Agco price target lowered to $130 from $135 at JPMorgan

JPMorgan lowered the firm’s price target on Agco to $130 from $135 and keeps an Overweight rating on the shares. The agriculture industry continues to weaken, and Agco is reacting with planned production cuts, underproduction versus retail sales, and restructuring efforts, while investors revisit the “trough” earnings math, the analyst tells investors in a research note. The firm lowered estimates, now assuming the company ends 2024 with production volume at 85% versus mid-cycle and reaching 80% in 2025. It believes Agco’s restructuring program should to help manage the downcycle.