AGCO Analysts Boost Their Forecasts After Better-Than-Expected Q4 Earnings

Core Viewpoint - AGCO Corp. reported better-than-expected fourth-quarter earnings and provided a positive outlook for 2026, indicating progress in becoming a more resilient company in a volatile market [1][2]. Financial Performance - For Q4 2025, AGCO's net sales reached $2.92 billion, a 1.1% increase from the previous year, surpassing the analyst estimate of $2.67 billion. However, excluding a 6.4% favorable currency impact, net sales declined by 5.3% year over year [2]. - Adjusted earnings for Q4 were $2.17 per share, exceeding the analyst estimate of $1.86 and up from $1.97 per share in Q4 2024 [2]. 2026 Outlook - AGCO forecasts adjusted earnings per share for fiscal 2026 to be between $5.50 and $6.00, compared to the analyst estimate of $5.83. The company projects net sales of $10.4 billion to $10.7 billion, above the estimate of $10.072 billion [3]. - The outlook includes considerations for tariffs effective February 5, 2026, and related mitigation strategies, with potential impacts from changes in tariff policies [3]. Stock Performance - Following the earnings announcement, AGCO shares increased by 5.3%, trading at $130.93 [3]. Analyst Ratings - Barclays analyst Adam Seiden maintained an Underweight rating on AGCO, raising the price target from $93 to $105 [5]. - Oppenheimer analyst Kristen Owen maintained an Outperform rating, increasing the price target from $128 to $132 [5]. - BMO Capital analyst Joel Jackson maintained a Market Perform rating, raising the price target from $110 to $115 [5].