AGCO projects its 2013 tractor/combine production about flat compared to 2012 Sees North American industrywide retail tractor sales about flat in 2013. Sees South American industrywide retail tractor sales up 5%-10% and Western Europe sales flat to down 5% compared to 2012. Says targeting 2013 Free Cash Flow of $125M-$150M after increased CapEx of $400M-$425M. Information from slides for Q4 earnings conference call.
AGCO sale to Deere or CNH unlikely, says BofA/Merrill BofA/Merrill said an AGCO (AGCO) sale to Deere (DE) or CNH (CNHI) is unlikely given antitrust factors and a tie-up with Japan's Kubota would face cultural obstacles. The firm raised its price target on Neutral rated AGCO to $58 from $53 to reflect activist investor Blue Harbour's increased stake but said industry fundamentals may still get worse.