Analysts Adjust Price Targets After Deere's Q3 Performance

Author: Caleb Price Updated: 08-15-2025 02:13 PM

Deere & Company Reports Mixed Q3 Results

Deere & Company (NYSE: DE) recently disclosed its third-quarter performance, showcasing a mix of strong earnings yet a reduced profit forecast for the year ahead. This heavy machinery leader reported earnings per share of $4.75, exceeding analysts' expectations of $4.67. However, despite this earnings beat, the company's sales declined by 9% to reach $12.02 billion, surpassing the analyst consensus of $10.31 billion.

Sales Performance and Operational Adjustments

This drop in sales is primarily attributed to a 16% decrease in production and precision agriculture revenues, falling to $4.27 billion. Decreased shipment volumes and unfavorable price realizations significantly impacted these figures.

Management's Strategic Response

John May, the chairman and CEO of Deere, addressed these challenges, stating that the company had proactively managed its inventory, aligning production with retail demand. This alignment allows Deere and its dealers to react swiftly to market demands and shifts. Addressing the high level of used equipment in the market is a crucial part of building a healthier business environment for all stakeholders, according to May.

Revised Profit Forecast for Fiscal 2025

Alongside these results, Deere has narrowed its fiscal 2025 net income guidance, now estimating it will be between $4.75 billion and $5.25 billion. This is a revision from their previous range of $4.75 billion to $5.50 billion, a shift driven by cautious customer sentiment amidst prevailing market uncertainties.

Stock Performance Insights

Following the earnings announcement, Deere's stock experienced a modest increase, rising 1.7% to a trading price of $486.88. This stock performance highlights investor confidence despite the mixed results presented.

Analyst Rating Changes

In the wake of these results, analysts revised their price targets for DE, reflecting their outlook on the company:

Oppenheimer's Noah Kaye upheld an Outperform rating and increased the target from $560 to $566.
Truist Securities analyst Jamie Cook maintained a Buy rating, adjusting the price target downwards from $619 to $602.
Baird's Mircea Dobre retained a Neutral stance while lowering the price target from $520 to $488.

Concluding Thoughts

Considering investing in DE stock? Analyst opinions indicate cautious optimism amidst these changing forecasts. As Deere navigates through market challenges, potential investors may want to closely observe further developments and analyst feedback.

Frequently Asked Questions

What are Deere's latest earnings per share (EPS)?

Deere's latest earnings per share for the third quarter is $4.75, surpassing the expectations of $4.67.

How did Deere's sales perform in Q3?

Deere saw a 9% decline in sales for Q3, totaling $12.02 billion.

What is the adjustment to Deere's profit forecast for fiscal 2025?

Deere has narrowed its fiscal 2025 profit guidance to between $4.75 billion and $5.25 billion.

How did the stock react post-earnings release?

Deere's stock rose by 1.7%, reaching a trading price of $486.88.

What have analysts said about DE's stock?

Analysts have made adjustments to their price targets, reflecting a range of price targets reflecting both optimism and caution.

About The Author

Hey there I'm Caleb Price, a writer and financial specialist who loves to assist others in understanding the financial world. Having years of practical experience and a solid background in finance, my area of expertise is converting difficult financial ideas into useful, doable insights for my blog and publications. My goal with my writing is to give readers the information and assurance they need to successfully negotiate their financial journeys.

My ability to interact with a wide range of people—from novices starting their investing journey to seasoned investors looking for new approaches—has come from contributing to several financial blogs. Making money approachable and understandable is my goal; this will enable you to make wise choices and realize your financial objectives. We appreciate you coming along on this path to success and financial empowerment on Investors Hangout.

Contact Caleb Price privately here. Or send an email with ATTN: Caleb Price as the subject to contact@investorshangout.com.

About Investors Hangout

Investors Hangout is a leading online stock forum for financial discussion and learning, offering a wide range of free tools and resources. It draws in traders of all levels, who exchange market knowledge, investigate trading tactics, and keep an eye on industry developments in real time. Featuring financial articles, stock message boards, quotes, charts, company profiles, and live news updates. Through cooperative learning and a wealth of informational resources, it helps users from novices creating their first portfolios to experts honing their techniques. Join Investors Hangout today: https://investorshangout.com/

The content of this article is based on factual, publicly available information and does not represent legal, financial, or investment advice. Investors Hangout does not offer financial advice, and the author is not a licensed financial advisor. Consult a qualified advisor before making any financial or investment decisions based on this article. This article should not be considered advice to purchase, sell, or hold any securities or other investments. If any of the material provided here is inaccurate, please contact us for corrections.