Deere Stock Plows Out of Correction Before Earnings

Deere & Company makes equipment for farming, snow removal, lawn maintenance and construction. An improving economy and infrastructure spending should be a boon for this stock.

The stock closed Wednesday at $163.28, up 4.3% year to date after falling into correction territory at its 2018 low of $148.60 on Feb. 9. Deere shares are up 9.9% since then. The stock peaked with the market, setting its all-time intraday high of $171.96 on Jan. 26. Deere stock closed Wednesday at 5% below this high.

Analysts expect Deere to post earnings per share of $1.13 when it reports results before the opening bell on Friday, Feb. 16. Some analysts expect strong year-over-year overall sales growth, including a positive foreign-currency impact given the weak dollar. Deere recently acquired Wirtgen, which will add road-construction equipment to the mix. Traders and investors should also look for solid gains in the construction and forestry segments. (See also: Deere & Co.: How it Makes Money.)

Deere reports earnings on Friday with a market-neutral P/E ratio of 24.29 and a dividend yield of 1.49%. …read more

Read more here: Deere Stock Plows Out of Correction Before Earnings

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