Deere & Company (NYSE:DE) Announces Earnings Results

Deere & Company (NYSE:DE) released its earnings results on Thursday. The industrial products company reported $2.42 EPS for the quarter, beating analysts’ consensus estimates of $1.90 by $0.52, FiscalAI reports. The business had revenue of $9.61 billion for the quarter, compared to analysts’ expectations of $7.50 billion. Deere & Company had a return on equity of 18.93% and a net margin of 10.29%.The firm’s revenue was up 17.5% on a year-over-year basis. During the same quarter in the prior year, the firm earned $3.19 earnings per share.

Here are the key takeaways from Deere & Company’s conference call:

• Deere raised its fiscal 2026 outlook after a Q1 beat, now projecting mid-single-digit net sales growth for equipment operations and increasing net income guidance to $4.5–$5.0 billion, with Q1 equipment operating margin at 5.9%.
• Small Ag & Turf and Construction & Forestry were strong in Q1 (net sales +24% and +34%, respectively), prompting higher full‑year sales and margin guidance for both segments (Small Ag ~+15%; CNF ~+15% with a 9–11% margin outlook).
• Large ag remains challenged — Deere still expects the North American large‑ag industry to decline 15%–20% in 2026, but reports improving order velocity and materially lower used inventory levels that are beginning to stabilize replacement demand.
• Tariff headwinds remain significant — Deere projects about $1.2 billion of tariff costs for the year and says overall price realization is roughly price‑cost neutral once tariffs are included, making results sensitive to tariff relief or further cost pressure.
• Management is investing for growth — launches of Deere‑designed 20‑ton excavators (CONEXPO) and the acquisition of Tenna to expand mixed‑fleet digital and fleet‑management offerings support long‑term product and services growth.

Deere & Company Trading Up 0.1%

DE stock opened at $662.74 on Friday. The company has a debt-to-equity ratio of 1.59, a current ratio of 2.21 and a quick ratio of 2.01. Deere & Company has a 1-year low of $404.42 and a 1-year high of $674.19. The business has a 50 day simple moving average of $522.56 and a two-hundred day simple moving average of $491.27. The company has a market capitalization of $179.65 billion, a price-to-earnings ratio of 37.36, a PEG ratio of 2.64 and a beta of 1.02.

Deere & Company Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, February 9th. Shareholders of record on Wednesday, December 31st were paid a $1.62 dividend. This represents a $6.48 annualized dividend and a yield of 1.0%. The ex-dividend date was Wednesday, December 31st. Deere & Company’s dividend payout ratio is presently 36.53%.

Insider Activity at Deere & Company

In related news, insider Cory J. Reed sold 12,000 shares of the stock in a transaction dated Wednesday, January 14th. The shares were sold at an average price of $510.00, for a total value of $6,120,000.00. Following the sale, the insider directly owned 20,792 shares of the company’s stock, valued at $10,603,920. This represents a 36.59% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, CEO John C. May II sold 41,472 shares of the stock in a transaction on Thursday, January 8th. The stock was sold at an average price of $501.49, for a total value of $20,797,793.28. Following the completion of the sale, the chief executive officer owned 117,970 shares in the company, valued at approximately $59,160,775.30. The trade was a 26.01% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 64,578 shares of company stock worth $32,471,682. Corporate insiders own 0.29% of the company’s stock.

Hedge Funds Weigh In On Deere & Company

Several hedge funds have recently made changes to their positions in DE. Timmons Wealth Management LLC acquired a new stake in Deere & Company during the fourth quarter worth about $29,000. Wealth Watch Advisors INC purchased a new position in Deere & Company in the 3rd quarter valued at $32,000. Strive Financial Group LLC acquired a new position in Deere & Company during the fourth quarter worth about $36,000. Greenline Wealth Management LLC acquired a new stake in Deere & Company in the 4th quarter valued at about $36,000. Finally, Prosperity Bancshares Inc purchased a new position in Deere & Company in the 4th quarter worth approximately $45,000. 68.58% of the stock is owned by institutional investors and hedge funds.

Deere & Company News Roundup

Here are the key news stories impacting Deere & Company this week:

• Positive Sentiment: Q1 beat and raised FY guidance — Deere reported Q1 revenue of $9.61B and EPS of $2.42 (above estimates) and raised fiscal‑2026 net‑income guidance to $4.5B–$5.0B, which traders interpreted as confirmation that order trends and construction demand are improving. Deere Lifts Full-Year Profit Forecast as Construction, Sales Rebound (Reuters)
• Positive Sentiment: Large analyst price‑target upgrades — several firms jumped their targets after the beat-and-raise (notable moves: Truist to $793, DA Davidson to $775, Wells Fargo to $750, RBC to $736, BofA to $672), supporting further upside expectations. Wall Street Goes Wild For Deere: The Real Reason Analysts Are Hiking Price Forecasts (Benzinga)
• Positive Sentiment: Construction recovery, product strategy and M&A — management says 2026 may be the bottom of the farm cycle and highlighted strength in construction and small‑ag; Deere completed the Tenna acquisition and is pushing AI/connected‑equipment initiatives, which boost long‑term growth narrative. John Deere Completes Acquisition of Tenna (ForConstructionPros)
• Neutral Sentiment: Some analysts remain cautious despite higher targets — a few shops raised targets but kept market‑perform/neutral ratings (e.g., Sanford Bernstein, BMO), signaling mixed conviction beneath the bullish headlines. Bernstein Adjusts Price Target on Deere to $615 from $521; Maintains Market Perform (MarketScreener)
• Negative Sentiment: Profit and margin headwinds remain — net income fell year‑over‑year (to ~$656M) as tariffs and an unfavorable sales mix pressured margins; that keeps some earnings risk if tariffs or costs persist. Deere Profit Sinks as Tariffs Weigh on Margins (WSJ)

Analyst Ratings Changes

Several equities analysts have recently commented on the stock. JPMorgan Chase & Co. lowered their price objective on shares of Deere & Company from $480.00 to $460.00 and set a “neutral” rating for the company in a research note on Friday, December 19th. Jefferies Financial Group lifted their target price on shares of Deere & Company from $440.00 to $475.00 and gave the company a “hold” rating in a report on Tuesday, December 9th. Wolfe Research increased their price objective on shares of Deere & Company from $520.00 to $550.00 and gave the company an “outperform” rating in a research report on Friday, January 2nd. Robert W. Baird lifted their target price on Deere & Company from $467.00 to $675.00 and gave the stock a “neutral” rating in a report on Friday. Finally, Keefe, Bruyette & Woods reissued an “outperform” rating on shares of Deere & Company in a report on Monday, December 1st. Fifteen analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and a consensus target price of $607.20.

About Deere & Company

Deere & Company, commonly known by its brand John Deere, is a global manufacturer of agricultural, construction and forestry machinery, as well as turf care equipment and power systems. Founded in 1837 by blacksmith John Deere—who developed a polished steel plow to improve tillage in tough prairie soils—the company is headquartered in Moline, Illinois, and has grown into one of the largest and most recognizable names in equipment manufacturing worldwide.

The company’s principal businesses include a broad portfolio of agricultural equipment such as tractors, combines, planters, sprayers, harvesters and tillage implements, complemented by precision agriculture technologies and telematics that support farm management, yield optimization and equipment connectivity.