Moline, Illinois-based Deere & Company (DE) is a leading American multinational headquartered in Moline, Illinois, and one of the world’s largest manufacturers of agricultural, construction, forestry, and turf-care equipment. Founded in 1837, the company has evolved from producing steel plows to advanced machinery for precision agriculture and heavy equipment for infrastructure and forestry. Deere operates through key segments including Production & Precision Agriculture, Small Agriculture & Turf, Construction & Forestry, and Financial Services, supplying equipment and financing solutions to customers globally.
Companies worth $10 billion or more are generally described as "large-cap stocks." Deere fits right into that category, with a market cap of $127 billion that exceeds this threshold, reflecting its substantial size, influence, and dominance in the farm & heavy construction machinery industry.
Despite its notable strengths, DE stock has plunged 12% from its all-time high of $533.78 touched on May 16. Meanwhile, the stock has dropped 3.7% over the past three months, notably underperforming the broader Nasdaq Composite’s ($NASX) 7.8% rise during the same time frame.
However, over the longer term, Deere’s performance has remained much more impressive. DE stock has surged 10.9% on a YTD basis and 1.9% over the past 52 weeks, notably outperforming NASX’s 20.2% uptick in 2025 and 21.1% surge over the past year.
DE stock has remained mostly below its 200-day moving average since early September. But the stock has traded mostly above its 50-day moving average recently.
On Nov. 26, DE announced its Q4 2025 performance and its shares dropped 5.7%. Its net sales and revenues fell 9% year-over-year to $12.02 billion, driven by broad softness across its core equipment businesses. Net income declined sharply to $1.29 billion or $4.75 per share from $1.73 billion or $6.29 per share a year earlier, and operating profit dropped 32% to $1.57 billion as margins compressed.
The downturn was led by the Production & Precision Agriculture segment, where sales fell 16% and operating profit slid 50%, while Construction & Forestry also saw sales down 5% and profit nearly halved. The company cited challenging market conditions, weaker equipment demand, and macro headwinds, and narrowed its full-year net-income guidance to $4.75–$5.25 billion, dampening investor sentiment.
Meanwhile, Deere’s peer Caterpillar Inc. (CAT) has gained 58.2% on a YTD basis and 40.7% over the past year, outperforming DE.
Among the 23 analysts covering the DE stock, the overall consensus rating is a “Moderate Buy.” Its mean price target of $525.77 suggests an 11.9% upside potential from current price levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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