AGCO Corporation $AGCO Stake Lessened by Advisors Asset Management Inc.

Key Points

• Advisors Asset Management Inc. significantly reduced its stake in AGCO Corporation by 41.6%, selling 26,040 shares, while still holding 36,594 shares valued at approximately $3.39 million.
• Several hedge funds have increased their positions in AGCO, with UBS AM notably boosting its stake by 534.7%, reflecting confidence in the company's future performance.
• AGCO reported better-than-expected quarterly earnings with $1.35 per share, surpassing estimates, alongside a newly authorized $1 billion stock buyback plan indicating potential undervaluation of its shares.

Advisors Asset Management Inc. lowered its holdings in AGCO Corporation (NYSE:AGCO - Free Report) by 41.6% in the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 36,594 shares of the industrial products company's stock after selling 26,040 shares during the period. Advisors Asset Management Inc.'s holdings in AGCO were worth $3,388,000 as of its most recent SEC filing.

Other hedge funds have also made changes to their positions in the company. Price T Rowe Associates Inc. MD increased its stake in shares of AGCO by 7.4% in the first quarter. Price T Rowe Associates Inc. MD now owns 6,985,474 shares of the industrial products company's stock worth $646,648,000 after acquiring an additional 481,146 shares during the last quarter. Dimensional Fund Advisors LP increased its stake in shares of AGCO by 12.1% in the first quarter. Dimensional Fund Advisors LP now owns 3,346,046 shares of the industrial products company's stock worth $309,745,000 after acquiring an additional 361,965 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC increased its stake in shares of AGCO by 534.7% in the fourth quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 2,901,790 shares of the industrial products company's stock worth $271,259,000 after acquiring an additional 2,444,615 shares during the last quarter. Davis Selected Advisers increased its stake in shares of AGCO by 1.8% in the first quarter. Davis Selected Advisers now owns 2,027,266 shares of the industrial products company's stock worth $187,664,000 after acquiring an additional 35,909 shares during the last quarter. Finally, Massachusetts Financial Services Co. MA increased its stake in shares of AGCO by 8.6% in the first quarter. Massachusetts Financial Services Co. MA now owns 1,903,478 shares of the industrial products company's stock worth $176,205,000 after acquiring an additional 150,327 shares during the last quarter. 78.80% of the stock is owned by hedge funds and other institutional investors.

Insider Activity

In other news, SVP Luis Fernando Sartini Felli sold 10,000 shares of the firm'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 sale, the senior vice president directly owned 16,189 shares of the company's stock, valued at approximately $1,771,076.60. This trade represents a 38.18% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Corporate insiders own 16.60% of the company's stock.

Analyst Ratings Changes

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

AGCO Trading Up 1.2%

Shares of NYSE:AGCO opened at $111.04 on Friday. The company has a market cap of $8.29 billion, a P/E ratio of 82.87, a P/E/G ratio of 1.73 and a beta of 1.20. The stock's 50-day moving average is $110.70 and its 200-day moving average is $100.51. AGCO Corporation has a 52-week low of $73.79 and a 52-week high of $121.16. 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 (NYSE:AGCO - Get Free Report) last issued its quarterly earnings results 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 company 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 firm's revenue was down 18.8% compared to the same quarter last year. During the same period last year, the business posted $2.53 earnings per share. AGCO has set its FY 2025 guidance at 4.750-5.00 EPS. Equities research analysts predict that AGCO Corporation will post 4.2 earnings per share for the current year.

AGCO announced that its board has authorized a stock buyback 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 reacquire up to 12.2% of its stock through open market purchases. Stock repurchase plans are usually 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 given a $0.29 dividend. This represents a $1.16 annualized dividend and a dividend yield of 1.0%. The ex-dividend date of this dividend is Friday, August 15th. AGCO's dividend payout ratio (DPR) is currently 86.57%.

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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