PREVIEW: Deere seen reporting sharp acceleration in Q2 EPS, revenue
18/05/2023 18:12
** Deere & Co DE.N shares down 0.2% in session ahead of fiscal
Q2 results due out early Friday
** Wall Street sees heavy machinery co reporting Q2 adj EPS
of $8.59, which would be a 26% increase from yr-ago quarter on
rev of $14.83 bln, up 23% y/y, according to estimates gathered
by Refinitiv
** DE earnings beat estimates 7 of last 8 qtrs; rev beat in
6
** Late last month rival Caterpillar Inc CAT.N topped Wall
Street expectations with a 31% rise in its quarterly profit but
a flat order backlog left analysts saying that demand may have
peaked and the shares tumbled
** However, on May 5, agricultural and construction machine
maker CNH Industrial CNHI.MI CNHI.N raised its FY rev
forecast as Q1 operating profit topped expectations with strong
order backlog, resilient demand for its large tractors
** DE's stock last traded at $367.32 vs median PT of $462 as
per Refinitiv which shows 29 analyst ratings: 8 "strong buy," 11
"buy," 9 "hold" and 1 "strong sell"
** YTD, DE shares down ~14% after 4 straight years of gains.
In comparison, Dow Industrials .DJI up 0.4% YTD while the S&P
500 industrials index .SPLRCI is up 0.7% so far in 2023
(Reporting By Sinéad Carew)
((sinead.carew@thomsonreuters.com; +13322191897;))