Deere & Co.

  • Market Cap: Large Cap
  • Industry: Automobiles
  • ISIN: US2441991054
USD
475.05
-5.95 (-1.24%)
  • Price Points
  • Score
  • Mojo Parameters
  • Total Return
  • News and Corporate Actions
  • Key factors
  • Shareholding
  • Financials
  • CompanyCV
stock-recommendationScore
Click here to find our call on this stock
Strong Sell
Sell
Hold
Buy
Strong Buy

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Comparison
Company
Score
Quality
Valuation
Financial
Technical
AGCO Corp.
Cummins, Inc.
The Toro Co.
BorgWarner, Inc.
SiteOne Landscape Supply, Inc.
Westinghouse Air Brake Technologies Corp.
BWX Technologies, Inc.
Caterpillar, Inc.
Deere & Co.
PACCAR, Inc.
CNH Industrial NV
Why is Deere & Co. ?
1
The company has declared Negative results for the last 4 consecutive quarters
  • NET SALES(9M) At USD 33,291 MM has Grown at -17.95%
  • NET PROFIT(HY) At USD 3,022.22 MM has Grown at -26.01%
  • ROCE(HY) Lowest at 21.59%
2
With ROCE of 12.69%, it has a very expensive valuation with a 3.88 Enterprise value to Capital Employed
  • The stock is trading at a discount compared to its peers' average historical valuations
  • Over the past year, while the stock has generated a return of 6.23%, its profits have fallen by -47.7%
stock-recommendationReal-Time Research Report
Verdict Report
How much should you sell?
  1. All quantity irrespective of whether you are making profits or losses

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Automobiles)

When to re-enter? - We will constantly monitor the company and review our call based on new data

Is Deere & Co. for you?

Low Risk, High Return

Absolute
Risk Adjusted
Volatility
Deere & Co.
11.51%
1.06
27.45%
S&P 500
11.09%
0.70
20.15%
stock-recommendationQuality
stock-summaryManagement Risk
stock-summaryGrowth
stock-summaryCapital Structure
stock-recommendation
Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors
Factor
Value
Sales Growth (5y)
4.46%
EBIT Growth (5y)
15.33%
EBIT to Interest (avg)
8.27
Debt to EBITDA (avg)
3.99
Net Debt to Equity (avg)
2.36
Sales to Capital Employed (avg)
0.63
Tax Ratio
20.25%
Dividend Payout Ratio
22.95%
Pledged Shares
0
Institutional Holding
76.07%
ROCE (avg)
15.14%
ROE (avg)
34.70%
stock-recommendationValuation
Valuation Scorecard stock-summary
stock-recommendation
Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors stock-summary
Factor
Value
P/E Ratio
49
Industry P/E
Price to Book Value
10.69
EV to EBIT
30.60
EV to EBITDA
25.29
EV to Capital Employed
3.88
EV to Sales
6.95
PEG Ratio
NA
Dividend Yield
0.70%
ROCE (Latest)
12.69%
ROE (Latest)
21.95%
stock-recommendationTechnicals
Technical key factors
Indicator
Weekly
Monthly
MACD
Mildly Bullish
Mildly Bearish
RSI
No Signal
No Signal
Bollinger Bands
Sideways
Bullish
Moving Averages
Mildly Bearish (Daily)
KST
Mildly Bullish
Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
Mildly Bullish
stock-recommendation Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish  Turned 
Technical Movement
stock-recommendationFinancial Trend
Financial Trend Scorecard stock-summary
stock-recommendation
Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

5What is working for the Company
DIVIDEND PER SHARE(HY)

Highest at USD 4.76

DIVIDEND PAYOUT RATIO(Y)

Highest at 34.11%

CASH AND EQV(HY)

Highest at USD 19,250 MM

DEBT-EQUITY RATIO (HY)

Lowest at 226.19 %

-10What is not working for the Company
NET SALES(9M)

At USD 33,291 MM has Grown at -17.95%

NET PROFIT(HY)

At USD 3,022.22 MM has Grown at -26.01%

ROCE(HY)

Lowest at 21.59%

RAW MATERIAL COST(Y)

Grown by 7.22% (YoY

DEBTORS TURNOVER RATIO(HY)

Lowest at 4.76 times

Here's what is working for Deere & Co.
Dividend per share
Highest at USD 4.76 and Grown
In each year in the last five years
MOJO Watch
Company is distributing higher dividend from profits generated

DPS (USD)

Cash and Eqv
Highest at USD 19,250 MM
in the last six Semi-Annual periods
MOJO Watch
Short Term liquidity is improving

Cash and Cash Equivalents

Debt-Equity Ratio
Lowest at 226.19 %
in the last five Semi-Annual periods
MOJO Watch
The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Dividend Payout Ratio
Highest at 34.11%
in the last five years
MOJO Watch
Company is distributing higher proportion of profits generated as dividend

DPR (%)

Depreciation
Highest at USD 564 MM
in the last five periods
MOJO Watch
The expenditure on assets done by the company may have gone into operation

Depreciation (USD MM)

Here's what is not working for Deere & Co.
Net Profit
At USD 3,022.22 MM has Grown at -26.01%
Year on Year (YoY)
MOJO Watch
Near term Net Profit trend is negative

Net Profit (USD MM)

Net Sales
At USD 33,291 MM has Grown at -17.95%
Year on Year (YoY)
MOJO Watch
Near term sales trend is negative

Net Sales (USD MM)

Debtors Turnover Ratio
Lowest at 4.76 times
in the last five Semi-Annual periods
MOJO Watch
Company's pace of selling Debtors has slowed

Debtors Turnover Ratio

Raw Material Cost
Grown by 7.22% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has deteriorated; this may lead to a fall in profit margin

Raw Material Cost as a percentage of Sales