MOLINE, Ill., April 30, 2025 /PRNewswire/ -- Deere & Company (NYSE: DE) will hold its second quarter 2025 earnings call on Thursday, 15 May, beginning at 9:00 a.m. central time. During the call, the company's financial and operating performance will be discussed with analysts, investors and other members of the financial community.The earnings call can be accessed at www.JohnDeere.com/earnings. The recorded call will be available on the Deere website for a period of time afterward.  The Deere earnings relea ...

The latest trading session saw Deere (DE) ending at $460.64, denoting a +0.1% adjustment from its last day's close. The stock trailed the S&P 500, which registered a daily gain of 0.58%. Meanwhile, the Dow experienced a rise of 0.75%, and the technology-dominated Nasdaq saw an increase of 0.55%.Shares of the agricultural equipment manufacturer witnessed a loss of 1.95% over the previous month, beating the performance of the Industrial Products sector with its loss of 3.25% and underperforming the S&P 500's ...

Deere (DE) is one of the stocks most watched by Zacks.com visitors lately. So, it might be a good idea to review some of the factors that might affect the near-term performance of the stock.Shares of this agricultural equipment manufacturer have returned -3.2% over the past month versus the Zacks S&P 500 composite's -4.8% change. The Zacks Manufacturing - Farm Equipment industry, to which Deere belongs, has lost 4% over this period. Now the key question is: Where could the stock be headed in the near term?A ...

Core Insights - Dovetail Workwear and John Deere are collaborating to create a workwear collection specifically for women in agriculture, highlighting the importance of women's contributions in this sector [1][4][5] - The collection was developed with input from female farmers, ensuring that their needs are met in terms of fit, performance, and durability [3][5] - The launch of the John Deere x Dovetail Workwear collection is set for April 2, 2025, and will be available online and in Canada [5] Company Overview - Dovetail Workwear, founded in 2018, is the largest exclusively women's workwear brand in the northern hemisphere, focusing on eco-conscious fabrics and inclusive sizing [6] - John Deere has a long history in agriculture and continues to innovate across various sectors, including construction and forestry [7] Industry Context - Women represent a significant force in agriculture, with 36% of all U.S. farmers being women and 56% of farms having women as producers and decision-makers [8]

Group 1: AI Stock Overview - Many top AI stocks have seen significant gains, leading to high valuations that may deter risk-averse investors [1] - Not all AI stocks are valued solely on future potential; some companies are currently profitable and leveraging AI effectively [2] Group 2: Deere & Company - Deere is involved in industrial AI, developing autonomous vehicle technology to address labor shortages in agriculture and construction [3][4] - The company has introduced several autonomous machines, including tractors and dump trucks, managed through its cloud-based platform [4] - Deere's domestic revenue is primarily generated from U.S.-manufactured equipment, which may protect it from trade conflicts [5][6] - Despite a dip in earnings and sales, Deere's P/E ratio is reasonable at 20.9, and it offers a growing dividend yield of 1.4% [7][9] Group 3: GE Healthcare Technologies - GE Healthcare is transitioning from an imaging company to a healthcare solutions provider by integrating AI into its products [10][11] - The company has increased its AI-enabled FDA authorizations significantly, enhancing its diagnostic capabilities [12] - AI is central to GE Healthcare's precision healthcare strategy, allowing for personalized medical solutions [13] - The stock trades at 18 times estimated earnings for 2025, indicating good value given its growth prospects [14] Group 4: Samsara - Samsara, while not widely recognized in AI discussions, is leveraging AI to enhance operational safety and efficiency [15][16] - The company is innovating with AI tools for dynamic monitoring and proactive maintenance, addressing labor shortages [17] - Despite being unprofitable with a net loss per share of $0.28, Samsara has shown growth with $1.46 billion in annual recurring revenue, a 32% increase year-over-year [17]

Group 1: Stock Performance - Deere & Company (DE) shares have gained 11.5% year to date, outperforming the Zacks Manufacturing - Farm Equipment industry's 10.6% growth, while the broader Zacks Industrial Products sector has declined 5.1% and the S&P 500 slipped 4.1% [1] Group 2: Recent Financial Performance - DE has reported year-over-year decreases in sales and earnings for the past five consecutive quarters, with a 48.8% plunge in the first quarter of fiscal 2025 and equipment sales down 35.1% [2][3] - Agricultural and Turf equipment sales decreased by 34% in the quarter, with volumes falling 35%, while the Construction and Forestry segment saw a 38% decline in sales [3] Group 3: Market Conditions - The U.S. Department of Agriculture forecasts a 29.5% year-over-year increase in net farm income to $180.1 billion for 2025, following declines in 2023 and 2024, driven mainly by a $33.1 billion increase in direct government farm payments [4] - Total crop receipts are expected to decrease by 2.3% from 2024 levels due to lower prices for soybeans and corn, which may negatively impact demand for new farming equipment [5] Group 4: Future Outlook - DE anticipates net sales for Production and Precision Agriculture to decline by 15-20% year over year in fiscal 2025, with Small Agriculture and Turf sales expected to drop by 10% [6] - The company expects net income for fiscal 2025 to be between $5 billion and $5.5 billion, significantly lower than the $7.1 billion reported in fiscal 2024 [7] Group 5: Analyst Sentiment - Analysts are losing confidence in DE stock, as indicated by downward earnings estimate revisions for fiscal 2025 and 2026, with a consensus estimate suggesting a year-over-year decline of 24.7% for fiscal 2025 [8][9] Group 6: Valuation Concerns - DE is currently trading at a forward 12-month Price/Earnings ratio of 23.29X, which is a 7% premium to the industry's 21.84X and higher than DE's five-year median of 15.79X, indicating a stretched valuation [11][12] Group 7: Long-Term Growth Factors - Increased global demand for food, driven by population growth and rising living standards, is expected to support long-term demand for agricultural equipment, with the U.S. agricultural machinery market projected to reach $42.05 billion in 2025 [13] - The demand for construction equipment is anticipated to be supported by increased infrastructure spending [14]

Company Performance - Deere's stock closed at $472.43, reflecting a -0.96% change from the previous day, underperforming the S&P 500's gain of 0.08% [1] - Over the past month, Deere's shares have decreased by 3.79%, while the Industrial Products sector and the S&P 500 have lost 5.98% and 7.33%, respectively [1] Earnings Expectations - The upcoming earnings report for Deere is expected to show an EPS of $5.74, which represents a 32.71% decline compared to the same quarter last year [2] - Revenue is anticipated to be $10.75 billion, indicating a 21.03% decrease from the same quarter of the previous year [2] Full-Year Estimates - Full-year Zacks Consensus Estimates predict earnings of $19.30 per share and revenue of $37.96 billion, reflecting year-over-year declines of -24.67% and -15.2%, respectively [3] - Recent changes in analyst estimates for Deere suggest a shifting business landscape, with positive revisions indicating optimism about the company's outlook [3] Valuation Metrics - Deere's Forward P/E ratio stands at 24.72, which is higher than the industry average of 21.45, suggesting that Deere is trading at a premium [6] - The PEG ratio for Deere is currently 2.06, compared to the Manufacturing - Farm Equipment industry's average PEG ratio of 2.07 [7] Industry Ranking - The Manufacturing - Farm Equipment industry is part of the Industrial Products sector, which holds a Zacks Industry Rank of 82, placing it in the top 33% of over 250 industries [7] - The Zacks Industry Rank evaluates the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [8]

Core Insights - Deere & Company has been recognized as one of the 2025 World's Most Ethical Companies® by Ethisphere, marking its 18th recognition in this category [1][2] - The company is one of only 12 honorees in the Industrial Manufacturing industry, highlighting its commitment to ethical business practices [1] - This recognition reflects the dedication of Deere's employees, dealers, and partners to integrity and ethical conduct in business operations [2] Company Overview - Deere & Company has a long-standing history of nearly 200 years, starting with the invention of a steel plow [3] - The company plays a significant role in producing food, fiber, fuel, and infrastructure, impacting people globally [3] - Deere drives innovation across various sectors, including agriculture, construction, forestry, turf, and power systems [3] Recognition Process - The 2025 World's Most Ethical Companies® list includes 136 honorees from 19 countries and 44 industries [4] - Applicants must provide over 240 proof points demonstrating their commitment to ethics, compliance, governance, and social impact [4] - A panel of experts conducts a thorough qualitative analysis of each application, dedicating thousands of hours to the evaluation process [4]

Core Viewpoint - Investor sentiment towards Deere & Co. has declined due to an analyst downgrade and the announcement of new tariffs on agricultural products by President Trump, which could negatively impact the company's growth prospects [1][2][4]. Company Summary - Analysts at R. W. Baird downgraded Deere's stock rating from outperform to neutral, maintaining a price target of $501 per share, indicating only an 8% upside from the stock's recent closing price [2]. - Despite optimism regarding Deere's inventory management and expected earnings growth in 2026, the analyst sees limited upside potential due to recent stock rebounds and broader uncertainties in the agricultural sector [3]. - Deere reported a significant 30% year-over-year drop in sales and a 50% decline in net income for the first quarter, reflecting a challenging business environment [6]. - The company has reiterated its net income outlook of $5 billion to $5.5 billion for 2025, which would represent a nearly 22% decrease from 2024 at the highest end of its guidance [6]. Industry Summary - President Trump's tariffs on external agricultural products, effective April 2, are intended to support the domestic agriculture industry but pose a threat to companies like Deere, which relies heavily on international sales [4][5]. - China, the largest importer of U.S. agricultural products in fiscal 2023, has announced retaliatory tariffs on various imported goods from the U.S., further complicating the market landscape for agricultural equipment manufacturers [4]. - Approximately 34% of Deere's total sales and revenue originated from outside the U.S. and Canada in 2024, making the company vulnerable to the impacts of tariffs and geopolitical tensions [5].

Core Insights - The report provides an analysis of Deere & Co.'s strategic focus and plans for the agriculture equipment market amid a challenging global macroeconomic environment [2][6] - The global agriculture equipment market is expected to experience a slight decrease in year-on-year deliveries for 2025 due to subdued demand and various market headwinds [4][5] Group 1: Market Conditions - The agriculture equipment market is facing pressure from low and fluctuating commodity prices, high input costs, and geopolitical conflicts, which are impacting farm incomes [3][5] - Equipment sales saw significant decreases in 2024 and are projected to remain soft through 2025, influenced by the relatively low average age of the in-service fleet in traditional markets [5][6] Group 2: Strategic Focus and Plans - The report outlines key strategies and priorities for Deere & Co. in 2025, focusing on sustainability through the production of electric and sustainable fuels-powered equipment [5][11] - A comprehensive outlook and demand forecast for the global agriculture equipment market is provided, highlighting key trends and challenges that will shape the industry's future [6][12] Group 3: Financial Performance and Analysis - The report includes a financial performance analysis based on the latest available results, covering revenue trends, profitability growth, and cash flow from operations [10][13] - It also assesses the company's strengths, weaknesses, opportunities, and threats (SWOT) to identify areas for potential growth and risk mitigation [11][13]