Nightview Capital, an investment management company that concentrates exclusively on publicly traded equity strategies released its fourth quarter 2024 investor letter. A copy of the letter can be downloaded here. This letter highlights five transformative trends that the firm is observing for 2025 and beyond, along with a review of key companies in the portfolio and how the portfolio is evolving in response to these trends. For more information on the fund’s top picks in 2024, please check its top five holdings.
In its fourth quarter 2024 investor letter, Nightview Capital emphasized stocks such as Deere & Company (NYSE:DE). Deere & Company (NYSE:DE) manufactures and distributes various equipment. The one-month return Deere & Company (NYSE:DE) was 0.64%, and its shares gained 17.74% of their value over the last 52 weeks. On March 26, 2025, Deere & Company (NYSE:DE) stock closed at $483.62 per share with a market capitalization of $131.261 billion.
Nightview Capital stated the following regarding Deere & Company (NYSE:DE) in its Q4 2024 investor letter:
“In January, we purchased shares of Deere & Company (NYSE:DE) based on a simple thesis: the 185-year-old company is evolving from a machinery manufacturer into a technology leader in an industry that urgently needs innovation.
Deere’s vision of autonomous tractors, dump trucks, and mowers address critical labor shortages, enabling farmers, builders, and landscapers to maintain productivity with fewer workers.”
Deere’s potential to transform the multi-trillion-dollar agriculture market is significant. Technologies like its See & Spray system, which reduced herbicide use by nearly 60% across over one million acres in 2024, demonstrate its ability to drive efficiency and environmental benefits. Its connected ecosystems, such as the John Deere Operations Center, are integrating machinery and data to improve decision-making and outcomes for customers.
The company has also implemented structural improvements to weather challenging market conditions. In 2024, Deere generated $6.9 billion in operating cash flow from equipment operations, achieving 18.2% operating margins despite lower shipment volumes. These measures support reinvestment in technology and steady shareholder returns, while maintaining operational discipline.
Deere’s continued pivot toward technology-driven solutions and recurring revenue models, such as pay-per-use and software licensing, enhances its ability to serve modern farmers and contractors effectively. We are optimistic about the company’s ability to lead innovation in its markets and will share further updates as we continue to evaluate its long-term prospects.”
A combine harvesting crops, showing the capabilities of the company’s agriculture equipment.
Deere & Company (NYSE:DE) is not on our list of 30 Most Popular Stocks Among Hedge Funds. As per our database, 57 hedge fund portfolios held Deere & Company (NYSE:DE) at the end of the fourth quarter compared to 41 in the third quarter. While we acknowledge the potential of Deere & Company (NYSE:DE) as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns, and doing so within a shorter timeframe. If you are looking for an AI stock that is as promising as NVIDIA but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
We covered Deere & Company (NYSE:DE) in another article, where we shared the list of top stocks according to Bill Gates. In addition, please check out our hedge fund investor letters Q4 2024 page for more investor letters from hedge funds and other leading investors.
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Disclosure: None. This article is originally published at Insider Monkey.