D.A. Davidson analyst Michael Shlisky maintains $Deere (DE.US)$ with a buy rating, and maintains the target price at $505.
According to TipRanks data, the analyst has a success rate of 39.9% and a total average return of 0.2% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Deere (DE.US)$'s main analysts recently are as follows:
Deere's FY25 implied EPS guidance of $18-$20, although lower than consensus, aligns with buyside expectations and accounts for global agricultural market challenges. Their Q4 results and forward guidance underpin the perspective that normalized EPS could reach the mid-20s, thereby cementing a bullish stance.
Following the Q4 earnings, risk-reward has been perceived as balanced, with few surprises noted in the quarter and in the guidance. Although challenges persist into the start of FY25, there's been effective positioning by the company to align production with retail demand amidst rapidly evolving markets.
The shares are expected to maintain a premium over the core market valuation as the clarity on the company's 'trough' calculations becomes apparent. However, it's suggested that the company's guidance, which is heavily weighted towards the second half of fiscal 2025, might carry more downside risk than potential for outperformance.
Note:
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Success rate is the number of the analyst's successful ratings, divided by his/her total number of ratings over the past year. A successful rating is one based on if TipRanks' virtual portfolio earned a positive return from the stock. Total average return is the average rate of return that the TipRanks' virtual portfolio has earned over the past year. These portfolios are established based on the analyst's preliminary rating and are adjusted according to the changes in the rating.
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