Sifting through countless of stocks in the Machinery industry can be tedious, and sometimes two stocks are just too similar to judge which is the better investment. If you’re on the fence about investing in Caterpillar Inc. or AGCO Corporation because you’re not sure how they measure up, it’s important to compare them on a few factors before making your decision.
Read on to learn how Caterpillar Inc. and AGCO Corporation compare based on key financial metrics to determine which better meets your investment needs.
About Caterpillar Inc. and AGCO Corporation
Caterpillar Inc. manufactures and sells construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives in the United States and internationally. Its Construction Industries segment offers asphalt pavers, cold planers, compactors, forestry machines, material handlers, motor graders, pipelayers, road reclaimers, telehandlers, track-type tractors, and track and wheel excavators; compact track, wheel, track-type, backhoe, and skid steer loaders; and related parts and tools. The company’s Resource Industries segment provides electric rope and hydraulic shovels, draglines, rotary drills, hard rock vehicles, tractors, mining trucks, wheel loaders, off-highway and articulated trucks, wide-body trucks, wheel tractor scrapers and dozers, fleet management products, landfill and soil compactors, machinery components, autonomous ready vehicles and solutions, work tools, and safety services and mining performance solutions, as well as related parts and services. Its Energy & Transportation segment offers reciprocating engine powered generator sets; reciprocating engines, drivetrain, and integrated systems and solutions; turbines, centrifugal gas compressors, and related services; and diesel-electric locomotives and components, and other rail-related products. The company’s Financial Products segment provides operating and finance leases, installment sale contracts, revolving charge accounts, repair/rebuild financing services, working capital loans, and wholesale financing; and insurance and risk management products and services. Its All Other segment offers wear and maintenance components; parts distribution; logistics solutions and distribution services; dealer portfolio management, and brand management and marketing strategy services; and digital investment services. The company also develops and provides mining software solutions. Caterpillar Inc. was founded in 1925 and is headquartered in Irving, Texas.
AGCO Corporation manufactures and distributes agricultural equipment and replacement parts worldwide. It offers horsepower tractors for row crop production, soil cultivation, planting, land leveling, seeding, and commercial hay operations; utility tractors for small- and medium-sized farms, as well as for dairy, livestock, orchards, and vineyards; and compact tractors for small farms, specialty agricultural industries, landscaping, equestrian, and residential uses. The company also provides grain storage bins and related drying and handling equipment systems; seed-processing systems; swine and poultry feed storage and delivery; ventilation and watering systems; and egg production systems and broiler production equipment. In addition, it offers round and rectangular balers, loader wagons, self-propelled windrowers, forage harvesters, disc mowers, spreaders, rakes, tedders, and mower conditioners for harvesting and packaging vegetative feeds used in cattle, dairy, horse, and renewable fuel industries. Further, the company provides implements, including disc harrows leveling seed beds and mixing chemicals with the soils; heavy tillage to break up soil and mix crop residue into topsoil; field cultivators that prepare smooth seed bed and destroy weeds; drills for small grain seeding; planters and other planting equipment; and loaders. Additionally, it offers combines for harvesting grain crops, such as corn, wheat, soybeans, and rice; and application equipment, such as self-propelled, three- and four-wheeled vehicles, and related equipment for liquid and dry fertilizers and crop protection chemicals, and for after crops emerge from the ground, as well as produces diesel engines, gears, and generating sets. The company markets its products under the Fendt, Massey Ferguson, PTx, and Valtra brands through a network of independent dealers and distributors. AGCO Corporation was founded in 1990 and is headquartered in Duluth, Georgia.
Latest Machinery and Caterpillar Inc., AGCO Corporation Stock News
As of February 10, 2026, Caterpillar Inc. had a $347.4 billion market capitalization, compared to the Machinery median of $4.0 million. Caterpillar Inc.’s stock is up 34.5% in 2026, up 11.4% in the previous five trading days and up 104.02% in the past year.
Currently, Caterpillar Inc.’s price-earnings ratio is 38.1. Caterpillar Inc.’s trailing 12-month revenue is $64.7 billion with a 13.1% net profit margin. Year-over-year quarterly sales growth most recently was 9.5%. Analysts expect adjusted earnings to reach $22.727 per share for the current fiscal year. Caterpillar Inc. currently has a 0.8% dividend yield.
As of February 10, 2026, AGCO Corporation had a $10.1 billion market cap, putting it in the 78th percentile of all stocks. AGCO Corporation’s stock is up 30.8% in 2026, up 12.2% in the previous five trading days and up 35.8% in the past year.
Currently, AGCO Corporation’s price-earnings ratio is 27.0. AGCO Corporation’s trailing 12-month revenue is $10.0 billion with a 7.2% net profit margin. Year-over-year quarterly sales growth most recently was -4.7%. Analysts expect adjusted earnings to reach $5.899 per share for the current fiscal year. AGCO Corporation currently has a 0.9% dividend yield.
How We Compare Caterpillar Inc. and AGCO Corporation Stock Grades
Stock evaluation requires access to huge amounts of data and the knowledge and time to sift through it all, make sense of financial ratios, read income statements and analyze recent stock movements. AAII created A+ Investor, a robust data suite that condenses data research in an actionable and customizable way suitable for investors of all knowledge levels, to help investors streamline and work through such data.
AAII’s proprietary stock grades come with A+ Investor. These offer intuitive A‐F grades for each of five key investing factors: value, growth, momentum, earnings estimate revisions and quality. Here, we’ll take a closer look at Caterpillar Inc. and AGCO Corporation’s stock grades to see how they measure up against one another.
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Caterpillar Inc. and AGCO Corporation Growth Grades
| Company | Ticker | Growth |
| Caterpillar Inc. | CAT | C |
| AGCO Corporation | AGCO | A |
The foundation of growth investing is seeking out stocks of companies exhibiting strong, consistent and prolonged growth that is expected to continue into the future.
In order to compute the growth score and assign it a letter grade, the percentile ranks for each of three components‐consistency of annual sales growth, five-year sales growth rankings adjusted for extreme levels, and consistency of positive annual cash from operations‐must be determined. These three rank figures are added together, and the sum is ranked against the entire stock universe to arrive at a company’s Growth Score to create an equal distribution of grades.
The companies in the bottom 20% of the stock universe receive Growth Grades of F, considered to be very weak, while those in the top 20% receive A grades, which are considered very strong.
Caterpillar Inc. has a Growth Score of 59, which is Average.
AGCO Corporation has a Growth Score of 97, which is Very Strong.
The Growth Grade Winner: AGCO Corporation
As you can clearly see from the Growth Grade breakdown above, AGCO Corporation has a more attractive growth grade than Caterpillar Inc.. For investors who focus solely on how a company is growing relative to other companies in the same industry, AGCO Corporation could be a good stock to add to their portfolio. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
Caterpillar Inc. and AGCO Corporation’s Momentum Grades
| Company | Ticker | Momentum |
| Caterpillar Inc. | CAT | A |
| AGCO Corporation | AGCO | B |
Momentum grades help to uncover stocks experiencing anomalously high rates of return; research finds that stocks with high relative levels of momentum tend to outperform, whereas those with low levels of momentum tend to continue underperforming. Momentum is based on the price change of a stock over a specified period relative to all other stocks.
Typically, AAII looks at the weighted relative strength over the trailing four quarters. The weighted four-quarter relative strength rank is the relative price change for each of the past four quarters. The most recent quarterly price change is given a weight of 40% and each of the three previous quarters are given a weighting of 20%.
Caterpillar Inc. has a Momentum Score of 88, which is Very Strong.
AGCO Corporation has a Momentum Score of 76, which is Strong.
The Momentum Grade Winner: Caterpillar Inc.
As you can clearly see from the Momentum Grade breakdown above, Caterpillar Inc. is considered to have stronger momentum compared to AGCO Corporation. For those specifically looking for companies that have stronger momentum compared to other companies in the same industry, Caterpillar Inc. could be a good stock to invest in. However, it’s important for investors to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
Caterpillar Inc. and AGCO Corporation’s Estimate Revisions Grades
| Company | Ticker | Earnings Estimate |
| Caterpillar Inc. | CAT | B |
| AGCO Corporation | AGCO | C |
Earnings estimate revisions scores consider the magnitude of a company’s earnings surprise in its last two reported fiscal quarters. Often, positive surprises beget further positive surprises‐or at least continued sales growth (the exact opposite is generally true, too).
Estimate revisions offer an indication of what analysts are thinking about the short-term prospects of a firm. Estimate revisions are based on the statistical significance of a firm’s last two quarterly earnings surprises and the percentage change in its consensus estimate for the current fiscal year over the past month and past three months.
Caterpillar Inc. has a Earnings Estimate Score of 71, which is Positive.
AGCO Corporation has a Earnings Estimate Score of 43, which is Neutral.
The Earnings Estimate Revisions Grade Winner: Caterpillar Inc.
As you can clearly see from the Earnings Estimate Revisions Grade breakdown above, Caterpillar Inc. has a better Earnings Estimate Revisions Grade than AGCO Corporation. For those who are specifically looking for companies with better short-term prospects when compared to other companies in the same industry, Caterpillar Inc. could be a good stock to invest in. However, it’s important to analyze multiple factors based on a wide range of metrics before deciding whether to buy.
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Other Caterpillar Inc. and AGCO Corporation Grades
In addition to Growth, Momentum and Estimate Revisions, A+ Investor also provides grades for Value and Quality.
Successful stock investing involves buying low and selling high, so stock valuation is an important consideration for stock selection. Buying stocks that are going to go up typically means buying stocks that are undervalued in the first place, although momentum investors may argue that point.
AAII’s A+ Investor Quality Grade comes from the ranking of key metrics. Specifically, the quality grade is the percentile rank of the composite of return on assets (ROA), return on invested capital (ROIC), gross profit relative to assets, buyback yield, change in total liabilities to assets, accruals, Z double prime bankruptcy risk (Z) score and F-Score.
These 2 key factors, when combined with the above, provide a holistic view into a particular stock. Further, by joining A+ Investor you can see whether Caterpillar Inc. and AGCO Corporation pass any of our 60+ stock screens that have outperformed the market since their creation.
So, Which Is the Better Investment, Caterpillar Inc. or AGCO Corporation Stock?
Overall, Caterpillar Inc. stock has a Growth Score of 59, Momentum Score of 88 and Estimate Revisions Score of 71.
AGCO Corporation stock has a Growth Score of 97, Momentum Score of 76 and Estimate Revisions Score of 43.
Comparing Caterpillar Inc. and AGCO Corporation’s grades, scores and metrics can act as a solid basis to determine whether they may be a good investment or not. You’ll also want to look at your portfolio’s asset allocation as well as your risk tolerance and financial goals to see if either of these stocks would make a good fit for you. AAII can help you figure out which investments align with your individual needs and preferences.
Investors are encouraged to do their own due diligence and research. In this way, individuals can effectively become managers of their own assets‐without having to rely on others for financial independence. You can count on AAII for timeless articles on financial planning and stock-picking, unbiased research and actionable analysis.
A+ Investor adds to our qualitative teaching with a powerful data suite to help you whittle down investment choices to find stocks, exchange-traded funds (ETFs) or mutual funds that meet your needs.
AAII Disclaimer
We make no representations or warranties that any investor will, or is likely to, achieve profits similar to those shown, because past, hypothetical or simulated performance is not necessarily indicative of future results. Before making an investment decision, you should consider your circumstances and whether the information on our content is applicable to your situation. This information was prepared in good faith, and we accept no liability for any errors or omissions. The full disclaimer can be read here.
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