AGCO (AGCO) Competitors

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

Do insiders and institutionals have more ownership 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 company insiders. Comparatively, 16.9% of AGCO shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Is CAT or AGCO more profitable?

Caterpillar has a net margin of 15.71% compared to AGCO's net margin of -5.40%. Caterpillar's return on equity of 53.77% beat AGCO's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Caterpillar	15.71%	53.77%	11.64%
AGCO	-5.40%	10.60%	3.35%

Is CAT or AGCO a better dividend stock?

Caterpillar pays an annual dividend of $6.04 per share and has a dividend yield of 1.4%. AGCO pays an annual dividend of $1.16 per share and has a dividend yield of 1.0%. Caterpillar pays out 29.4% of its earnings in the form of a dividend. AGCO pays out -14.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. 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.

Which has preferable earnings and valuation, CAT or AGCO?

Caterpillar has higher revenue and earnings than AGCO. AGCO is trading at a lower price-to-earnings ratio than Caterpillar, 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	3.10	$10.79B	$20.52	20.76
AGCO	$11.66B	0.71	-$424.80M	-$7.80	-14.32

Does the media favor CAT or AGCO?

In the previous week, Caterpillar had 55 more articles in the media than AGCO. MarketBeat recorded 70 mentions for Caterpillar and 15 mentions for AGCO. Caterpillar's average media sentiment score of 1.12 beat AGCO's score of 0.70 indicating that Caterpillar is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Caterpillar	49 Very Positive mention(s)	4 Positive mention(s)	13 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive
AGCO	6 Very Positive mention(s)	1 Positive mention(s)	4 Neutral mention(s)	4 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts rate CAT or AGCO?

Caterpillar currently has a consensus price target of $419.33, suggesting a potential downside of 1.55%. AGCO has a consensus price target of $105.89, suggesting a potential downside of 5.23%. Given Caterpillar's stronger consensus rating and higher probable upside, equities analysts plainly believe Caterpillar is more favorable than AGCO.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Caterpillar	0 Sell rating(s)	6 Hold rating(s)	10 Buy rating(s)	2 Strong Buy rating(s)	2.78
AGCO	1 Sell rating(s)	6 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.20

Which has more risk & volatility, CAT or AGCO?

Caterpillar has a beta of 1.38, suggesting that its stock price is 38% more volatile than the S&P 500. Comparatively, AGCO has a beta of 1.24, suggesting that its stock price is 24% more volatile than the S&P 500.

Summary

Caterpillar beats AGCO on 17 of the 20 factors compared between the two stocks.