Retail & Other 17.7%
No. of Institutional Holders1,427
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
BRK-B
Insiders 0.3%Institutions 66.2%Retail & Other 33.6%
No. of Institutional Holders5,818
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.

High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.

Insider Buying Activity

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ADM
1
Buys (3M)
1
Buys (12M)
Total value (12M): $486,720
MCATEE DAVID R. II
Director
$486,720
@ $64.90 · 2026-02-05
Open market purchases · includes direct & indirect ownership · excludes option exercises
BRK-B
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises

Open market purchases · includes direct & indirect ownership · excludes option exercises.

Insider Selling Activity

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ADM
4
Sells (3M)
4
Sells (12M)
Total value (12M): $10.11M
CUDDY CHRISTOPHER M
Officer
$2.57M
@ $73.50 · 2026-03-13
PINNER IAN R
Officer
$2.44M
@ $71.53 · 2026-03-13
MORRIS GREGORY A
Officer
$3.42M
@ $68.48 · 2026-03-10
WEBER JENNIFER L
Officer
$1.68M
@ $67.04 · 2026-02-17
LUCIANO JUAN R
Chief Executive Officer
$10.30M
@ $60.51 · 2024-09-03
LUCIANO JUAN R
Chief Executive Officer
$2.77M
@ $61.00 · 2024-08-30
LUCIANO JUAN R
Chief Executive Officer
$6.09M
@ $61.05 · 2024-08-29
LUCIANO JUAN R
Chief Executive Officer
$224,673
@ $61.00 · 2024-08-28
LUCIANO JUAN R
Chief Executive Officer
$349,011
@ $61.01 · 2024-08-26
STRADER FRUIT MOLLY L
Officer
$419,280
@ $60.73 · 2024-05-22
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
BRK-B
0
Sells (3M)
0
Sells (12M)
No open market insider sales found.
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives

Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.

🎭 Mr. Market's Mood

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ADM
FearGreed
😏Greed(68/100)

"Market is optimistic — be cautious and ensure you have a margin of safety"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
BRK-B
FearGreed
😐Neutral(52/100)

"Market is pricing this stock without strong emotion in either direction"

Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.

⚖️ Buffett Signal

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ADM
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Greed (68)
BRK-B
⚪Awaiting DCF Data

The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.

DCF Margin of Safety: N/AMr. Market's Mood: Neutral (52)
View ADM Full AnalysisView BRK-B Full Analysis
ADM vs BRK-B: Which Is the Better Buy? | SafetyMargin.io