Core Thesis - Deere & Company is positioned for potential recovery as agricultural conditions stabilize, entering FY2025 at a cyclical trough [1][4] Company Overview - Deere & Company manufactures and distributes various equipment globally, operating through two main divisions: Equipment Operations and Financial Services [1] - Equipment Operations includes Production & Precision Agriculture, Small Agriculture & Turf, and Construction & Forestry [1] Industry Dynamics - Deere's results are cyclical, closely tracking farm income and crop prices, with recent declines in net sales expected from FY2023 through FY2025 due to normalized commodity prices [2] - The rate of sales contraction is slowing, indicating a potential bottom of the cycle [2] Competitive Positioning - Deere is significantly larger than key competitors like CNH Industrial and Kubota, with approximately double their scale in Equipment Operations [3] - In agriculture, Deere experienced a 14% sales decline in FY2025, consistent with peers, while competitors like CLAAS showed greater resilience [3] Market Performance - Deere's stock has risen approximately 75% since the end of 2020, outperforming most agricultural peers, reflecting market confidence in its structural advantages [4] - The current environment is seen as an attractive long-term entry point for investors as sales declines moderate and competitive scale remains strong [4] Previous Coverage - Previous bullish analyses highlighted Deere's margin resilience, consistent earnings beats, aggressive buybacks, and expanding ag-tech initiatives despite cyclical pressures, with a stock price appreciation of approximately 26.88% since May 2025 [5]

The most talked about and market moving research calls around Wall Street are now in one place. Here are today's research calls that investors need to know, as compiled by The Fly.Top 5 Upgrades: Baird upgraded Henry Schein (HSIC) to Outperform from Neutral with a price target of $100, up from $78. The firm believes the bias across its dental names remains to the upside.UBS upgraded BlackRock (BLK) to Buy from Neutral with a $1,280 price target. The upgrade is supported by strong Q4 results, positive comme ...

Core Viewpoint - The global large agriculture industry is facing challenges, but there is a recovery in demand for construction and small agriculture segments, suggesting that 2026 may represent the bottom of the current cycle, providing a foundation for future growth [1] Financial Performance - Deere reported fiscal first-quarter results that exceeded expectations and raised its fiscal 2026 outlook, indicating that the agriculture equipment cycle may be nearing a bottom [2] - Equipment Operations net sales increased by 17.5% year over year, driven by higher shipment volumes and favorable foreign exchange, despite muted pricing [2] - By segment, Production and Precision Ag increased by 3.1%, Small Ag and Turf rose by 24.0%, and Construction and Forestry grew by 33.9%, primarily due to volume and foreign exchange tailwinds [3] Profitability and Margins - Operating margins for Equipment Operations declined by 184 basis points year over year to 5.9%, largely due to tariff impacts, with management expecting about $1.2 billion in direct tariff expenses in fiscal 2026 [4] Outlook and Guidance - Despite headwinds, Deere improved its fiscal 2026 outlook across most of its portfolio, with an estimated $375 million increase in Equipment Operations net income and a $500 million improvement in operating cash flow at the midpoint [5] - The agricultural backdrop is described as steady, with stable global crop production and improving farm income expectations, supported by recent policy and commodity demand signals [6] Inventory and Production Alignment - Dealer inventory drawdowns through 2025 have better aligned production with retail demand, positioning 2026 as a potential cycle trough and 2027 for a healthier recovery if replenishment follows [7] Analyst Sentiment - Analysts have turned more bullish on Deere, with RBC raising its price forecast to $736, UBS increasing its forecast to $775, and Truist Securities raising its forecast to $793 [8]

Core Insights - Deere & Company reported first-quarter earnings that exceeded expectations, with an EPS of $2.42 compared to the analyst estimate of $2.06 [1] - Worldwide net sales and revenues increased by 13% to $9.611 billion, surpassing the estimated $7.686 billion [1] - The company expressed optimism about recovery in demand within construction and small agriculture segments despite challenges in the global large agriculture industry [1] Financial Guidance - Deere raised its fiscal 2026 net income guidance to a range of $4.5 billion to $5.0 billion [2] - The company projected a decline in Production & Precision Agriculture net sales by 5% to 10%, while Small Agriculture & Turf and Construction & Forestry net sales are expected to increase by about 15% [2] - Financial Services net income is projected to be approximately $840 million [2] Market Reaction - Following the earnings announcement, Deere shares fell by 0.7%, trading at $657.34 [2] - Analysts adjusted their price targets on Deere in response to the earnings report [2]

Core Viewpoint - Deere & Company reported strong first-quarter earnings and revenue, exceeding analyst expectations and raising its full-year profit forecast, leading to a significant increase in share price [1]. Financial Performance - The company achieved a first-quarter net income of $656 million, or $2.42 per share, surpassing analyst estimates of $2.02 per share [2]. - Revenue increased by 13% year over year to $9.61 billion, significantly above the consensus estimate of $7.59 billion [2]. - Despite the revenue growth, net income declined by 25% compared to $869 million, or $3.19 per share, reported in the same quarter a year earlier [2]. - Deere raised its fiscal 2026 net income guidance to a range of $4.5 billion to $5.0 billion [2]. Segment Performance - The Small Agriculture & Turf segment saw sales increase by 24% to $2.17 billion, with operating profit surging by 58% to $196 million [3]. - The Construction & Forestry segment also experienced strong growth, with sales rising by 34% to $2.67 billion and operating profit more than doubling to $137 million [3].

Core Insights - AGCO is the largest pure-play agricultural company, with revenues exceeding $10 billion last year [1] - The company markets its equipment through three major brands: Fendt (premium), Massey Ferguson, and Valtra [1] - AGCO has a technology stack known as PTx, which includes the Precision Planting brand and a joint venture with Trimble, along with other smaller acquisitions [1] Company Transformation - Significant changes in recent years have allowed AGCO to focus more on the equipment and technology sectors [2]

DoorDash - DoorDash reported earnings of 48 cents per share on revenue of $3.96 billion, which missed expectations, as the market was looking for 59 cents per share [2][3] - Total orders increased by 32% year-over-year, and gross order value surged by 39% [2][3] - The CEO emphasized strong momentum and a long-term investment strategy, including plans for autonomous delivery and technology upgrades [4] Wayfair - Wayfair experienced a significant drop in stock price, down 13%, despite beating adjusted earnings expectations with 85 cents per share against a forecast of 66 cents [6][7] - The company reported a larger-than-expected unadjusted loss of 89 cents per share, compared to an expected loss of just 1 cent, impacted by equity-based compensation and debt repurchases [7][8] - New customer growth continued for the third consecutive quarter, with orders per customer rising by 3.7%, although the total active customer base declined slightly [8][9] Deere - Deere's stock rose by 7% after reporting better-than-expected results, with earnings per share of $2.42 compared to an expected $2.06, and sales of $9.61 billion against a forecast of $7.69 billion [11][12] - The company provided a positive sales growth outlook, indicating that its segments are outperforming their respective industries [12] - Despite a slight year-over-year decline typical for the first quarter, the results exceeded expectations, suggesting stabilization in the industry [13]

Deere's stock jumps toward another record. The construction business is booming again. - MarketWatch## Earnings Results# Deere's stock jumps toward another record. The construction business is booming again.## The stock is headed toward its eighth record this year, as Deere's estimate for 2026 sales growth looks set to outpace the industryPublished: Feb. 19, 2026 at 8:55 a.m. ETShareResize---Listen(3 min)Deere's stock surges further into record territory after a big earnings beat and a full-year outlook for ...

Core Viewpoint - AGCO is a leading manufacturer and distributor of agricultural equipment, currently valued at $10.48 billion, with a comprehensive product line and strong market performance [1][5]. Group 1: Company Overview - AGCO offers a full range of agricultural equipment including tractors, combines, application equipment, hay tools, forage equipment, and grain storage systems [1]. - The company has a market capitalization of $10.48 billion [5]. Group 2: Stock Performance - AGCO shares have increased by 27.54% since a "Buy" signal was issued on December 12 [2]. - The stock has gained nearly 40% over the past 52 weeks and is currently trading at a new 2-year high of $139.28 [6][7]. - Over the past month, AGCO has made 11 new highs and is up 25.29% [7]. Group 3: Technical Indicators - AGCO has a Weighted Alpha of +53.09 and a Relative Strength Index (RSI) of 81.37, indicating strong momentum [7]. - The stock has a 50-day moving average of $114.35 and a technical support level around $136.69 [7]. Group 4: Financial Metrics - AGCO has a trailing price-earnings ratio of 26.61 and a dividend yield of 0.84% [6][8]. - Revenue is expected to grow by 11.76% this year and by 37.89% next year, while earnings are estimated to increase by 37.97% next year [8].

Management attributes the Q4 revenue increase to an easy comparison against 2024's severe production cuts rather than a fundamental market recovery. The Agriculture segment realized $230 million in cost savings during 2025, keeping the company on track for its $550 million cumulative target by 2030. A strategic pivot is underway to reduce the number of first-level dealer owners by one-third to create a more robust, dual-branded distribution network. Quality initiatives delivered $150 million in savi ...