On Nov 26, major Wall Street analysts update their ratings for $Deere (DE.US)$, with price targets ranging from $450 to $505.
Morgan Stanley analyst Angel Castillo maintains with a buy rating, and adjusts the target price from $425 to $450.
J.P. Morgan analyst Ann Duignan maintains with a hold rating, and adjusts the target price from $425 to $450.
Barclays analyst Adam Seiden maintains with a buy rating, and maintains the target price at $475.
D.A. Davidson analyst Michael Shlisky maintains with a buy rating, and maintains the target price at $505.
Furthermore, according to the comprehensive report, the opinions of $Deere (DE.US)$'s main analysts recently are as follows:
Despite Deere's FY25 implied EPS guidance of $18-$20 not meeting consensus, it matches buyside expectations and accounts for global agricultural market challenges. The Q4 results and guidance suggest that normalized EPS may reach the mid-20s, reinforcing a positive outlook.
Following the Q4 earnings, the risk-reward appears balanced with few surprises in the quarter and the guidance. Despite ongoing challenges as FY25 begins, Deere has effectively positioned itself to meet retail demand in rapidly evolving markets.
Post fiscal Q4 report, Deere's shares are expected to potentially command a premium over core market valuations as the clarity on the lowest expected values ('trough' math) emerges. However, there appears to be some downside risk associated with Deere's guidance for the latter half of fiscal 2025, which may challenge it being surpassed.
The analyst notes that the cyclical framework is in alignment with Deere's guidance, with Brazil showing signs of stabilization and a positive pricing outlook for 2025.
Deere is approaching FY25 from a strong footing after successfully implementing its targeted underproduction strategy in Q4. Although the future projections aren't entirely positive, the guidance includes an expectation for production pacing to align with demand. This outlook is seen as conservative, likely representing the 'last major reduction,' which aids in the cyclical adjustment of its valuation.
Here are the latest investment ratings and price targets for $Deere (DE.US)$ from 4 analysts:
Note:
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