Deere (DE) Stock Dips While Market Gains: Key Facts
In the latest trading session, Deere (DE) closed at $392.60, marking a -0.27% move from the previous day. This move lagged the S&P 500's daily gain of 1.07%. Elsewhere, the Dow saw an upswing of 0.35%, while the tech-heavy Nasdaq appreciated by 1.74%.
Prior to today's trading, shares of the agricultural equipment manufacturer had gained 0.33% over the past month. This has lagged the Industrial Products sector's gain of 0.38% and the S&P 500's gain of 2.93% in that time.
The investment community will be paying close attention to the earnings performance of Deere in its upcoming release. The company is slated to reveal its earnings on February 15, 2024. On that day, Deere is projected to report earnings of $5.16 per share, which would represent a year-over-year decline of 21.22%. Meanwhile, the latest consensus estimate predicts the revenue to be $10.29 billion, indicating a 9.79% decrease compared to the same quarter of the previous year.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $28.46 per share and a revenue of $47.74 billion, signifying shifts of -17.82% and -14.09%, respectively, from the last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Deere. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable 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 last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.21% decrease. Right now, Deere possesses a Zacks Rank of #3 (Hold).
In the context of valuation, Deere is at present trading with a Forward P/E ratio of 13.83. This indicates a premium in contrast to its industry's Forward P/E of 13.76.
We can additionally observe that DE currently boasts a PEG ratio of 1.14. 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. As of the close of trade yesterday, the Manufacturing - Farm Equipment industry held an average PEG ratio of 1.52.
The Manufacturing - Farm Equipment industry is part of the Industrial Products sector. This industry, currently bearing a Zacks Industry Rank of 174, finds itself in the bottom 31% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Deere & Company (DE) : Free Stock Analysis Report
