Deere (DE) Surpasses Market Returns: Some Facts Worth Knowing

Group 1: Stock Performance - Deere's stock closed at $520.31, with a daily increase of +2.35%, outperforming the S&P 500's gain of 0.48% [1] - Over the last month, Deere's shares decreased by 0.93%, lagging behind the Industrial Products sector's gain of 6.87% and the S&P 500's gain of 5.13% [1] Group 2: Earnings Projections - The upcoming earnings release is projected to show earnings per share (EPS) of $4.6, reflecting a 26.87% decrease from the same quarter last year [2] - Revenue is anticipated to be $10.21 billion, indicating a 10.32% decline from the same quarter last year [2] - For the entire fiscal year, earnings are estimated at $18.82 per share and revenue at $38.05 billion, representing changes of -26.54% and -14.99% respectively from the previous year [3] Group 3: Analyst Estimates and Rankings - Recent adjustments to analyst estimates for Deere indicate changing near-term business trends, with positive revisions suggesting a favorable outlook on business health and profitability [4] - The Zacks Rank system, which ranges from 1 (Strong Buy) to 5 (Strong Sell), currently ranks Deere at 3 (Hold) [6] - The Zacks Consensus EPS estimate has increased by 0.02% in the past month [6] Group 4: Valuation Metrics - Deere is trading with a Forward P/E ratio of 27.01, which is a premium compared to the industry average Forward P/E of 21.62 [7] - The PEG ratio for Deere is 3.23, aligning with the average PEG ratio of the Manufacturing - Farm Equipment industry [7] Group 5: Industry Context - The Manufacturing - Farm Equipment industry is part of the Industrial Products sector and currently holds a Zacks Industry Rank of 171, placing it in the bottom 31% of over 250 industries [8] - Research indicates that the top 50% rated industries outperform the bottom half by a factor of 2 to 1 [8]