|AGCO Overview
AGCO

AGCO CORP /DE

Industrials • CIK: 0000880266

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Market Cap
$7.76B
P/E (TTM)
10.7x
Rev Growth (TTM)
+14.3%
Net Margin (TTM)
7.2%
FCF Yield (TTM)
9.5%
FCF Margin (TTM)
7.3%

LATEST EARNINGS

Q4 2025
29 days ago
View source
Revenue
$2.92B
+1.1%
Net Income
$161.60M
EPS
$1.30
Gross
25.4% +1.5%
Operating
7.9% +17.2%
Net
3.3% +12.1%
  • Fourth quarter net sales increased 1.1% to $2.9 billion, with Europe/Middle East showing strong growth of 7.9%.
  • Record free cash flow of $740 million, representing 188% free cash flow conversion, indicating strong working capital management.
  • Full-year adjusted operating margin of 7.7% nearly doubled from the previous cycle's bottom.
  • Grew global market share, including largest-ever share gains in North American large ag.

Cash Flow Health

Free Cash Flow5/8 positive
TTM$740M
Q4 '25
$675M+32043%
Q3 '25
$2M-99%
FCF Margin
TTM7.3%
Q4 '2523.1%+27157%
Sector: 5.4%Above Avg
OCF Margin9.8%
OCF/NI1.36x
CapEx Coverage4.0x
FCF Yield9.5%
FCF Growth (2Y)+18%
Cash Conversion Cycle
96 days
DSO: 0+DIO: 144DPO: 48

Capital Allocation & Returns

Growth Focused
Total Shareholder YieldFY
FY1.1%
Div Yield1.1%
+
Buyback (FY)3.2%

Prioritizing reinvestment over distributions

Dividend & Payout Metrics
Dividend Yield (TTM)1.1%
FCF Payout Ratio11.7%
Free Cash Flow (TTM)$740.2M
Stock Repurchases (FY)$250.0M
Capital Return / FCF11.7%
Est. Dividends Paid (TTM)$86.3M
Shows how management rewards shareholders

Operational Efficiency & Returns

Return on Invested CapitalTTM
9.7%
Volatile
+19.1%
P25MedianP75
75th pctl (med: 0.1%)
DuPont BreakdownROIC = Margin × Turn × (1+D/E)
NOPAT Margin
6.7%
8Q: 4.7%
Asset Turnover
0.84x
8Q: 0.84x
Leverage (1+D/E)
1.57x
D/E: 0.57x
DuPont: 8.8%9.7% ROIC
Asset & CapEx Efficiency
Fixed Asset Turn
5.22x
8Q:5.57x
-374.7%
Invested Cap Turn
1.56x
8Q:1.55x
-37.1%
CapEx Intensity
3.8%
8Q:5.1%
CapEx/Depreciation
0.97x
Asset-based ROIC formula

QUARTERLY TRENDS

Last 8 quarters + TTM

MetricTTMQ4 2025Q3 2025Q2 2025Q1 2025Q4 2024Q3 2024Q2 2024Q1 2024
Revenue
$10.1B
$2.9B17.9%
$2.5B6.0%
$2.6B28.5%
$2.1B4067.7%
$49.2M98.1%
$2.6B19.9%
$3.2B10.9%
$2.9B
Operating Income
$595.7M
$230.7M52.2%
$151.6M7.6%
$164.0M232.0%
$49.4M118.4%
$-268.8M334.1%
$114.8M147.5%
$-241.7M188.3%
$273.6M
Net Income
$726.5M
$95.5M68.8%
$305.7M2.9%
$314.8M2898.1%
$10.5M103.2%
$-329.6M1198.7%
$30.0M108.2%
$-367.1M318.5%
$168.0M
Operating Cash Flow
$988.1M
$763.6M975.5%
$71.0M80.6%
$365.7M272.3%
$-212.2M126.6%
$797.9M2910.9%
$26.5M88.7%
$235.5M163.6%
$-370.0M
Free Cash Flow
$740.2M
$675.0M32042.9%
$2.1M99.4%
$323.5M224.2%
$-260.4M138.1%
$683.9M1243.6%
$-59.8M143.5%
$137.5M129.6%
$-465.0M
Total Equity
N/A

Valuation Analysis

Fair Value
Price-to-EarningsTTM
10.7x
Volatile
8Q: 40.4x+3641%
Valuation Lenses
Earnings
10.7x
vs sector
Cash Flow
13.3x
EV/FCF vs
Growth-Adj
0.7xPEG
Undervalued for growth
Quality-Adj
1.1P/E per %ROIC
ROIC: 9.7%
Shareholder Returns
Dividend
1.1%
Buyback
Total Yield
1.1%
Market Cap$7.76B
EV$9.84B
Multi-angle valuation analysis with sector context

Business Quality & Moat

Overall Quality Score
63/100
High Quality

Composite score: Returns (40%) + Consistency (30%) + Earnings Quality (30%)

Returns on Capital

Return on Equity (ROE)Above Avg
17.6%
8Q:
Return on Invested Capital (ROIC)Top 25%
9.7%
8Q:
+19.1%
vs Sector:0.1%

DuPont Analysis (ROIC = NOPAT Margin × Asset Turnover)

NOPAT Margin: 6.7%
Asset Turnover: 0.84x

Earnings Quality

Cash Conversion

1.36x

OCF / Net Income

FCF Consistency

Positive quarters

Competitive Moat Indicators

Pricing Power

Gross Margin25.5%

Capital Efficiency

Invested Capital Turnover1.56x

Working Capital

Cash Conversion Cycle96 days

Growth Quality & Momentum

Moderate Growth
Growth Quality Score
73/100
Growth 40%
Margins 30%
FCF 20%
Consistency 10%

Growth Rates

Revenue Growth YoY
14.3%
OpInc Growth YoY
185.8%
EPS Growth YoY
N/A
FCF 3Y CAGR
18.1%

Growth Quality Analysis

Sustainability Index: 7.5/10 - Highly sustainable growth

Margin Quality & Sustainability

High Quality
Profitability Cascade
Gross
25.5%
Operating
5.9%
Below Avg in sector
Net
7.2%
Margins Unknown
Earnings Quality Signals
SBC / Revenue
FCF vs Net Gap
+0.1 pts
FCF: 7.3% | Net: 7.2%

Quality = stability + cash conversion + low dilution

Balance Sheet & Solvency

Adequate
Net Debt / EBITDA
Net Debt: $1.58B
Interest Coverage
Leverage Metrics
Debt-to-Equity
0.57x
Balance sheet risk & solvency analysis