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 decline in short interest in the month of August. As of August 15th, there was short interest totaling 3,040,000 shares, a decline of 19.6% from the July 31st total of 3,780,000 shares. Based on an average daily trading volume, of 789,000 shares, the short-interest ratio is presently 3.9 days. Approximately 4.9% of the company's shares are sold short. Approximately 4.9% of the company's shares are sold short. Based on an average daily trading volume, of 789,000 shares, the short-interest ratio is presently 3.9 days.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on AGCO shares. Oppenheimer upped their price target on AGCO from $108.00 to $115.00 and gave the stock an "outperform" rating in a research note on Tuesday, July 15th. UBS Group reaffirmed a "neutral" rating and issued a $119.00 price target (up from $100.00) on shares of AGCO in a research note on Friday, August 8th. Wall Street Zen raised AGCO from a "hold" rating to a "buy" rating in a research note on Saturday, August 2nd. Zacks Research raised AGCO from a "hold" rating to a "strong-buy" rating in a report on Monday, August 18th. Finally, Citigroup reissued a "neutral" rating and issued a $110.00 target price on shares of AGCO in a report on Friday, May 30th. One analyst has rated the stock with a Strong Buy rating, three have given a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, AGCO presently has a consensus rating of "Hold" and a consensus target price of $109.38.

AGCO Stock Performance

Shares of NYSE:AGCO traded down $0.16 during midday trading on Friday, reaching $109.02. 660,107 shares of the company's stock traded hands, compared to its average volume of 660,688. The company has a market cap of $8.13 billion, a price-to-earnings ratio of 81.36, a P/E/G ratio of 1.72 and a beta of 1.20. The company has a debt-to-equity ratio of 0.66, a quick ratio of 0.67 and a current ratio of 1.48. AGCO has a one year low of $73.79 and a one year high of $121.16. The stock has a 50 day moving average of $110.75 and a 200 day moving average of $100.87.

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

AGCO declared that its board has authorized a share repurchase plan on Wednesday, July 9th that permits the company to repurchase $1.00 billion in outstanding shares. This repurchase authorization permits the industrial products company to reacquire up to 12.2% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's board believes its shares are undervalued.

AGCO Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Monday, September 15th. Stockholders of record on Friday, August 15th will be issued a dividend of $0.29 per share. This represents a $1.16 dividend on an annualized basis and a dividend yield of 1.1%. The ex-dividend date of this dividend is Friday, August 15th. AGCO's dividend payout ratio is presently 86.57%.

Insider Activity

In other news, SVP Luis Fernando Sartini Felli sold 10,000 shares of the business's stock in a transaction that occurred on Monday, August 11th. The stock was sold at an average price of $109.40, for a total transaction of $1,094,000.00. Following the transaction, the senior vice president directly owned 16,189 shares of the company's stock, valued at approximately $1,771,076.60. The trade was a 38.18% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 16.90% of the company's stock.

Institutional Inflows and Outflows

Institutional investors have recently bought and sold shares of the company. Citizens National Bank Trust Department lifted its holdings in AGCO by 400.0% in the first quarter. Citizens National Bank Trust Department now owns 300 shares of the industrial products company's stock valued at $28,000 after acquiring an additional 240 shares during the period. EverSource Wealth Advisors LLC lifted its holdings in AGCO by 951.9% in the second quarter. EverSource Wealth Advisors LLC now owns 284 shares of the industrial products company's stock valued at $29,000 after acquiring an additional 257 shares during the period. Caitong International Asset Management Co. Ltd bought a new position in AGCO in the first quarter valued at about $32,000. Geneos Wealth Management Inc. lifted its holdings in AGCO by 109.2% in the first quarter. Geneos Wealth Management Inc. now owns 364 shares of the industrial products company's stock valued at $34,000 after acquiring an additional 190 shares during the period. Finally, Quarry LP bought a new position in AGCO in the first quarter valued at about $37,000. Institutional investors own 78.80% of the company's stock.

About AGCO

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.