Summary: The Zacks Manufacturing - Farm Equipment industry is expected to gain from sustained demand for agricultural equipment despite challenges like weak commodity prices and high costs. Major players like Deere, Kubota, AGCO Corp., Lindsay, and CNH Industrial are well-poised to benefit by expanding product offerings and investing in advanced technology. Despite the dull industry rank, these companies are expected to perform well.
Full articleSummary: Deere & Company's net income and sales revenue decreased in the second quarter of 2024 compared to the same period last year. The company's production and precision agriculture segment also experienced a decline. On the other hand, AGCO is investing in agricultural technology startups, and Midland has released a new handheld radio. Oshkosh Corporation is acquiring AUSA, a manufacturer of construction and agriculture equipment.
Full articleSummary: Deere & Company is set to release its second-quarter fiscal 2024 results with estimates suggesting a decline in earnings per share and total revenues compared to the year-ago period. However, the company's model predicts an earnings beat for the quarter. Key factors to consider include volatile agricultural commodity prices, production costs, and sales volume impact on margins. Segmental projections indicate revenue and profit declines in various segments. Despite some challenges, Deere has seen a 13.4% gain in share price over the past year.
Full articleSummary: The news provides an analysis of Deere's valuation based on price multiples, past earnings, cash flow consistency, and future growth expectations when compared to its competitors and industry mates.
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