The company said it now expects to report 2007 profit in the range of $2.10 to $2.20 per share. In July, Agco said it expected to earn $1.55 to $1.60 per share.

Analysts polled by Thomson Financial had been expecting earnings of $1.76 per share, on average.

Agco also said it expects sales to increase 20 percent over last year. Based on 2006 revenue of $5.44 billion, that forecast suggests 2007 revenue of $6.53 billion.

The revised forecast came as the company reported a sharp increase in third-quarter profit, which surged to $76.9 million.

Agco shares jumped $5.38, or 10 percent, to $59.17. Earlier in the session, the stock hit a new high of $61.25.