Agco downgraded to Neutral from Buy at Citi

Citi downgraded Agco (AGCO) to Neutral from Buy with an unchanged price target of $110. The firm thinks Agco’s cycle momentum and precision retrofit demand resilience have now become better understood by the market. Further, Trimble agriculture synergies and the path to Agco reaching its mid-cycle margin targets remains more a “show-me” story, the analyst tells investors in a research note. As such, Citi sees a fairly balanced risk/reward tradeoff at current share levels.