Federal Agricultural Mortgage C (AGM) Stock Price & How to Invest
Last updated July 2026
Short answer
AGM is Federal Agricultural Mortgage Corp, better known as Farmer Mac, a federally chartered government-sponsored enterprise (GSE) that provides a secondary market for agricultural and rural infrastructure loans. It trades as a niche, dividend-paying financial with a GSE funding advantage, low reported valuation multiples, and a business tied to farm credit and rural utility lending cycles.
AGM stock price
As of 2026-07-23, Federal Agricultural Mortgage C (AGM) last closed at $205.47, up 17.8% over the past year. Over the past 52 weeks it has traded between $139.00 and $209.73.
Prices are daily closing prices from Yahoo Finance and may be delayed. For the live quote, check your broker or Federal Agricultural Mortgage C's investor relations page. Walnut is informational, not investment advice.
What does Federal Agricultural Mortgage C (AGM) do?
Federal Agricultural Mortgage Corp (Farmer Mac) is a stockholder-owned, federally chartered corporation created under the Agricultural Credit Act to increase the flow of credit to American agriculture and rural infrastructure. It operates a secondary market across four lines of business (Farm and Ranch, USDA Guarantees, Rural Utilities, and Institutional Credit), buying, guaranteeing, and securitizing loans that regional banks and Farm Credit System institutions originate. Its GSE status lets it fund itself at yields only a few basis points over Treasuries, a structural advantage over private lenders that underpins its net interest spread.
The investment picture centers on steady volume growth, a wide-moat funding cost, and shareholder returns via a long-standing and growing dividend. Farmer Mac reported record Q1 2026 results with roughly $34.8 billion in outstanding business volume (up about 17% year over year) and record revenue, and management has laid out a target of $50 billion to $55 billion in volume by 2030. Against that, the company is a narrow single-sector lender exposed to farm income cycles, commodity prices, land values, credit losses, and interest-rate spread compression, and it carries the political and regulatory sensitivities that come with any GSE.
What's driving Federal Agricultural Mortgage C (AGM)?
1. GSE funding advantage
Farmer Mac's federally chartered status lets it issue debt at only a few basis points over Treasuries (roughly 4 bps on 5-year and 14 bps on 10-year notes in recent auctions). That low cost of funds, estimated at 50 to 100 basis points cheaper than private competitors, is the structural driver behind its net effective spread, which averaged around 120 basis points in 2025.
2. Volume growth and diversification
Outstanding business volume reached about $34.8 billion in Q1 2026, up roughly 17% year over year, with growth spread across farm, USDA guarantee, rural utility, and institutional credit segments. Management targets $50 billion to $55 billion by 2030, implying an 8% to 11% compound growth rate. Expansion into broadband, power, utilities, and renewable energy infrastructure widens the addressable market beyond traditional farm lending.
3. Earnings and capital returns
Q1 2026 core earnings hit a record of about $52 million ($4.74 per diluted share), and the company has raised its dividend for well over a decade. Management guides to 10% to 12% revenue growth with an expense ratio around 28% to 30%, pointing to operating leverage as volume scales.
4. Rural infrastructure pivot
Farmer Mac has been reinventing itself from a pure farm-mortgage GSE into a broader rural finance platform, adding power, utility, broadband, and renewable-energy exposure. This diversification aims to smooth the cyclicality of pure agricultural lending and tap secular investment in rural infrastructure.
What are the risks to Federal Agricultural Mortgage C (AGM)?
Farmer Mac is a narrow single-sector lender, so its credit quality is directly tied to farm income, commodity prices, and farmland values, all of which can deteriorate sharply in downturns. Non-accrual assets totaled roughly $238 million (about 1.4% of loans) at year-end 2025, a level that could rise in a stressed agricultural cycle. Net effective spread can compress if funding advantages narrow or asset-liability matching falters, and the stock touched a 52-week low in late 2025 amid agricultural-sector headwinds. As a GSE, it carries political and regulatory risk, including scrutiny of its mission, risk management, and public purpose. A CEO transition and execution risk on the 2030 volume targets add further uncertainty.
How is Federal Agricultural Mortgage C (AGM) valued? (approximate, July 2026)
A simple financial snapshot. These are approximations and refresh quarterly; for current figures see Federal Agricultural Mortgage C's investor relations page or your broker.
- Revenue (TTM): ~$420M
- Q1 2026 revenue: ~$109.9M (up ~14% YoY)
- Q1 2026 diluted EPS: ~$4.75
- Outstanding business volume: ~$34.8B
- Market cap: ~$1.6B
- P/E (TTM): ~11-12x
- Dividend yield: ~3.1-3.5%
Farmer Mac trades at a modest P/E of roughly 11 to 12 times trailing earnings, low for a GSE with double-digit volume growth and a wide funding moat. The dividend has been raised for many consecutive years and yields around 3.1% to 3.5%. Q1 2026 delivered record revenue and core earnings, though the small market cap (around $1.6 billion) and single-sector concentration keep it a niche financial.
Who competes with Federal Agricultural Mortgage C (AGM)?
Agricultural lenders and the Farm Credit System
The Farm Credit System and regional agricultural banks originate the loans Farmer Mac buys and securitizes, but they also compete for the same borrowers. Because both Farmer Mac and the FCS are single-sector lenders, their capacity to provide liquidity can be strained during periods of farm financial stress.
Government-sponsored enterprises and secondary-market peers
As a GSE, Farmer Mac is conceptually similar to housing-finance GSEs like Fannie Mae and Freddie Mac in structure (private capital, public sponsorship, secondary-market liquidity), though it serves agriculture and rural infrastructure rather than housing.
Rural infrastructure and utility financiers
In its newer power, utility, broadband, and renewable-energy lines, Farmer Mac competes with cooperative and specialty rural infrastructure lenders such as CoBank and the National Rural Utilities Cooperative Finance Corporation.
How to invest in Federal Agricultural Mortgage C (AGM)
There are three common ways to get AGM exposure. Buy shares (or fractional shares) directly at any major broker. Hold an ETF that includes it, which spreads the position across many companies. Or build it into a focused thematic basket, so AGM sits alongside other stocks that express the same thesis.
Walnut takes the basket route. Describe a thesis where AGM fits (for example “AI infrastructure” or “dividend-growth large-caps”) and the AI proposes 5 to 6 constituents with target weights. You review the plan and fund it through your own broker when you're ready.
New to this? Start with how to invest in stocks, see how to analyze a stock with AI, or compare the best AI stock analyzers.
The bottom line on Federal Agricultural Mortgage C (AGM)
Farmer Mac is a small-cap GSE with a durable funding edge and steady volume growth, but its fortunes are tethered to agricultural credit health, interest-rate spreads, and its narrow single-sector mandate.
More on Federal Agricultural Mortgage C (AGM)
Whether AGM is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, what would have to go right, and the risks in is AGM a buy?, and where the stock could go from here in the AGM stock forecast.
For income investors, whether AGM pays a dividend and how the payout looks is covered in does AGM pay a dividend?
Build a basket around AGM with Walnut
Use Federal Agricultural Mortgage C as one constituent in a thematic basket Walnut's AI helps you assemble. Describe a thesis you believe in, the AI proposes the holdings and weights, and you approve before any broker order.
FAQ
What does Farmer Mac (AGM) actually do?
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Farmer Mac is a federally chartered, stockholder-owned government-sponsored enterprise that operates a secondary market for agricultural and rural infrastructure loans. It buys, guarantees, and securitizes loans originated by banks and the Farm Credit System, providing liquidity across farm, USDA guarantee, rural utility, and institutional credit segments.
Is AGM a government-sponsored enterprise (GSE)?
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Yes. Farmer Mac was created under the Agricultural Credit Act as a GSE that combines private capital with public sponsorship. Its GSE status lets it issue debt at yields only a few basis points over Treasuries, a meaningful funding-cost advantage over private lenders.
How did Farmer Mac perform in Q1 2026?
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Farmer Mac reported record Q1 2026 results, with revenue of about $109.9 million (up roughly 14% year over year), diluted EPS near $4.75, and core earnings around $52 million. Outstanding business volume reached about $34.8 billion, up roughly 17% year over year.
Does AGM pay a dividend?
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Yes. Farmer Mac pays a quarterly common dividend and has raised it for many consecutive years, with a yield of roughly 3.1% to 3.5% as of mid-2026. It also has several series of preferred stock outstanding that pay separate dividends.
What are the main risks of investing in AGM?
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Key risks include its narrow single-sector exposure to agriculture, sensitivity to farm income, commodity prices, and farmland values, potential credit losses in downturns, net-interest-spread compression, and political or regulatory risk tied to its GSE status. The stock touched a 52-week low in late 2025 during agricultural-sector headwinds.
How is Farmer Mac valued relative to earnings?
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As of July 2026 AGM traded at roughly 11 to 12 times trailing earnings, a modest multiple for a company with double-digit volume growth and a structural funding advantage. Its market cap sits around $1.6 billion, keeping it a small-cap financial.
Who competes with Farmer Mac?
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Its closest peers and counterparties are the Farm Credit System and regional agricultural banks, which both originate loans it buys and compete for borrowers. In rural infrastructure it competes with cooperative lenders like CoBank and CFC, and it shares the GSE structure with housing-finance entities such as Fannie Mae and Freddie Mac.
What is Farmer Mac's growth strategy?
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Management targets scaling outstanding business volume to $50 billion to $55 billion by 2030 (roughly 8% to 11% annual growth), with 10% to 12% revenue growth and disciplined expenses. A central theme is diversifying beyond traditional farm lending into rural infrastructure, including broadband, power, utilities, and renewable energy.
Walnut is informational, not investment advice. Financial figures on this page are approximations; always verify current numbers with Federal Agricultural Mortgage C's investor relations page or your broker before making investment decisions.