Commodities Industry Stocks($ADM, $ICE, $CME...) Shine with a Stellar 22.6% Weekly Gain
In a recent turn of events, the commodities sector has demonstrated a robust performance with stocks averaging a gain of 22.6% over the last week. This figure not only represents a significant weekly uptick but also aligns with the positive monthly and quarterly growth trends observed within the industry.
đTickers in Industry - $ADM, $ICE, $CME, $GPRE, $PATI
Defining the Commodities Theme
Within the stock market, the 'commodities' category encompasses a range of companies that either handle the financial aspects of commodity trading or deal directly with the physical commodities themselves. The theme brings together a diverse group of tickers, each contributing to the fabric of the commodities trading landscape.
Industry Titans and Market Dynamics
In this vibrant sector, two of the most eminent companies include CME Group (NASDAQ:CME), known for its robust trading infrastructure for futures and commodities, and Archer Daniels Midland Company (NYSE:ADM), a key player in the processing and sales of a vast array of agricultural products. The average market capitalization of this theme stands at an impressive $35.5B, highlighting the substantial financial heft that these companies carry within the market.
Highs and Lows in Trading
Despite the general upward trend, the individual stock performances have varied. PATI took the lead with a striking price growth of 103.64%, while CME Group experienced a slight dip of -0.2%. Noteworthy movements also include Green Plains (GPRE), which saw a significant weekly rise, suggesting a potential uptrend in its trajectory.
Volume Growth - A Sign of Market Enthusiasm
Trading volumes provide insight into the market's interest and the liquidity of stocks. For the commodities sector, the average weekly volume growth stood at 14.61%. This uptick in volume is further underscored by the monthly and quarterly volume growth rates, which show even more pronounced increases. A remarkable instance was Archer Daniels Midland's stock volume surge, which shattered records by achieving a 253% growth against the 65-Day Volume Moving Average on a single day.
The Commodities Cohort: A Force in the Market
As the commodities market continues its vibrant course, the range of companies within its purviewâfrom giants like CME Group to other key playersâdemonstrates the dynamic and vital role commodities play in the financial ecosystem. With substantial market caps and active trading volumes, these stocks are not just surviving but thriving, indicating a keen investor interest in the fundamental aspects of the global economy represented by the commodities market.
ADM : Archer Daniels Midland (ADM) exhibited a potential turnaround signal on November 1, 2023, as its Stochastic Oscillator climbed out of the oversold zone, often interpreted as a bullish indicator for the stock. Historical data from Tickeron's A.I.dvisor, after reviewing 58 similar instances, suggests that ADM's stock has a propensity to escalate post such signals, with a 66% likelihood of an uptick based on 38 precedents where gains followed. This emerging pattern could capture the attention of traders contemplating stock purchases or call option strategies.
ICE : Intercontinental Exchange (ICE) showcases a promising trajectory as it rebounds from breaching its lower Bollinger Band on October 27, 2023. Historical trends indicate a 67% chance of price progression towards the middle Bollinger Band, post such breakouts. This pattern, observed in 30 out of 45 similar occurrences, suggests a bullish signal for ICE. Traders might view this as an opportune moment for stock purchases or call option consideration, anticipating a continued upward price movement in the coming month.
CME : CME Group's stock is showing bullish momentum as its 10-day Moving Average decisively crossed above its 50-day counterpart on October 09, 2023. This technical crossover typically signifies a shift in momentum to the upside, presenting a potential buying opportunity. Historical analysis reveals that in 9 out of 12 instances of such crossovers, CME's stock has seen a continued increase in price over the subsequent month, translating to a robust 75% probability of sustaining the uptrend. This pattern suggests a favorable short-term outlook for traders and investors considering CME's shares.
ADM in -4.10% downward trend, falling for three consecutive days on December 19, 2024
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where ADM declined for three days, in of 259 cases, the price declined further within the following month. The odds of a continued downward trend are .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on December 04, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on ADM as a result. In of 90 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for ADM turned negative on December 17, 2024. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 43 similar instances when the indicator turned negative. In of the 43 cases the stock turned lower in the days that followed. This puts the odds of success at .
The Aroon Indicator for ADM entered a downward trend on November 14, 2024. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where ADM's RSI Indicator exited the oversold zone, of 36 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Stochastic Oscillator shows that the ticker has stayed in the oversold zone for 3 days. The price of this ticker is presumed to bounce back soon, since the longer the ticker stays in the oversold zone, the more promptly an upward trend is expected.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ADM advanced for three days, in of 347 cases, the price rose further within the following month. The odds of a continued upward trend are .
ADM may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. ADMâs price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. ADMâs unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 85, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is significantly overvalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.317) is normal, around the industry mean (15.048). P/E Ratio (9.697) is within average values for comparable stocks, (26.232). Projected Growth (PEG Ratio) (14.849) is also within normal values, averaging (15.410). Dividend Yield (0.030) settles around the average of (0.045) among similar stocks. P/S Ratio (0.360) is also within normal values, averaging (7.402).
Notable companies
Industry description
Market Cap
High and low price notable news
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a provider of the processing of oilseeds, corn, wheat, cocoa, and other agricultural commodities
Industry AgriculturalCommoditiesMilling