Deere & Company, together with its subsidiaries, manufactures and distributes various equipment worldwide. More Details
Solid track record with adequate balance sheet and pays a dividend.
Share Price & News
How has Deere's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: DE is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 3% a week.
Volatility Over Time: DE's weekly volatility (3%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: DE exceeded the US Machinery industry which returned 49.8% over the past year.
Return vs Market: DE exceeded the US Market which returned 35.9% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Deere's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall StThese 4 Measures Indicate That Deere (NYSE:DE) Is Using Debt Reasonably Well
2 weeks ago | Simply Wall StWhat Is The Ownership Structure Like For Deere & Company (NYSE:DE)?
3 weeks ago | Simply Wall StShould We Be Delighted With Deere & Company's (NYSE:DE) ROE Of 30%?
Is Deere undervalued compared to its fair value and its price relative to the market?
Price to Earnings (PE) ratio
Share Price vs. Fair Value
Below Fair Value: DE ($361.59) is trading above our estimate of fair value ($296.76)
Significantly Below Fair Value: DE is trading above our estimate of fair value.
Price To Earnings Ratio
PE vs Industry: DE is good value based on its PE Ratio (24.7x) compared to the US Machinery industry average (31.4x).
PE vs Market: DE is poor value based on its PE Ratio (24.7x) compared to the US market (18x).
Price to Earnings Growth Ratio
PEG Ratio: DE is poor value based on its PEG Ratio (4x)
Price to Book Ratio
PB vs Industry: DE is overvalued based on its PB Ratio (7.5x) compared to the US Machinery industry average (2.8x).
How is Deere forecast to perform in the next 1 to 3 years based on estimates from 16 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: DE's forecast earnings growth (6.2% per year) is above the savings rate (2%).
Earnings vs Market: DE's earnings (6.2% per year) are forecast to grow slower than the US market (14.9% per year).
High Growth Earnings: DE's earnings are forecast to grow, but not significantly.
Revenue vs Market: DE's revenue (8.2% per year) is forecast to grow slower than the US market (9.2% per year).
High Growth Revenue: DE's revenue (8.2% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: DE's Return on Equity is forecast to be high in 3 years time (39.5%)
How has Deere performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: DE has high quality earnings.
Growing Profit Margin: DE's current net profit margins (11.5%) are higher than last year (7.6%).
Past Earnings Growth Analysis
Earnings Trend: DE's earnings have grown by 19.1% per year over the past 5 years.
Accelerating Growth: DE's earnings growth over the past year (63.2%) exceeds its 5-year average (19.1% per year).
Earnings vs Industry: DE earnings growth over the past year (63.2%) exceeded the Machinery industry 6.3%.
Return on Equity
High ROE: Whilst DE's Return on Equity (30.36%) is high, this metric is skewed due to their high level of debt.
How is Deere's financial position?
Financial Position Analysis
Short Term Liabilities: DE's short term assets ($57.2B) exceed its short term liabilities ($24.2B).
Long Term Liabilities: DE's short term assets ($57.2B) exceed its long term liabilities ($39.7B).
Debt to Equity History and Analysis
Debt Level: DE's debt to equity ratio (314.2%) is considered high.
Reducing Debt: DE's debt to equity ratio has reduced from 526.7% to 314.2% over the past 5 years.
Debt Coverage: DE's debt is not well covered by operating cash flow (17.9%).
Interest Coverage: DE's interest payments on its debt are well covered by EBIT (22.7x coverage).
What is Deere current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: DE's dividend (1%) isn’t notable compared to the bottom 25% of dividend payers in the US market (1.31%).
High Dividend: DE's dividend (1%) is low compared to the top 25% of dividend payers in the US market (3.54%).
Stability and Growth of Payments
Stable Dividend: DE's dividends per share have been stable in the past 10 years.
Growing Dividend: DE's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its low payout ratio (21.8%), DE's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: DE's dividends in 3 years are forecast to be well covered by earnings (18% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
John May (52 yo)
Mr. John C. May II is Chairman of the Board of Directors and Chief Executive Officer of Deere & Company since November 2019 and May 2020 respectively. He was named President & Chief Operating Officer earli...
CEO Compensation Analysis
Compensation vs Market: John's total compensation ($USD15.59M) is above average for companies of similar size in the US market ($USD11.17M).
Compensation vs Earnings: John's compensation has increased by more than 20% in the past year.
Experienced Management: DE's management team is considered experienced (2.6 years average tenure).
Experienced Board: DE's board of directors are considered experienced (6.5 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: DE insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Deere & Company's company bio, employee growth, exchange listings and data sources
- Name: Deere & Company
- Ticker: DE
- Exchange: NYSE
- Founded: 1837
- Industry: Agricultural and Farm Machinery
- Sector: Capital Goods
- Market Cap: US$112.795b
- Shares outstanding: 311.94m
- Website: https://www.deere.com
Number of Employees
- Deere & Company
- One John Deere Place
- United States
Deere & Company, together with its subsidiaries, manufactures and distributes various equipment worldwide. The company operates through three segments: Agriculture and Turf, Construction and Forestry, and ...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/07/31 05:33|
|End of Day Share Price||2021/07/30 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.