AGCO (AGCO) Competitors

Caterpillar (NYSE:CAT) and AGCO (NYSE:AGCO) are both industrials companies, but which is the better business? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, media sentiment, profitability, analyst recommendations, risk and valuation.

Is CAT or AGCO a better dividend stock?

Caterpillar pays an annual dividend of $6.04 per share and has a dividend yield of 1.1%. AGCO pays an annual dividend of $1.16 per share and has a dividend yield of 1.1%. Caterpillar pays out 30.7% of its earnings in the form of a dividend. AGCO pays out 86.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Caterpillar has increased its dividend for 30 consecutive years and AGCO has increased its dividend for 12 consecutive years. Caterpillar is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Do insiders and institutionals believe in CAT or AGCO?

71.0% of Caterpillar shares are owned by institutional investors. Comparatively, 78.8% of AGCO shares are owned by institutional investors. 0.3% of Caterpillar shares are owned by insiders. Comparatively, 16.9% of AGCO shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Is CAT or AGCO more profitable?

Caterpillar has a net margin of 14.95% compared to AGCO's net margin of 0.98%. Caterpillar's return on equity of 48.95% beat AGCO's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Caterpillar	14.95%	48.95%	10.60%
AGCO	0.98%	8.27%	2.71%

Do analysts recommend CAT or AGCO?

Caterpillar currently has a consensus price target of $501.47, indicating a potential downside of 5.25%. AGCO has a consensus price target of $116.38, indicating a potential upside of 8.16%. Given AGCO's higher probable upside, analysts clearly believe AGCO is more favorable than Caterpillar.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Caterpillar	0 Sell rating(s)	5 Hold rating(s)	13 Buy rating(s)	2 Strong Buy rating(s)	2.85
AGCO	1 Sell rating(s)	7 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.18

Which has preferable valuation and earnings, CAT or AGCO?

Caterpillar has higher revenue and earnings than AGCO. Caterpillar is trading at a lower price-to-earnings ratio than AGCO, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Caterpillar	$64.81B	3.83	$10.79B	$19.66	26.92
AGCO	$11.66B	0.69	-$424.80M	$1.34	80.29

Which has more volatility and risk, CAT or AGCO?

Caterpillar has a beta of 1.46, indicating that its share price is 46% more volatile than the S&P 500. Comparatively, AGCO has a beta of 1.23, indicating that its share price is 23% more volatile than the S&P 500.

Does the media refer more to CAT or AGCO?

In the previous week, Caterpillar had 103 more articles in the media than AGCO. MarketBeat recorded 118 mentions for Caterpillar and 15 mentions for AGCO. Caterpillar's average media sentiment score of 1.23 beat AGCO's score of 0.14 indicating that Caterpillar is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Caterpillar	76 Very Positive mention(s)	16 Positive mention(s)	20 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
AGCO	4 Very Positive mention(s)	3 Positive mention(s)	2 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Neutral

Summary

Caterpillar beats AGCO on 16 of the 20 factors compared between the two stocks.