These Analysts Boost Their Forecasts On Deere Following Upbeat Earnings

Deere & Co DE reported better-than-expected third-quarter results and reaffirmed its net income 2024 outlook on Thursday.

The company's net sales and revenue declined 17% year-over-year to $13.152 billion, beating the consensus of $10.944 billion. Deere clocked an EPS of $6.29, down from $10.20 YoY, beating the consensus of $5.85.

During the quarter, the company initiated involuntary employee-separation programs across several regions, aiming to streamline operations. The programs incurred $124 million in pretax expenses, with an estimated total of $150 million.

Deere reaffirmed its 2024 net income outlook of $7.00 billion. Deere expects 2024 Production & Precision Ag net sales to decline by ~20% -25% and price realization of +2%; Small Ag & Turf net sales to fall by 20%- 25% and price realization of +2%; and Construction & Forestry net sales to decrease by 10%- 15% and price realization of +0.5%. The company expects Financial services net income of $720 million for the fiscal.

Deere shares gained 6.3% to close at $373.26 on Thursday.

These analysts made changes to their price targets on Deere following earnings announcement.

• B of A Securities analyst Ross Gilardi maintained Deere with a Neutral and raised the price target from $400 to $410.
• Citigroup analyst Kyle Menges maintained Deere with a Neutral and raised the price target from $370 to $395.

Considering buying DE stock? Here’s what analysts think:

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