Overview

• Deere Q4 2025 revenue grows 11%, beating analyst expectations

• Adjusted EPS for Q4 2025 beats consensus, reflecting operational resilience

• Net income for Q4 2025 falls 14% yr/yr amid higher tariffs and costs

Outlook

• Deere projects fiscal 2026 net income between $4.00 bln and $4.75 bln

• Company expects 2026 to be the bottom of the large ag cycle

• Deere anticipates growth in small ag, turf, construction, and forestry sectors

Result Drivers

• HIGHER SHIPMENT VOLUMES - Increased shipment volumes contributed to sales growth in Production & Precision Agriculture and Construction & Forestry segments

• TARIFF IMPACT - Higher tariffs contributed to increased production costs, affecting operating profits across segments

• FINANCIAL SERVICES GROWTH - Financial Services net income rose due to favorable financing spreads and lower credit loss provisions

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 14 "strong buy" or "buy", 10 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the heavy machinery & vehicles peer group is "buy"

• Wall Street's median 12-month price target for Deere & Co is $517.50, about 3.7% above its November 25 closing price of $498.13

• The stock recently traded at 25 times the next 12-month earnings vs. a P/E of 25 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact RefinitivNewsSupport@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)