Deere (DE) Stock Pops After Earnings Beat, Results Seen as Strong
Shares of Deere (NYSE: DE) rose more than 1% after the company posted better-than-expected FQ1 2022 earnings and raised the net income forecast for the full-fiscal 2022.
The company reported EPS of $2.92 in the quarter, down from $3.87 per share in the year-ago period and topping the consensus estimates of $2.26 per share. Net sales came in at $8.53 billion, up 6% YOY, and outshining the analyst consensus of $8.2 billion.
For the full-fiscal 2022, Deere expects net income in the range of $6.7 billion to $7.1 billion, compared to the consensus estimates of $6.82 billion.
"We expect demand for farm and construction equipment to continue benefiting from strong fundamentals,” said CEO John May.
Goldman Sachs analyst Jerry Revich reiterated a Buy rating on DE stock “given accelerating precision ag adoption and ag machinery share of farmer capex that is approaching normalized levels this year following an extended capital stock reduction cycle.”
By Senad Karaahmetovic | [email protected]