Deere & Company

(New York Stock Exchange)
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Bullish +65

A $1,000 Stake in Deere From a Decade Ago Is Now Worth $7,882, and the Stock Is Up More Than 40% This Year

Earnings report Financial outlook AI-generated analysis

πŸ“ˆ Deere stock has appreciated from a $100.20 close in Nov 2016 to a $678.79 close in Nov 2026, turning an initial $1,000 stake into $7,882 with dividends reinvested.

🚜 Construction equipment sales grew 34% in the first three quarters of fiscal 2026, offsetting a weak farm demand cycle that saw revenue fall 11.7% in fiscal 2025.

πŸ’° Management raised its fiscal 2026 net income outlook to $4.75 billion to $5.00 billion and stated it believes the bottom of the farm equipment cycle has been reached.

πŸ”§ The company's See & Spray technology is delivering over 50% herbicide savings for farmers, with approximately 520 million acres now connected to its software platform.

πŸ“‰ Fiscal 2025 net income dropped 29.2% due to farm demand weakness, though the stock remains up 46% year-to-date as of mid-November 2026.

βš–οΈ Deere faces approximately $1.1 billion in direct tariff costs for fiscal 2026 and is currently involved in an FTC lawsuit concerning its right to repair policies.

πŸ“Š The stock trades at roughly 38 times trailing earnings and 30 times forward estimates, with a quarterly dividend yield of 0.94%.

Bullish Signals
  • Deere has delivered a 23% annualized return over the last decade, significantly outperforming the S&P 500 which gained roughly 250% versus Deere's 689%.
  • Construction equipment segment sales surged 34% in the first three quarters of fiscal 2026, driven by strong demand for infrastructure and data center work.
  • Management raised its full-year 2026 net income guidance to a range of $4.75 billion to $5.00 billion, signaling confidence in recovery.
  • The company's See & Spray technology is achieving more than 50% herbicide savings for farmers, enhancing operational efficiency and margins.
  • Deere has executed significant share buybacks, purchasing $1.138 billion of stock in fiscal 2025 and an additional $697 million through August 2026.
Risk Factors
  • Fiscal 2025 revenue fell 11.7% and net income dropped 29.2% due to a weakened farm demand cycle.
  • The company faces approximately $1.1 billion in direct tariff costs for fiscal 2026, impacting U.S. and Canadian large ag sales which are expected to be down 15% to 20%.
  • Deere is currently facing an FTC lawsuit regarding its right to repair policies, creating potential legal and reputational risks.
Full Analysis
Deere & Company (NYSE: DE) has delivered exceptional long-term performance, turning a $1,000 investment from November 2016 into $7,882 by November 2026 through share price appreciation and dividend reinvestment. This represents a 23% annualized return, significantly outpacing the S&P 500 over the same decade. The stock has also gained approximately 46% year-to-date as of mid-November 2026. The company's financial resilience is highlighted by strong construction equipment sales offsetting a downturn in agricultural demand. While fiscal 2025 saw revenue decline and net income drop, the first three quarters of fiscal 2026 showed segment sales growth ranging from 18% to 34%, driven by infrastructure and data center projects. Management has raised its full-year 2026 net income outlook to between $4.75 billion and $5.00 billion. Strategically, Deere continues to integrate advanced technology into its machinery, with over 520 million acres connected to its software ecosystem and its See & Spray system reducing herbicide usage by more than 50%. However, the company faces headwinds including roughly $1.1 billion in tariff costs for U.S. and Canadian sales and an ongoing FTC lawsuit regarding repair rights. Management views the current farm cycle as having reached its bottom.