AGCO (AGCO) Competitors

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

Is AGCO or CAT a better dividend stock?

AGCO pays an annual dividend of $1.16 per share and has a dividend yield of 1.0%. Caterpillar pays an annual dividend of $6.04 per share and has a dividend yield of 1.5%. 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 pays out 30.7% of its earnings in the form of a dividend. AGCO has raised its dividend for 12 consecutive years and Caterpillar has raised its dividend for 30 consecutive years. Caterpillar is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media favor AGCO or CAT?

In the previous week, Caterpillar had 63 more articles in the media than AGCO. MarketBeat recorded 82 mentions for Caterpillar and 19 mentions for AGCO. AGCO's average media sentiment score of 1.01 beat Caterpillar's score of 0.98 indicating that AGCO is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
AGCO	11 Very Positive mention(s)	1 Positive mention(s)	5 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Caterpillar	53 Very Positive mention(s)	4 Positive mention(s)	14 Neutral mention(s)	3 Negative mention(s)	1 Very Negative mention(s)	Positive

Do analysts rate AGCO or CAT?

AGCO currently has a consensus target price of $109.63, indicating a potential downside of 1.19%. Caterpillar has a consensus target price of $444.00, indicating a potential upside of 7.71%. Given Caterpillar's stronger consensus rating and higher possible upside, analysts plainly believe Caterpillar is more favorable than AGCO.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AGCO	1 Sell rating(s)	5 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.22
Caterpillar	0 Sell rating(s)	6 Hold rating(s)	10 Buy rating(s)	2 Strong Buy rating(s)	2.78

Which has better earnings and valuation, AGCO or CAT?

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
AGCO	$11.66B	0.71	-$424.80M	$1.34	82.79
Caterpillar	$64.81B	2.98	$10.79B	$19.66	20.97

Do insiders & institutionals have more ownership in AGCO or CAT?

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

Is AGCO or CAT 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
AGCO	0.98%	8.27%	2.71%
Caterpillar	14.95%	48.95%	10.60%

Which has more risk and volatility, AGCO or CAT?

AGCO has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, Caterpillar has a beta of 1.4, meaning that its stock price is 40% more volatile than the S&P 500.

Summary

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