AGCO Corporation (NYSE:AGCO) Short Interest Update

Key Points

• AGCO Corporation experienced a 19.6% decrease in short interest for August 2023, with approximately 4.9% of shares short sold.
• The company reported quarterly earnings of $1.35 per share, exceeding expectations, and had a revenue of $2.64 billion, though down 18.8% year-over-year.
• AGCO announced a quarterly dividend of $0.29 per share, representing an annual yield of 1.1%, along with a $1 billion stock repurchase plan to buy back up to 12.2% of its shares.

AGCO Corporation (NYSE:AGCO - Get Free Report) was the recipient of a significant decrease in short interest in the month of August. As of August 15th, there was short interest totaling 3,040,000 shares, adecreaseof19.6% from the July 31st total of 3,780,000 shares. Approximately4.9% of the shares of the stock are short sold. Based on an average trading volume of 789,000 shares, the short-interest ratio is presently 3.9 days. Based on an average trading volume of 789,000 shares, the short-interest ratio is presently 3.9 days. Approximately4.9% of the shares of the stock are short sold.

AGCO Price Performance

NYSE:AGCO opened at $110.24 on Tuesday. The firm has a market capitalization of $8.23 billion, a price-to-earnings ratio of 82.27, a PEG ratio of 1.75 and a beta of 1.20. AGCO has a 1 year low of $73.79 and a 1 year high of $121.16. The business has a 50 day simple moving average of $110.84 and a 200-day simple moving average of $100.56. The company has a debt-to-equity ratio of 0.66, a current ratio of 1.48 and a quick ratio of 0.67.

AGCO (NYSE:AGCO - Get Free Report) last posted its quarterly earnings data on Thursday, July 31st. The industrial products company reported $1.35 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.06 by $0.29. The business had revenue of $2.64 billion during the quarter, compared to analyst estimates of $2.52 billion. AGCO had a return on equity of 8.27% and a net margin of 0.98%.The company's revenue for the quarter was down 18.8% on a year-over-year basis. During the same period last year, the company earned $2.53 EPS. AGCO has set its FY 2025 guidance at 4.750-5.00 EPS. Equities analysts forecast that AGCO will post 4.2 EPS for the current year.

AGCO Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 15th will be paid a $0.29 dividend. This represents a $1.16 annualized dividend and a dividend yield of 1.1%. The ex-dividend date of this dividend is Friday, August 15th. AGCO's dividend payout ratio (DPR) is presently 86.57%.

AGCO announced that its board has initiated a stock repurchase plan on Wednesday, July 9th that authorizes the company to repurchase $1.00 billion in shares. This repurchase authorization authorizes the industrial products company to purchase up to 12.2% of its shares through open market purchases. Shares repurchase plans are often a sign that the company's board of directors believes its shares are undervalued.

Analyst Ratings Changes

A number of equities analysts recently commented on the company. The Goldman Sachs Group increased their price target on AGCO from $91.00 to $107.00 and gave the company a "neutral" rating in a research note on Tuesday, May 27th. Morgan Stanley increased their price target on AGCO from $75.00 to $84.00 and gave the company an "underweight" rating in a research note on Monday, May 12th. JPMorgan Chase & Co. dropped their price target on AGCO from $137.00 to $135.00 and set an "overweight" rating for the company in a research note on Tuesday, September 2nd. Oppenheimer increased their price target on AGCO from $108.00 to $115.00 and gave the company an "outperform" rating in a research note on Tuesday, July 15th. Finally, Wall Street Zen raised AGCO from a "hold" rating to a "buy" rating in a research note on Saturday, August 2nd. One research analyst has rated the stock with a Strong Buy rating, three have issued a Buy rating, five have issued a Hold rating and one has issued a Sell rating to the company's stock. According to data from MarketBeat, AGCO has an average rating of "Hold" and an average price target of $109.38.

Insider Buying and Selling at AGCO

In other news, SVP Luis Fernando Sartini Felli sold 10,000 shares of the company's stock in a transaction dated Monday, August 11th. The stock was sold at an average price of $109.40, for a total value of $1,094,000.00. Following the completion of the transaction, the senior vice president owned 16,189 shares of the company's stock, valued at $1,771,076.60. This represents a 38.18% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. 16.90% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On AGCO

Several institutional investors have recently modified their holdings of the stock. Neuberger Berman Group LLC raised its holdings in shares of AGCO by 52.7% in the second quarter. Neuberger Berman Group LLC now owns 10,086 shares of the industrial products company's stock worth $1,040,000 after buying an additional 3,483 shares during the period. State of Wyoming purchased a new stake in shares of AGCO in the second quarter worth approximately $447,000. FORA Capital LLC purchased a new stake in shares of AGCO in the second quarter worth approximately $397,000. Two Sigma Securities LLC purchased a new stake in shares of AGCO in the second quarter worth approximately $874,000. Finally, Tidal Investments LLC raised its holdings in shares of AGCO by 14.9% in the second quarter. Tidal Investments LLC now owns 16,074 shares of the industrial products company's stock worth $1,658,000 after buying an additional 2,087 shares during the period. 78.80% of the stock is owned by institutional investors.

AGCO Company Profile

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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