Source: Streetwise Reports 02/19/2021
Shares of Deere & Co registered a new 52-week high after the company reported net income of $1.224 billion in Q1/21 and raised its FY/21 earnings guidance to between $4.6 and 5.0 billion.
The company reported that in Q2/21, total worldwide net sales and revenues increased by 19% to $9.112 billion. The firm stated that the largest component of the revenues were from equipment operations net sales, which were $8.051 billion in Q1/21, compared to $6.530 billion in Q1/20. The balance of revenues recorded was derived mostly from financing and leasing operations.
Get our Weekly Commitment of Traders Reports: - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.
Get Our Free Metatrader 4 Indicators - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter
Deere & Co advised that for Q1/21 it posted net income of $1.224 billion, or $3.87 per share, compared with net income of $517 million, or $1.63 per share in Q1/20.
The company’s Chairman and CEO John C. May stated, “John Deere started 2021 on a strongly positive note…Our results were aided by outstanding performance across our business lineup and improving conditions in the farm and construction sectors. In addition, our smart industrial operating strategy is making a significant impact on the company’s results while it also helps our customers be more profitable and sustainable.”
Deere & Co also advised that due to improved conditions in agricultural and construction sectors that are setting the stage for a year of strong performance in 2021, it has raised its earnings forecast and stated that it expects FY/21 net income will be in the range of $4.6 billion to $5.0 billion.
“We are proud of our success executing the strategy and creating a more focused organization that can operate with greater speed and agility…As our recent performance shows, these steps are leading to improved efficiencies and helping the company target its resources and investments on areas that have the greatest impact. At the same time, even as we ramp up factory production and intensify our efforts to serve customers, we are mindful of the continuing challenges associated with the global pandemic. We remain committed, above all else, to safeguarding the health and well-being of our employees,” CEO May added.
Deere & Co is based in Moline, Ill., and is engaged in the manufacturing, sale and financing of equipment used in commercial agriculture, turf maintenance, construction and forestry. The global equipment firm is organized into three primary business segments: The first of these is the agriculture and turf segment, which makes and distributes its line of agriculture and turf equipment along with individualized replacement service parts. The second business segment manufactures and globally distributes construction equipment and forestry machines and attachments. The third operating business division provides financing and leasing via company dealers for larger new and used agriculture, construction and forestry equipment. In addition, to commercial financing activities, the firm also offers wholesale financing to dealers and finances retail customers purchases by offering revolving charge accounts and offers extended warranties for products purchased.
Deere & Co began the day with a market cap of around $94.4 billion with approximately 314.4 million shares outstanding. DE shares opened more than 6.5% higher today at $320.00 (+$19.75, +6.58%) over yesterday’s $300.25 closing price and mowed their way to a new 52-week high this morning of $335.21. The stock has traded today between $315.87 and $335.21 per share and is currently trading at $332.38 (+$32.13, +10.70%).
1) Stephen Hytha compiled this article for Streetwise Reports LLC and provides services to Streetwise Reports as an independent contractor. He or members of his household own securities of the following companies mentioned in the article: None. He or members of his household are paid by the following companies mentioned in this article: None.
2) The following companies mentioned in this article are billboard sponsors of Streetwise Reports: None. Click here for important disclosures about sponsor fees.
3) Comments and opinions expressed are those of the specific experts and not of Streetwise Reports or its officers. The information provided above is for informational purposes only and is not a recommendation to buy or sell any security.
5) From time to time, Streetwise Reports LLC and its directors, officers, employees or members of their families, as well as persons interviewed for articles and interviews on the site, may have a long or short position in securities mentioned. Directors, officers, employees or members of their immediate families are prohibited from making purchases and/or sales of those securities in the open market or otherwise from the time of the decision to publish an article until three business days after the publication of the article. The foregoing prohibition does not apply to articles that in substance only restate previously published company releases.