In the latest close session, Deere (DE) was down 3.25% at $576.64. The stock trailed the S&P 500, which registered a daily gain of 0.8%. On the other hand, the Dow registered a loss of 0.15%, and the technology-centric Nasdaq increased by 1.6%.
Shares of the agricultural equipment manufacturer witnessed a gain of 3.79% over the previous month, trailing the performance of the Industrial Products sector with its gain of 8.08%, and the S&P 500's gain of 5.15%.
Market participants will be closely following the financial results of Deere in its upcoming release. The company plans to announce its earnings on May 21, 2026. The company is expected to report EPS of $5.8, down 12.65% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $11.41 billion, up 2.12% from the prior-year quarter.
For the full year, the Zacks Consensus Estimates project earnings of $17.9 per share and a revenue of $40.81 billion, demonstrating changes of -3.24% and +4.86%, respectively, from the preceding year.
Any recent changes to analyst estimates for Deere should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the business outlook.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.38% lower within the past month. Deere currently has a Zacks Rank of #3 (Hold).
Looking at valuation, Deere is presently trading at a Forward P/E ratio of 33.3. This valuation marks a premium compared to its industry average Forward P/E of 21.52.
We can additionally observe that DE currently boasts a PEG ratio of 2.09. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Manufacturing - Farm Equipment industry stood at 1.38 at the close of the market yesterday.
The Manufacturing - Farm Equipment industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 223, putting it in the bottom 9% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
5 Stocks Set to Double
Each was handpicked by a Zacks expert as the #1 favorite stock to gain +100% or more in the coming year. While not all picks can be winners, previous recommendations have soared +112%, +171%, +209% and +232%.
Most of the stocks in this report are flying under Wall Street radar, which provides a great opportunity to get in on the ground floor.
Today, See These 5 Potential Home Runs >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Deere & Company (DE): Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).