AGCO CORP (AGCO) Stock Fundamental Analysis
NYSE:AGCO - US0010841023 - Common Stock
107.652 USD
+0.04 (+0.04%)
We assign a fundamental rating of 4 out of 10 to AGCO. AGCO was compared to 128 industry peers in the Machinery industry. There are concerns on the financial health of AGCO while its profitability can be described as average. AGCO has a decent growth rate and is not valued too expensively.
1. Profitability
1.1 Basic Checks
In the past year AGCO was profitable.
AGCO had a positive operating cash flow in the past year.
AGCO had positive earnings in 4 of the past 5 years.
AGCO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
AGCO has a Return On Assets of 0.81%. This is in the lower half of the industry: AGCO underperforms 67.97% of its industry peers.
With a Return On Equity value of 2.39%, AGCO is not doing good in the industry: 64.84% of the companies in the same industry are doing better.
The Return On Invested Capital of AGCO (6.00%) is comparable to the rest of the industry.
Measured over the past 3 years, the Average Return On Invested Capital for AGCO is significantly above the industry average of 10.00%.
The last Return On Invested Capital (6.00%) for AGCO is well below the 3 year average (16.09%), which needs to be investigated, but indicates that AGCO had better years and this may not be a problem.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.81% | ||
| ROE | 2.39% | ||
| ROIC | 6% |
ROA(3y)5.09%
ROA(5y)6.01%
ROE(3y)12.24%
ROE(5y)15.46%
ROIC(3y)16.09%
ROIC(5y)14.59%
1.3 Margins
AGCO has a Profit Margin of 0.98%. This is in the lower half of the industry: AGCO underperforms 66.41% of its industry peers.
AGCO has a Operating Margin (6.16%) which is in line with its industry peers.
AGCO's Operating Margin has improved in the last couple of years.
AGCO has a Gross Margin of 24.29%. This is in the lower half of the industry: AGCO underperforms 65.63% of its industry peers.
AGCO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.16% | ||
| PM (TTM) | 0.98% | ||
| GM | 24.29% |
OM growth 3Y-4.47%
OM growth 5Y6.13%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.49%
GM growth 5Y2.53%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so AGCO is still creating some value.
Compared to 1 year ago, AGCO has about the same amount of shares outstanding.
AGCO has less shares outstanding than it did 5 years ago.
Compared to 1 year ago, AGCO has a worse debt to assets ratio.
2.2 Solvency
An Altman-Z score of 2.44 indicates that AGCO is not a great score, but indicates only limited risk for bankruptcy at the moment.
With a Altman-Z score value of 2.44, AGCO perfoms like the industry average, outperforming 41.41% of the companies in the same industry.
The Debt to FCF ratio of AGCO is 4.31, which is a neutral value as it means it would take AGCO, 4.31 years of fcf income to pay off all of its debts.
With a Debt to FCF ratio value of 4.31, AGCO perfoms like the industry average, outperforming 56.25% of the companies in the same industry.
AGCO has a Debt/Equity ratio of 0.69. This is a neutral value indicating AGCO is somewhat dependend on debt financing.
Looking at the Debt to Equity ratio, with a value of 0.69, AGCO is doing worse than 68.75% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.31 | ||
| Altman-Z | 2.44 |
ROIC/WACC0.6
WACC9.96%
2.3 Liquidity
A Current Ratio of 1.48 indicates that AGCO should not have too much problems paying its short term obligations.
With a Current ratio value of 1.48, AGCO is not doing good in the industry: 75.00% of the companies in the same industry are doing better.
AGCO has a Quick Ratio of 1.48. This is a bad value and indicates that AGCO is not financially healthy enough and could expect problems in meeting its short term obligations.
The Quick ratio of AGCO (0.67) is worse than 86.72% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.67 |
3. Growth
3.1 Past
AGCO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -65.00%.
The Earnings Per Share has been growing by 11.05% on average over the past years. This is quite good.
Looking at the last year, AGCO shows a very negative growth in Revenue. The Revenue has decreased by -24.27% in the last year.
Measured over the past years, AGCO shows a small growth in Revenue. The Revenue has been growing by 5.22% on average per year.
EPS 1Y (TTM)-65%
EPS 3Y-10.24%
EPS 5Y11.05%
EPS Q2Q%-46.64%
Revenue 1Y (TTM)-24.27%
Revenue growth 3Y1.54%
Revenue growth 5Y5.22%
Sales Q2Q%-18.84%
3.2 Future
AGCO is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 15.57% yearly.
AGCO is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 3.24% yearly.
EPS Next Y-34.09%
EPS Next 2Y-4.88%
EPS Next 3Y5.53%
EPS Next 5Y15.57%
Revenue Next Year-17.67%
Revenue Next 2Y-7.01%
Revenue Next 3Y-2.74%
Revenue Next 5Y3.24%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
Based on the Price/Earnings ratio of 24.41, the valuation of AGCO can be described as rather expensive.
AGCO's Price/Earnings is on the same level as the industry average.
The average S&P500 Price/Earnings ratio is at 27.07. AGCO is around the same levels.
With a Price/Forward Earnings ratio of 15.86, AGCO is valued correctly.
Based on the Price/Forward Earnings ratio, AGCO is valued a bit cheaper than the industry average as 71.88% of the companies are valued more expensively.
Compared to an average S&P500 Price/Forward Earnings ratio of 22.59, AGCO is valued a bit cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.41 | ||
| Fwd PE | 15.86 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, AGCO is valued a bit cheaper than 76.56% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, AGCO is valued cheaply inside the industry as 90.63% of the companies are valued more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.69 | ||
| EV/EBITDA | 10.71 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.21
EPS Next 2Y-4.88%
EPS Next 3Y5.53%
5. Dividend
5.1 Amount
AGCO has a Yearly Dividend Yield of 1.06%.
AGCO's Dividend Yield is a higher than the industry average which is at 1.78.
With a Dividend Yield of 1.06, AGCO pays less dividend than the S&P500 average, which is at 2.46.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
5.2 History
On average, the dividend of AGCO grows each year by 42.16%, which is quite nice.
AGCO has paid a dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)42.16%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
86.85% of the earnings are spent on dividend by AGCO. This is not a sustainable payout ratio.
AGCO's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP86.85%
EPS Next 2Y-4.88%
EPS Next 3Y5.53%
NYSE:AGCO (9/10/2025, 3:54:09 PM)
107.652
+0.04 (+0.04%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners98.97%
Inst Owner Change-10.59%
Ins Owners0.58%
Ins Owner Change-0.33%
Market Cap8.03B
Analysts70.48
Price Target123.24 (14.48%)
Short Float %4.91%
Short Ratio3.62
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.06% |
Yearly Dividend3.67
Dividend Growth(5Y)42.16%
DP86.85%
Div Incr Years0
Div Non Decr Years0
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)192.14%
Min EPS beat(2)22.67%
Max EPS beat(2)361.6%
EPS beat(4)3
Avg EPS beat(4)88.02%
Min EPS beat(4)-38.3%
Max EPS beat(4)361.6%
EPS beat(8)5
Avg EPS beat(8)43.6%
EPS beat(12)8
Avg EPS beat(12)33.36%
EPS beat(16)12
Avg EPS beat(16)33.29%
Revenue beat(2)1
Avg Revenue beat(2)0.57%
Min Revenue beat(2)-1.8%
Max Revenue beat(2)2.93%
Revenue beat(4)1
Avg Revenue beat(4)-5.38%
Min Revenue beat(4)-12.13%
Max Revenue beat(4)2.93%
Revenue beat(8)1
Avg Revenue beat(8)-5.5%
Revenue beat(12)4
Avg Revenue beat(12)-3.74%
Revenue beat(16)5
Avg Revenue beat(16)-3.3%
PT rev (1m)2.47%
PT rev (3m)16.78%
EPS NQ rev (1m)4.22%
EPS NQ rev (3m)19.45%
EPS NY rev (1m)14.61%
EPS NY rev (3m)15.75%
Revenue NQ rev (1m)1.9%
Revenue NQ rev (3m)9.39%
Revenue NY rev (1m)2.21%
Revenue NY rev (3m)2.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 24.41 | ||
| Fwd PE | 15.86 | ||
| P/S | 0.79 | ||
| P/FCF | 11.69 | ||
| P/OCF | 8.21 | ||
| P/B | 1.93 | ||
| P/tB | 5.16 | ||
| EV/EBITDA | 10.71 |
EPS(TTM)4.41
EY4.1%
EPS(NY)6.79
Fwd EY6.3%
FCF(TTM)9.21
FCFY8.55%
OCF(TTM)13.11
OCFY12.17%
SpS136.32
BVpS55.86
TBVpS20.86
PEG (NY)N/A
PEG (5Y)2.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 0.81% | ||
| ROE | 2.39% | ||
| ROCE | 7.37% | ||
| ROIC | 6% | ||
| ROICexc | 6.6% | ||
| ROICexgc | 9.89% | ||
| OM | 6.16% | ||
| PM (TTM) | 0.98% | ||
| GM | 24.29% | ||
| FCFM | 6.76% |
ROA(3y)5.09%
ROA(5y)6.01%
ROE(3y)12.24%
ROE(5y)15.46%
ROIC(3y)16.09%
ROIC(5y)14.59%
ROICexc(3y)17.91%
ROICexc(5y)16.77%
ROICexgc(3y)25.88%
ROICexgc(5y)25.33%
ROCE(3y)19.52%
ROCE(5y)17.75%
ROICexcg growth 3Y-11.68%
ROICexcg growth 5Y2.47%
ROICexc growth 3Y-13.04%
ROICexc growth 5Y3.12%
OM growth 3Y-4.47%
OM growth 5Y6.13%
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y2.49%
GM growth 5Y2.53%
F-Score4
Asset Turnover0.83
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.69 | ||
| Debt/FCF | 4.31 | ||
| Debt/EBITDA | 3.07 | ||
| Cap/Depr | 92.67% | ||
| Cap/Sales | 2.86% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 103.98% | ||
| Profit Quality | 689.96% | ||
| Current Ratio | 1.48 | ||
| Quick Ratio | 0.67 | ||
| Altman-Z | 2.44 |
F-Score4
WACC9.96%
ROIC/WACC0.6
Cap/Depr(3y)147.42%
Cap/Depr(5y)127.45%
Cap/Sales(3y)3.35%
Cap/Sales(5y)3.08%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-65%
EPS 3Y-10.24%
EPS 5Y11.05%
EPS Q2Q%-46.64%
EPS Next Y-34.09%
EPS Next 2Y-4.88%
EPS Next 3Y5.53%
EPS Next 5Y15.57%
Revenue 1Y (TTM)-24.27%
Revenue growth 3Y1.54%
Revenue growth 5Y5.22%
Sales Q2Q%-18.84%
Revenue Next Year-17.67%
Revenue Next 2Y-7.01%
Revenue Next 3Y-2.74%
Revenue Next 5Y3.24%
EBIT growth 1Y-54.84%
EBIT growth 3Y-3%
EBIT growth 5Y11.67%
EBIT Next Year-1.9%
EBIT Next 3Y10.86%
EBIT Next 5Y14.3%
FCF growth 1Y24.2%
FCF growth 3Y-8.75%
FCF growth 5Y-6.83%
OCF growth 1Y-5.92%
OCF growth 3Y1.48%
OCF growth 5Y-0.17%