AGCO Corporation (AGCO)vsInternational Business Machines (IBM)
AGCO
AGCO Corporation
$117.34
-0.31%
INDUSTRIALS · Cap: $8.52B
IBM
International Business Machines
$229.76
-0.67%
TECHNOLOGY · Cap: $217.40B
Smart Verdict
WallStSmart Research — data-driven comparison
International Business Machines generates 564% more annual revenue ($68.91B vs $10.37B). IBM leads profitability with a 15.6% profit margin vs 7.4%. AGCO appears more attractively valued with a PEG of 1.12. AGCO earns a higher WallStSmart Score of 71/100 (B).
AGCO
Strong Buy71
out of 100
Grade: B
IBM
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-20.5%
Fair Value
$114.95
Current Price
$117.34
$2.39 premium
Margin of Safety
-28.7%
Fair Value
$178.54
Current Price
$229.76
$51.22 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Attractively priced relative to earnings
Earnings expanding 441.9% YoY
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Generating 4.8B in free cash flow
Areas to Watch
7.4% margin — thin
Operating margin of 3.9%
Negative free cash flow — burning cash
Expensive relative to growth rate
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : AGCO
The strongest argument for AGCO centers on P/E Ratio, EPS Growth, Price/Book. Revenue growth of 14.3% demonstrates continued momentum. PEG of 1.12 suggests the stock is reasonably priced for its growth.
Bull Case : IBM
The strongest argument for IBM centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 15.6% and operating margin at 13.8%.
Bear Case : AGCO
The primary concerns for AGCO are Profit Margin, Operating Margin, Free Cash Flow.
Bear Case : IBM
The primary concerns for IBM are PEG Ratio, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.06 is elevated, increasing financial risk.
Key Dynamics to Monitor
AGCO profiles as a value stock while IBM is a mature play — different risk/reward profiles.
AGCO carries more volatility with a beta of 1.12 — expect wider price swings.
AGCO is growing revenue faster at 14.3% — sustainability is the question.
IBM generates stronger free cash flow (4.8B), providing more financial flexibility.
Bottom Line
AGCO scores higher overall (71/100 vs 60/100) and 14.3% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
AGCO Corporation
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
AGCO Corporation manufactures and distributes agricultural equipment and related spare parts worldwide. The company is headquartered in Duluth, Georgia.
Visit Website →International Business Machines
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the Computing-Tabulating-Recording Company (CTR) and was renamed International Business Machines in 1924. IBM is incorporated in New York. IBM produces and sells computer hardware, middleware and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is also a major research organization, holding the record for most annual U.S. patents generated by a business (as of 2020) for 28 consecutive years. Inventions by IBM include the automated teller machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, the SQL programming language, the UPC barcode, and dynamic random-access memory (DRAM). The IBM mainframe, exemplified by the System/360, was the dominant computing platform during the 1960s and 1970s.
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