Fundamental analysis · SEC EDGAR · TTM through 03/05/2026

Fundamental analysis of Deere & Co

DE · NYSE · Industrial

Fundamental quality

REASONABLE

74

out of 100

Deere & Co earns a fundamental-quality score of 74 out of 100, profiling it as a company of reasonable quality. Its score rests mainly on its financial strength (net debt 0.67× EBITDA). Its weakest area is its growth (revenue +5.4%/yr). Whether it's cheap or expensive depends on the current price, which you can compute in the tool.

What the company does

Deere (John Deere) is the world's largest maker of farm machinery —tractors, combines— plus construction and forestry equipment. Its bet is precision agriculture: increasingly autonomous, connected machines partly monetized as subscription software.

What will shape its future

  • Farm income: when crop prices fall, farmers postpone machinery purchases.
  • Precision agriculture and software subscriptions, which could make its revenue less cyclical.
  • Its customers' access to financing (interest rates) to pay for very expensive equipment.

Breakdown by area

I.Growth
59

EPS growth: 13.7% · Revenue growth: 5.4%

II.Profitability
71

Net margin: 10.1% · ROE: 17.5% · ROIC: 20.1%

III.Financial health
88

Net debt/EBITDA: 0.67x · FCF: 14.1%

Source: SEC EDGAR · TTM through 03/05/2026

The score includes +1 for dividend strength: 5 consecutive years of increases. Keeping that streak demands growing cash generation and balance-sheet discipline.

The score combines growth, profitability and financial strength. Here its financial strength weighs in its favor, while its growth drags it down the most.

Versus its sector

Percentile against the other 69 Industrial companies in our coverage: how far it beats them on each metric (100 = best in sector).

Net marginbeats 55%
ROEbeats 52%
Growthbeats 34%
Cash generationbeats 71%
Less debtbeats 81%

Computed from the daily dataset scores. A high percentile places the company among the best in its sector on that metric; it is not a buy recommendation.

Key concepts

What do these metrics mean? Fundamental analysis · What is the P/E · What is EPS · What is ROE · Net & gross margin · Free cash flow

Deere & Co strengths

  • Strong free-cash-flow generation (FCF margin of 14.1%): profit turns into real cash.
  • Growing earnings per share (13.7% annualized).
  • It has cut its net debt over the period.
  • Solid net margin (10.1%): the business is clearly profitable.

Deere & Co risks and weaknesses

  • No clear weaknesses in the recent fundamentals, though the system doesn't assess qualitative factors (competition, regulation, management).

Deere & Co historical evolution

YearRevenueNet incomeFree cash flowNet debt
202035,5402,7516,66334,250
202144,0245,9636,87835,790
202252,5777,1313,5657,818
202361,25110,1667,09110,481
202451,7167,1007,5916,209
202545,6845,0276,0995,520

Between 2020 and 2025, revenue went from $35,540M to $45,684M (+29%) and net income went from $2,751M to $5,027M (+83%). Meanwhile, its margins have widened (from 8% to 11%).

Annual figures in millions of U.S. dollars ($M) per SEC filings. Net debt is total debt minus cash.

Latest results

Versus the same period a year earlier

Figures for the half-year ended May 3, 2026, versus the half-year ended April 27, 2025 (SEC filings):

  • Revenue+8%
  • Net income-9.1%

Automatic comparison between the two most recent periods filed with the SEC. One quarter doesn't make a trend: read it alongside the historical evolution above.

Dividend

$6.48

per share, yearly

34.2% of earnings

Payout

5 straight years raising it

Growth

The dividend yield depends on today's price. Compute it in the analyzer → · See all dividend-paying stocks →

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Is Deere & Co cheap or expensive?

That depends on the current price. Look it up, enter it in the tool and get the full valuation verdict (P/E against its sector).

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Frequently asked questions

Is Deere & Co a good company to invest in?

In terms of business quality, Deere & Co scores 74 out of 100 in our analysis, placing it as a company of reasonable quality. That said, this isn't a recommendation: whether it's a good investment also depends on its current price and your goals.

Is Deere & Co a profitable company?

Yes. Deere & Co shows a net margin of 10.1% and an ROE of 17.5%, a sign of a profitable business.

Does Deere & Co have a lot of debt?

Not particularly. Its net debt is 0.67 times its EBITDA, a low level.

Is Deere & Co growing?

Its revenue has grown 5.4% annualized in recent years and its earnings per share 13.7%.

Does Deere & Co generate cash?

Yes. It converts about 14.1% of its revenue into free cash flow, and has done so positively year after year.

The thresholds are general and the system doesn't judge qualitative factors. See the full methodology and use this analysis as a first filter, never as a final decision.

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