About Deere & Company
Deere & Company engages in the manufacture and distribution of various equipment worldwide. The company operates through four segments: Production and Precision Agriculture, Small Agriculture and Turf, Construction and Forestry, and Financial Services. The Production and Precision Agriculture segment provides four-wheel-drive track and row crop tractors, harvesters, cotton pickers and strippers, sugarcane harvesters and loaders, soil preparation, tillage, seeding, and crop care equipment, as well as application equipment, including sprayers and nutrient management, soil preparation machinery, and related attachments and service parts. The Small Agriculture and Turf segment offers specialty, utility, and compact tractors; self-propelled forage harvesters and attachments; rotary mowers, hay and forage equipment, and utility vehicles; turf and utility equipment, including riding lawn, commercial mowing, and golf course equipment, and utility vehicles, as well as implements for mowing, tilling, snow and debris handling, aerating, residential, commercial, golf, and sports turf care applications. The Construction and Forestry segment provides backhoe loaders, crawler dozers and loaders, four-wheel-drive loaders, excavators, motor graders, articulated dump trucks, skid-steer loaders, milling machines, recyclers, slipform and asphalt pavers, surface miners, compactors, tandem, static rollers, mobile crushers and screens, mobile and stationary asphalt plants, and log harvesters; and road building and rehabilitation equipment. The Financial Services segment finances sales and leases agriculture and turf, and construction and forestry equipment. It also offers wholesale financing to dealers of the foregoing equipment; and extended equipment warranties. Deere & Company has a strategic partnership with Tarter USA to develop and produce flex wing rotary cutters. The company was founded in 1837 and is headquartered in Moline, Illinois.
Deere & Company (DE) is a Industrials company in the Farm & Heavy Construction Machinery industry with a market capitalisation of $182.2B. The stock trades at 37.60x trailing earnings and yields 0.96%.
- Sector
- Industrials
- Industry
- Farm & Heavy Construction Machinery
- Market cap
- $182.2B
- P/E ratio
- 37.60
- Forward P/E
- 29.76
- EPS (TTM)
- $17.97
- Revenue (TTM)
- $47.9B
- Free cash flow
- $4.5B
- Profit margin
- 10.2%
- Dividend yield
- 0.96%
- Beta
- 0.91
- Shares outstanding
- 269.6M
Financial health: Fair6.2/10
4 strengths, 2 concerns. Weakest points: revenue growth, earnings growth.
- Return on equity: 18.2% (Strong, benchmark > 15%) — Earns 18.2% on shareholder equity, comfortably past the > 15% mark.
- Gross margin: 25.2% (Watch, benchmark > 40%) — Keeps 25.2% of revenue after the direct cost of sales, short of the > 40% mark.
- Net margin: 10.2% (Strong, benchmark > 10%) — Turns 10.2% of revenue into profit, comfortably past the > 10% mark.
- Free cash flow: $6.1B (Strong, benchmark positive) — Generated $6.1B of free cash flow after capital spending. It has improved over the last 4 years.
- Revenue growth: -11.1% (Concern, benchmark > 10%) — Revenue changed -11.1% year on year, well short of the > 10% mark.
- Earnings growth: -8.5% (Concern, benchmark > 10%) — Earnings changed -8.5% year on year, well short of the > 10% mark.
- PEG ratio: 1.57 (Watch, benchmark < 1) — At 1.57, the price looks fair relative to expected growth — Lynch treated 1.0 as fair value.
- Payout ratio: 36.0% (Strong, benchmark < 60%) — Pays out 36.0% of earnings as dividends, leaving room to keep paying.