Deere & Company (NYSE:DE) Announces Earnings Results, Beats Estimates By $0.85 EPS

Deere & Company (NYSE:DE) announced its earnings results on Thursday. The industrial products company reported $6.55 EPS for the quarter, beating analysts’ consensus estimates of $5.70 by $0.85, Zacks reports. Deere & Company had a return on equity of 18.25% and a net margin of 10.09%.The company had revenue of $11.78 billion during the quarter, compared to analysts’ expectations of $11.55 billion. During the same period last year, the business posted $6.64 EPS. Deere & Company’s revenue for the quarter was up 5.4% on a year-over-year basis.

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

• Deere reported Q2 net sales and revenues up 5% to $13.369 billion, with equipment operations margin of 16.9% and net income of $1.773 billion. Management said the quarter was solidly executed and the company maintained its full-year net income outlook.
• Construction & Forestry was the standout segment, with sales up 29% year over year and operating margin at 14.8%. Deere raised full-year C&F sales guidance to up about 20% and lifted the segment margin outlook to 10%-12% on strong infrastructure, road-building, and data-center demand.
• Production & Precision Ag sales fell 14% in the quarter as large ag remains under pressure from weak demand and high input costs. Deere still expects full-year segment sales to be down 5%-10% and continues to view 2026 as the bottom of the ag cycle.
• Small Ag & Turf continued to perform well, with quarterly sales up 16% and operating margin at 20.6%. Deere said turf demand is recovering and dairy/livestock economics remain supportive, while full-year sales are still expected to rise about 15%.
• Tariff dynamics were a major factor in the quarter: Deere recorded a $272 million IEPA tariff refund, but still expects about $1.2 billion of full-year tariff exposure. Management said it is relying on cost actions, sourcing changes, and exemptions rather than customer surcharges to manage the impact.

Deere & Company Stock Performance

Shares of DE opened at $529.88 on Friday. The stock has a 50-day simple moving average of $576.52 and a 200-day simple moving average of $539.80. The company has a debt-to-equity ratio of 1.54, a quick ratio of 1.96 and a current ratio of 2.18. The stock has a market capitalization of $143.13 billion, a PE ratio of 30.02, a PEG ratio of 1.85 and a beta of 0.96. Deere & Company has a 1 year low of $433.00 and a 1 year high of $674.19.

Deere & Company Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Friday, May 8th. Stockholders of record on Tuesday, March 31st were paid a $1.62 dividend. This represents a $6.48 annualized dividend and a dividend yield of 1.2%. The ex-dividend date was Tuesday, March 31st. Deere & Company’s dividend payout ratio (DPR) is presently 36.53%.

Institutional Investors Weigh In On Deere & Company

Hedge funds and other institutional investors have recently made changes to their positions in the business. Timmons Wealth Management LLC acquired a new stake in shares of Deere & Company during the 4th quarter worth about $29,000. Wealth Watch Advisors INC acquired a new stake in shares of Deere & Company during the 3rd quarter worth about $32,000. Greenline Wealth Management LLC acquired a new stake in shares of Deere & Company during the 4th quarter worth about $36,000. Strive Financial Group LLC acquired a new stake in shares of Deere & Company during the 4th quarter worth about $36,000. Finally, Prosperity Bancshares Inc acquired a new stake in shares of Deere & Company during the 4th quarter worth about $45,000. Institutional investors and hedge funds own 68.58% of the company’s stock.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on DE shares. Barclays lifted their price objective on Deere & Company from $530.00 to $640.00 and gave the company an “overweight” rating in a research note on Tuesday, March 31st. BMO Capital Markets lifted their price objective on Deere & Company from $460.00 to $500.00 and gave the company a “market perform” rating in a research note on Friday, February 20th. Wolfe Research lifted their price objective on Deere & Company from $550.00 to $660.00 and gave the company an “outperform” rating in a research note on Tuesday, March 31st. Argus lifted their price objective on Deere & Company from $540.00 to $700.00 and gave the company a “buy” rating in a research note on Tuesday, March 3rd. Finally, Robert W. Baird decreased their price objective on Deere & Company from $580.00 to $525.00 and set a “neutral” rating for the company in a research note on Friday. Fifteen equities research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company. Based on data from MarketBeat, Deere & Company has a consensus rating of “Moderate Buy” and an average target price of $643.98.

More Deere & Company News

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

• Positive Sentiment: Deere beat Q2 estimates on both earnings and revenue, with EPS of $6.55 and sales of $13.37 billion, helped by strength in Construction & Forestry and Small Ag & Turf. Deere Beats Q2 Estimates, But Ag Weakness Weighs on Outlook
• Positive Sentiment: Management raised its Construction & Forestry outlook, citing strong demand tied to data center and AI infrastructure spending, which supports a non-farm growth engine for Deere. Deere forecasts FY2026 net income of $4.5B-$5B while lifting construction & forestry sales outlook to up ~20%
• Neutral Sentiment: Several analysts adjusted price targets after earnings, but most kept neutral or buy ratings, suggesting Wall Street sees limited near-term upside until the ag cycle improves. JPMorgan adjusts price target on Deere Co. to $560 from $550, maintains neutral rating
• Neutral Sentiment: Deere maintained its full-year net income forecast of $4.5 billion to $5.0 billion, which reassured investors on guidance but did not signal a stronger rebound in the core farm market. Deere beats second-quarter profit estimate but maintains full-year forecast
• Negative Sentiment: Weak Production & Precision Agriculture sales, down sharply year over year, remain the main concern and are weighing on investor sentiment about Deere’s earnings quality and valuation. Deere Beats Q2 Estimates, But Ag Weakness Weighs on Outlook
• Negative Sentiment: A new class-action lawsuit over right-to-repair practices adds another legal overhang, potentially raising questions about Deere’s aftermarket model and customer relations. Deere Lawsuit Puts Right To Repair Model And Aftermarket Profits Under Review

Deere & Company Company Profile

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.