Deere & Co. (DE, $168.06) beats fiscal Q4 estimates; predicts decline in 2020 agricultural equipment sales
Deere & Co. beat fourth quarter earnings expectations, but warned about a potential slide in construction and agricultural equipment sales in the coming financial year amid trade uncertainty.
The agricultural, construction, and forestry equipment maker’s adjusted earnings for the three months ending in October came in at $2.14 per share, one penny ahead of analysts’ expectations. The figure, however, was -11.6% lower from the year-ago quarter.
Net revenues increased +5% to $9.896 billion, surpassing analysts' forecast of $8.43 billion.
Looking ahead, Deere projects fiscal 2020 full-year agricultural equipment sales to fall between -5% and -10%, and construction equipment sales to decline by as much as -15%.
CEO John May indicated that trade tensions along with a year of challenging growing and harvesting conditions have led to many farmers becoming cautious about making major investments in new equipment. May also added that financial services results have come under pressure due to operating-lease losses.
According to May, general economic conditions have nonetheless remained favorable, thereby supporting demand for smaller equipment. It has helped Deere's construction and forestry business, which had a record year for sales and operating profit.
DE's RSI Indicator ascends from oversold territory
The RSI Oscillator for DE moved out of oversold territory on October 14, 2025. This could be a sign that the stock is shifting from a downward trend to an upward trend. Traders may want to buy the stock or call options. The A.I.dvisor looked at 22 similar instances when the indicator left oversold territory. In of the 22 cases the stock moved higher. This puts the odds of a move higher at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 62 cases where DE's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where DE advanced for three days, in of 325 cases, the price rose further within the following month. The odds of a continued upward trend are .
DE may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on September 19, 2025. You may want to consider selling the stock, shorting the stock, or exploring put options on DE as a result. In of 85 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for DE turned negative on October 10, 2025. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 44 similar instances when the indicator turned negative. In of the 44 cases the stock turned lower in the days that followed. This puts the odds of success at .
The 50-day moving average for DE moved below the 200-day moving average on October 13, 2025. This could be a long-term bearish signal for the stock as the stock shifts to an downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where DE declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for DE entered a downward trend on October 15, 2025. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to outstanding earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 73, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (4.909) is normal, around the industry mean (3.217). P/E Ratio (23.873) is within average values for comparable stocks, (19.171). Projected Growth (PEG Ratio) (1.548) is also within normal values, averaging (2.975). Dividend Yield (0.014) settles around the average of (0.027) among similar stocks. P/S Ratio (2.869) is also within normal values, averaging (143.465).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. DE’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is slightly overvalued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
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General Information
a manufacturer of agricultural, industrial, commercial and consumer equipment
Industry TrucksConstructionFarmMachinery
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