10 Best Industrial Machinery Stocks to Buy Now

5. Deere & Company (NYSE:DE)

Number of Hedge Fund Investors: 50

Revenue Growth Rate (year-over-year): 16.47%

Deere & Company (NYSE:DE) is the world’s largest producer of agricultural equipment, manufacturing some of the most recognizable machines in the heavy machinery business in green and yellow. John Deere Capital, small agriculture and turf, construction and forestry, and production and precision agriculture are the company’s four reportable segments. More than 2,000 dealer sites in North America and over 3,700 dealer locations worldwide contribute to its vast dealer network, which makes its products accessible. John Deere Capital offers retail financing for machinery to its clients as well as wholesale finance for dealers, which raises the potential for Deere product sales.

Deere & Company (NYSE:DE) provides a wide range of construction and agricultural equipment to its customers. According to analysts, it will remain the industry leader in agriculture and a major force in construction. The company’s dominant brand recognition stems from its more than 100 years as the leading producer of mission-critical agricultural equipment. Deere’s superior, incredibly long-lasting, and effective goods are the foundation of its powerful brand. Its ability to reduce total costs of ownership through productivity and other efficiency improvements is highly valued by customers in developed markets.

Following a discussion with management, JPMorgan analyst Tami Zakaria increased the company’s price target from $360 to $420 on October 11, 2024, and maintained a Neutral rating on the shares. Deere & Company (NYSE:DE) is expected to release fiscal 2025 guidance bracketing consensus, which is higher than the bear’s estimate of mid-teen earnings per share, according to the firm. It believes that if retail sales in Brazil stabilize and North America doesn’t continue to deteriorate, the current consensus predictions for fiscal 2025 would be attainable.

Parnassus Core Equity Fund stated the following regarding Deere & Company (NYSE:DE) in its Q2 2024 investor letter:

“Deere & Company (NYSE:DE) stock dropped after the company released underwhelming fiscal second-quarter earnings and lowered its 2024 guidance. Although the company is going through an equipment demand downturn, we believe it will demonstrate better-than-expected through-cycle performance.”

Tom Gayner’s Markel Gayner Asset Management was the company’s largest stakeholder at the end of Q2 2024, as per Insider Monkey’s database. It owns 869,100 shares worth $362.70 million as of Q2.