5 Best Ethanol Stocks To Buy Now

3. Archer-Daniels-Midland Company (NYSE:ADM)

Number of Hedge Fund Holders: 42

Archer-Daniels-Midland Company (NYSE:ADM) procures, transports, stores, processes, and merchandises agricultural commodities, products, and ingredients worldwide. The firm is among the best ethanol stocks to invest in. On August 17, the company announced that it had entered into a strategic partnership with animal-free dairy company New Culture to ramp up development and commercialization of alternative dairy products. The partners will work towards joint product development and commercialization.

On August 12, Wolfe Research analyst Sam Margolin initiated coverage of Archer Daniels-Midland Company (NYSE:ADM) stock with an Outperform rating and a $117 price target, noting that the share offered highly competitive dividend growth through the nutrition segment. 

Among the hedge funds being tracked by Insider Monkey, Virginia-based firm Markel Gayner Asset Management is a leading shareholder in Archer-Daniels-Midland Company (NYSE:ADM), with 1.5 million shares worth more than $113.5 million.

In its Q1 2022 investor letter, Diamond Hill Capital, an asset management firm, highlighted a few stocks and Archer-Daniels-Midland Company (NYSE:ADM) was one of them. Here is what the fund said:

“Archer-Daniels-Midland Company (NYSE:ADM) is a leading agricultural processor that also operates a global nutrition business focused on the development of ingredients and flavors for food and beverages, supplements and more. The company’s recent operating results have benefited (unfortunately) from the war in Ukraine as grain prices and agricultural markets globally experienced strong price increases. ADM is positioned well to benefit from the volatility due to its stable North American agricultural base.”