Deere reported net income for the quarter ending Oct. 30 of $7.44 a share, which surpassed the FactSet consensus of $7.11 a share. Earnings were $4.12 a share in the year-ago quarter.
Total revenue climbed +37.2% year-over-year to $15.54 billion, well above Wall Street expectations of $14.40 billion (according to FactSet). Price realization was positive by about 19 percentage points, thereby offsetting a three-point adverse impact from a higher U.S. dollar.
Operating profit as a percentage of revenue rose to 18.6% from 14.2%.
For full year 2023, the company expects sales for its largest production and precision agriculture segment to grow 15-20%, and that for small agriculture and turf sales to be flat to up 5%, and for construction and forestry to increase about 10%. Consensus expectations for production and precision agriculture is + 13.4%, small agriculture and turf is a decrease of -0.5% ,and for construction and forestry is grow 6.1%.
Moving lower for three straight days is viewed as a bearish sign. Keep an eye on this stock for future declines. Considering data from situations where DE declined for three days, in of 264 cases, the price declined further within the following month. The odds of a continued downward trend are .
The 10-day RSI Indicator for DE moved out of overbought territory on April 12, 2024. This could be a bearish sign for the stock. Traders may want to consider selling the stock or buying put options. Tickeron's A.I.dvisor looked at 39 similar instances where the indicator moved out of overbought territory. In of the 39 cases, the stock moved lower in the following days. This puts the odds of a move lower at .
The Momentum Indicator moved below the 0 level on April 12, 2024. You may want to consider selling the stock, shorting the stock, or exploring put options on DE as a result. In of 90 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 April 12, 2024. 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 50 similar instances when the indicator turned negative. In of the 50 cases the stock turned lower in the days that followed. This puts the odds of success at .
The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 63 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 .
The 10-day moving average for DE crossed bullishly above the 50-day moving average on March 20, 2024. This indicates that the trend has shifted higher and could be considered a buy signal. In of 13 past instances when the 10-day crossed above the 50-day, the stock continued to move higher over the following month. 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 336 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.
The Aroon Indicator entered an Uptrend today. In of 280 cases where DE Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
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 71, placing this stock better than average.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very 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 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 Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly overvalued 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: DE's P/B Ratio (5.097) is slightly higher than the industry average of (2.077). P/E Ratio (11.779) is within average values for comparable stocks, (24.607). Projected Growth (PEG Ratio) (2.316) is also within normal values, averaging (2.737). Dividend Yield (0.014) settles around the average of (0.055) among similar stocks. P/S Ratio (1.957) is also within normal values, averaging (118.379).
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average 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 average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
a manufacturer of agricultural, industrial, commercial and consumer equipment
Industry TrucksConstructionFarmMachinery