Is AGCO Corp. overvalued or undervalued?

As of 3 October 2025, AGCO Corp. has moved from a very expensive valuation grade to fair. Based on the provided metrics, the company appears to be fairly valued. Key ratios include a Price to Book Value of 1.98, an EV to EBITDA of 9.18, and an EV to Sales of 0.92. In comparison, peers such as CNH Industrial NV have a P/E ratio of 19.42 and an EV to EBITDA of 10.28, while BorgWarner, Inc. shows a P/E of 11.57 and an EV to EBITDA of 6.84.
Despite AGCO Corp.'s fair valuation, its recent stock performance has lagged behind the S&P 500, with a 1-year return of 12.85% compared to the index's 17.82%. This suggests that while the company is fairly valued, it may face challenges in outperforming the broader market in the near term.