Deere (DE) closed at $371.32 in the latest trading session, marking no change from the prior day. This move was narrower than the S&P 500's daily loss of 0.67%. Meanwhile, the Dow lost 0.33%, and the Nasdaq, a tech-heavy index, lost 0.22%.
Heading into today, shares of the agricultural equipment manufacturer had gained 4.42% over the past month, outpacing the Industrial Products sector's loss of 1.04% and the S&P 500's loss of 3.76% in that time.
Wall Street will be looking for positivity from Deere as it approaches its next earnings report date. In that report, analysts expect Deere to post earnings of $7.10 per share. This would mark year-over-year growth of 72.33%. Meanwhile, our latest consensus estimate is calling for revenue of $13.51 billion, up 31.43% from the prior-year quarter.
DE's full-year Zacks Consensus Estimates are calling for earnings of $22.90 per share and revenue of $47.07 billion. These results would represent year-over-year changes of +20.59% and +18.45%, respectively.
Investors should also note any recent changes to analyst estimates for Deere. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.15% lower. Deere is currently sporting a Zacks Rank of #3 (Hold).
In terms of valuation, Deere is currently trading at a Forward P/E ratio of 16.21. This valuation marks a premium compared to its industry's average Forward P/E of 13.98.
Also, we should mention that DE has a PEG ratio of 1.29. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Manufacturing - Farm Equipment was holding an average PEG ratio of 1.29 at yesterday's closing price.
The Manufacturing - Farm Equipment industry is part of the Industrial Products sector. This industry currently has a Zacks Industry Rank of 71, which puts it in the top 29% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. 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.
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