Let’s Take a Fresh Look at AGCO Corporation (AGCO)

On Friday, shares of AGCO Corporation (NYSE:AGCO) marked $52.70 per share versus a previous $54.04 closing price. With having a -2.48% loss, an insight into the fundamental values of AGCO Corporation, investors would also find a great ally in the technical patterns of the stock movements showed in stock charts. AGCO showed a fall of -31.78% within its YTD performance, with highs and lows between $35.33 – $81.39 during the period of 52 weeks, compared to the simple moving average of -19.19% in the period of the last 200 days.

Goldman equity researchers changed the status of AGCO Corporation (NYSE: AGCO) shares from “Buy” to a “Neutral” rating in the report published on February 13th, 2020. Other analysts, including Morgan Stanley, also published their reports on AGCO shares. Morgan Stanley repeated the rating from the previous report, marking AGCO under “Equal-Weight” rating, in the report published on December 16th, 2019. Additionally, AGCO shares got another “Neutral” rating from JP Morgan, setting a target price of $82 on the company’s shares, according to the report published in November 15th, 2019. On November 14th, 2019, BMO Capital Markets Upgrade an Outperform rating and increased its price target from $80 to $100. On the other hand, JP Morgan Upgrade the “Overweight” rating for AGCO shares, as published in the report on September 11th, 2019. Stifel seems to be going bullish on the price of AGCO shares, based on the price prediction for AGCO, indicating that the shares will jump from $79 to $84, giving the shares “Buy” rating based on their report from September 6th, 2019. Another “Overweight” rating came from Stephens.

AGCO Corporation (AGCO) Analysis

The present dividend yield for AGCO owners is set at 0.01, marking the return investors will get regardless of the company’s performance in the upcoming period. However, in order for the company to be able to pay its dividends, just like it is the case with AGCO Corporation, the company needs to provide a healthy cash flow, currently at the value of 15.05. In addition, the growth of sales from quarter to quarter is recording -3.40%, hinting the company’s progress in the upcoming progress.

In order to gain a clear insight on the performance of AGCO Corporation (AGCO) as it may occur in the future, there are more than several well-rounded types of analysis and research techniques, while equity is most certainly one of the more important indicators into the company’s growth and performance. In this case, you want to make sure that the return on the present equity of 4.30% is enough for you to make a profit out of your investment. You may also count in the quick ratio of the company, currently set at 0.60 so you would make sure that the company is able to cover the debts it may have, which can be easily seen in annual reports of the company.

Set to affect the volatility of a given stock, the average volume can also be a valuable indicator, while AGCO is currently recording an average of 571.15K in volumes. The volatility of the stock on monthly basis is set at 3.83%, while the weekly volatility levels are marked at 2.82%with -2.84% of loss in the last seven days. Additionally, long-term investors are predicting the target price of $59.15, indicating growth from the present price of $52.70, which can represent yet another valuable research and analysis points that can help you decide whether to invest in AGCO or pass.

What to Look for When Analyzing AGCO Corporation Shares?

AGCO Corporation (AGCO) is based in the USA and it represents one of the well-known company operating with Industrials sector. If you wish to compare AGCO shares with other companies under Electronic Equipment and Consumer Goods, a factor to note is the P/E value of 39.95 for AGCO Corporation, while the value 13.70 can represent an indicator in the future growth of the company in terms of investor’s expectations. The later value should have a steady growth rate, increasing and growing gradually, which serves the purpose of reliably showcasing the progress of the company. The value 1.32 is supported by the yearly EPS growth of -61.40%.

Besides from looking into the fundamentals, you should also note the number of people inside the company owning the shares, as the values should be in line with the expectations of investors. In that spirit, the present ownership of stocks inside the company is set at 1.70%, which can provide you with an insight of how involved executives are in owning shares of the company. In oppose to the executives’ share, the institutional ownership counts 83.70% of shares, carrying an equal significance as an indicator of value, as the presence of large investors may signal a strong company.

Are Institutional Investors Increasing Stakes in AGCO Shares?

It appears that more than several institutional investors and hedge funds decided to increase stakes in AGCO in the recent period. That is how BlackRock Fund Advisors now has an increase position in AGCO by 0.80% in the first quarter, owning 5.47 million shares of AGCO stocks, with the value of $302.28 million after the purchase of an additional 43,695 shares during the last quarter. In the meanwhile, Victory Capital Management, Inc. also increased their stake in AGCO shares changed 19.55% in the first quarter, which means that the company now owns 3.87 million shares of company, all valued at $213.52 million after the acquisition of additional 632,157 shares during the last quarter.

LSV Asset Management acquired a new position in AGCO Corporation during the first quarter, with the value of $156.81 million, and Dimensional Fund Advisors LP increased their stake in the company’s shares by 4.13% in the first quarter, now owning 94,638 shares valued at $131.82 million after the acquisition of the additional 2.39 million shares during the last quarter. In the end, SSgA Funds Management, Inc. increased their position by 14.22% during the first quarter, now owning 2.24 million AGCO shares, now holding the value of $123.77 million in AGCO with the purchase of the additional 157,208 shares during the period of the last quarter. At the present, 83.70% of AGCO shares are in the ownership of institutional investors.