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Moline, Illinois-based Deere & Company (DE) manufactures and distributes various equipment worldwide. It focuses on revolutionizing agriculture with technology, in an effort to make farming automated, easier, and more precise across the production process. With a market cap of $139.5 billion, Deere operates as the world's largest producer of agricultural equipment.
DE is set to announce its third-quarter results before the markets open on Thursday, Aug. 14. Ahead of the event, analysts expect DE to report a profit of $4.62 per share, down 26.6% from $6.29 per share reported in the year-ago quarter. On a positive note, the company has surpassed the Street’s bottom-line estimates in each of the past four quarters.
For the full fiscal 2025, analysts expect its EPS to come in at $18.84, down 26.5% from $25.62 reported in fiscal 2024. However, in fiscal 2026, its earnings are expected to rebound 16% year-over-year to $21.85 per share.
DE stock prices have soared 39.3% over the past 52 weeks, notably outpacing the S&P 500 Index’s ($SPX) 17.3% surge and the Industrial Select Sector SPDR Fund’s (XLI) 24.6% returns during the same time frame.
Deere’s stock prices gained 3.8% following the release of its better-than-expected Q2 results on May 15. Due to the impact of macroeconomic conditions, the company’s net sales (excluding finance & interest income and other income) plunged 17.9% year-over-year to $11.2 billion. However, this figure surpassed the Street’s projections by a significant margin. Meanwhile, its net income dropped 23.9% year-over-year to $1.8 billion, but its EPS of $6.64 exceeded the consensus estimates by a notable 16.9%.
Moreover, analysts remain optimistic about the stock’s longer-term prospects. DE holds a consensus “Moderate Buy” rating overall. Of the 21 analysts covering the stock, opinions include 11 “Strong Buys,” one “Moderate Buy,” and nine “Holds.” Its mean price target of $548.19 suggests a modest 6.5% upside potential from current price levels.
