AGCO Corporation (AGCO)
Financial leverage ratio
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Total assets | US$ in thousands | 11,421,200 | 11,351,100 | 11,394,000 | 10,811,600 | 10,103,700 | 9,818,100 | 9,888,900 | 9,876,500 | 9,182,100 | 8,941,900 | 8,863,300 | 8,312,300 | 8,504,200 | 7,940,300 | 7,778,000 | 7,705,700 | 7,759,700 | 8,079,200 | 8,415,100 | 8,204,300 |
| Total stockholders’ equity | US$ in thousands | 4,656,700 | 4,355,500 | 4,138,800 | 4,132,700 | 3,882,400 | 3,520,400 | 3,383,200 | 3,674,800 | 3,415,900 | 3,168,800 | 3,138,300 | 3,086,500 | 2,980,000 | 2,809,700 | 2,676,100 | 2,642,100 | 2,853,800 | 2,976,600 | 3,064,700 | 2,955,700 |
| Financial leverage ratio | 2.45 | 2.61 | 2.75 | 2.62 | 2.60 | 2.79 | 2.92 | 2.69 | 2.69 | 2.82 | 2.82 | 2.69 | 2.85 | 2.83 | 2.91 | 2.92 | 2.72 | 2.71 | 2.75 | 2.78 |
December 31, 2023 calculation
Financial leverage ratio = Total assets ÷ Total stockholders’ equity
= $11,421,200K ÷ $4,656,700K
= 2.45
The financial leverage ratio for AGCO Corp. has exhibited some fluctuation over the last eight quarters, ranging from a low of 2.45 in Q4 2023 to a high of 2.92 in Q2 2022. This ratio measures the extent to which the company relies on debt to finance its operations and assets. A higher ratio indicates a higher level of financial risk due to increased debt levels.
The trend in AGCO Corp.'s financial leverage ratio shows some variability, with peaks and troughs observed over the period. The ratio reached its lowest point in Q4 2023, suggesting a relatively lower reliance on debt at that time. Conversely, the ratio peaked in Q2 2022, signifying a higher proportion of debt in the company's capital structure.
It is essential for stakeholders to monitor AGCO Corp.'s financial leverage ratio closely to assess the company's ability to manage debt effectively and sustain its operations. Fluctuations in this ratio may indicate changes in the company's financial health, risk profile, or strategic financing decisions. Further analysis and additional financial metrics are recommended to gain a more comprehensive understanding of AGCO Corp.'s overall financial stability and performance.
Peer comparison
Dec 31, 2023