AGCO (NYSE:AGCO) Lowered to Hold at Zacks Investment Research

AGCO (NYSE:AGCOGet Rating) was downgraded by Zacks Investment Research from a “strong-buy” rating to a “hold” rating in a research report issued on Tuesday, Zacks.com reports. They presently have a $144.00 price target on the industrial products company’s stock. Zacks Investment Research‘s price objective points to a potential upside of 4.05% from the stock’s previous close.

According to Zacks, “AGCO Corporation’s earnings estimates for the current year have undergone upward revisions lately. The company expects adjusted earnings per share (EPS) for 2022 to be at $11.50, reflecting improved sales volumes and pricing. Net sales for the current year will be around $12.3 billion, up from $11.14 billion reported in 2021. Gross and operating margins are likely to increase on higher sales and production volumes as well as pricing actions to mitigate cost inflation. Elevated agricultural commodity prices and its impact on farm income will drive demand for agricultural equipment, encouraging farmers to upgrade their aging fleets. This will drive AGCO’s top line in the current year. However, production losses due to supply chain disruptions and logisctics challenges as well as higher raw material and freight costs will hurt results.”

Other research analysts also recently issued reports about the company. Morgan Stanley increased their target price on AGCO from $157.00 to $165.00 and gave the company an “overweight” rating in a research report on Wednesday, February 9th. Barclays increased their target price on AGCO from $123.00 to $128.00 and gave the company an “equal weight” rating in a research report on Thursday, January 13th. StockNews.com started coverage on AGCO in a research report on Thursday, March 31st. They set a “buy” rating for the company. William Blair reiterated an “outperform” rating on shares of AGCO in a research report on Tuesday, February 8th. Finally, Sanford C. Bernstein downgraded AGCO from an “outperform” rating to a “market perform” rating and lowered their target price for the company from $177.00 to $127.00 in a research report on Wednesday, December 22nd. Five equities research analysts have rated the stock with a hold rating and nine have issued a buy rating to the company. According to data from MarketBeat.com, the company has a consensus rating of “Buy” and an average target price of $148.82.

AGCO stock opened at $138.40 on Tuesday. AGCO has a 1-year low of $108.56 and a 1-year high of $158.62. The company has a debt-to-equity ratio of 0.41, a current ratio of 1.45 and a quick ratio of 0.70. The company has a market capitalization of $10.32 billion, a price-to-earnings ratio of 11.66, a PEG ratio of 1.18 and a beta of 1.31. The business has a 50 day simple moving average of $131.61 and a two-hundred day simple moving average of $124.87.

AGCO (NYSE:AGCOGet Rating) last posted its quarterly earnings results on Tuesday, February 8th. The industrial products company reported $3.08 earnings per share for the quarter, topping the Thomson Reuters’ consensus estimate of $1.72 by $1.36. The business had revenue of $3.16 billion during the quarter, compared to the consensus estimate of $3.05 billion. AGCO had a return on equity of 24.30% and a net margin of 8.05%. The firm’s revenue for the quarter was up 16.1% compared to the same quarter last year. During the same period in the prior year, the company posted $1.54 EPS. Sell-side analysts anticipate that AGCO will post 11.63 EPS for the current fiscal year.

In other news, CFO Andrew H. Beck sold 25,000 shares of the firm’s stock in a transaction on Friday, February 11th. The stock was sold at an average price of $131.83, for a total transaction of $3,295,750.00. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, CAO Lara Thrush Long sold 900 shares of the firm’s stock in a transaction on Friday, February 25th. The shares were sold at an average price of $117.55, for a total value of $105,795.00. The disclosure for this sale can be found here. Company insiders own 16.90% of the company’s stock.

Institutional investors have recently made changes to their positions in the company. Morgan Stanley boosted its position in AGCO by 25.8% during the second quarter. Morgan Stanley now owns 442,634 shares of the industrial products company’s stock valued at $57,711,000 after purchasing an additional 90,916 shares in the last quarter. Spire Wealth Management boosted its position in AGCO by 6.9% during the third quarter. Spire Wealth Management now owns 1,629 shares of the industrial products company’s stock valued at $200,000 after purchasing an additional 105 shares in the last quarter. New York State Teachers Retirement System boosted its position in AGCO by 8.3% during the third quarter. New York State Teachers Retirement System now owns 85,417 shares of the industrial products company’s stock valued at $10,466,000 after purchasing an additional 6,520 shares in the last quarter. Westpac Banking Corp bought a new stake in AGCO during the third quarter valued at about $1,801,000. Finally, Davy Global Fund Management Ltd boosted its position in AGCO by 24.7% during the third quarter. Davy Global Fund Management Ltd now owns 61,819 shares of the industrial products company’s stock valued at $7,575,000 after purchasing an additional 12,251 shares in the last quarter. Hedge funds and other institutional investors own 78.52% of the company’s stock.

About AGCO (Get Rating)

AGCO Corporation manufactures and distributes agricultural equipment and related replacement parts worldwide. It offers horsepower tractors for row crop production, soil cultivation, planting, land leveling, seeding, and commercial hay operations; utility tractors for small- and medium-sized farms, as well as for dairy, livestock, orchards, and vineyards; and compact tractors for small farms, specialty agricultural industries, landscaping, equestrian, and residential uses.

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