Deere (DE) Stock Moves -0.39%: What You Should Know

Deere (DE) closed at $299.47 in the latest trading session, marking a -0.39% move from the prior day. This move was narrower than the S&P 500's daily loss of 0.88%. Meanwhile, the Dow lost 0.82%, and the Nasdaq, a tech-heavy index, added 0.08%.

Prior to today's trading, shares of the agricultural equipment manufacturer had lost 14.62% over the past month. This has lagged the Industrial Products sector's loss of 11.26% and the S&P 500's loss of 8.06% in that time.

Investors will be hoping for strength from Deere as it approaches its next earnings release. The company is expected to report EPS of $6.58, up 23.68% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $12.91 billion, up 23.94% from the year-ago period.

Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $23.27 per share and revenue of $47.83 billion. These totals would mark changes of +22.54% and +20.37%, respectively, from last year.

Investors might also notice recent changes to analyst estimates for Deere. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.24% lower. Deere is currently a Zacks Rank #3 (Hold).

In terms of valuation, Deere is currently trading at a Forward P/E ratio of 12.92. For comparison, its industry has an average Forward P/E of 12.92, which means Deere is trading at a no noticeable deviation to the group.

Investors should also note that DE has a PEG ratio of 0.99 right now. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. Manufacturing - Farm Equipment stocks are, on average, holding a PEG ratio of 0.99 based on yesterday's closing prices.

The Manufacturing - Farm Equipment industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 104, putting it in the top 42% of all 250+ industries.

The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow DE in the coming trading sessions, be sure to utilize Zacks.com.

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