
Deere & Company (DE)
Deere & Company is the iconic maker of those famous green and yellow tractors, helping farmers and construction crews get the job done worldwide.
Is Deere & Company a good stock for a UK beginner?
The honest version: Deere & Company is the iconic maker of those famous green and yellow tractors, helping farmers and construction crews get the job done worldwide.
Over about 2 years to 2026-07-31. This is the share price only - reinvesting the dividends would add to it. And it's the USD return - as a UK investor your actual £ return also moves with the exchange rate. Past performance is not a guide to the future, and it could just as easily have fallen.
Based on beta - how much the price swings versus the whole market. Bumpier isn't bad; it just means a rougher ride, which matters more the sooner you might need the money.
Prices move on results, news and the mood of the whole market - no single headline explains a day, and a quiet week is usually just noise, not a signal.
Deere becomes the dominant software provider for the global farming industry.
Increased competition from cheaper international machinery manufacturers.
What does Deere & Company do?
Deere & Company is a giant in the world of heavy machinery, best known for its agricultural equipment, but it also builds machines for construction and forestry. Profits come from selling these high-tech vehicles and charging for the software and parts that keep them running in the field. Global crop prices matter most here, since they shape farmers' budgets and, in turn, whether they upgrade their fleet of tractors.
On our factor screen it looks strongest on momentum and income, and weakest on growth.
- ✓Pays a dividend - about 1.1% a year
- !Revenue slipped about 11% over the year
- !High P/E of 34 - big growth is already priced in
- !Carries a lot of debt - roughly 3.8x its equity
- ✓Strong return on shareholder money (ROE 18%)
- Strong brand recognition and customer loyalty in the farming sector
- Increasing focus on high-margin software and data services
- Solid track record of profitability and efficient use of capital
- Growth screens low (11/100)
- Fluctuations in global commodity prices impacting farmer income
- Supply chain disruptions affecting manufacturing output
- Rising interest rates making it harder for customers to finance expensive equipment
What do Deere & Company's numbers mean?
How much money does Deere & Company make?
Revenue and profit by quarter, and how much of each sale turns into profit.
Does Deere & Company pay a dividend?
Yes - Deere & Company currently pays a dividend of about 1.1% a year (the yearly payout as a share of the price). A dividend is a slice of profit handed to shareholders; the yield moves as the price moves, and a company can cut or stop it.
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What are the scenarios for Deere & Company?
An illustrative range for the year ahead, with the assumption behind each case — not a prediction or a price target.
What are the pros and cons of Deere & Company?
How many points the write-up makes each way — a balance check, not a score or verdict.
- Strong brand recognition and customer loyalty in the farming sector
- Increasing focus on high-margin software and data services
- Solid track record of profitability and efficient use of capital
- Business is highly sensitive to the cyclical nature of farming
- Recent revenue and earnings growth have been negative
- High valuation compared to some other industrial companies
- Fluctuations in global commodity prices impacting farmer income
- Supply chain disruptions affecting manufacturing output
- Rising interest rates making it harder for customers to finance expensive equipment
The write-up's own warning lights — if these start happening, the case above changes.
- A sustained, multi-year collapse in global crop prices
- A major failure in the company's transition to autonomous and digital farming tools
Built from public filings & market prices, checked for an education-only tone, and never a price target. How we make these →
This plain-English summary was auto-generated on 2026-08-01 from public data and checked for an education-only, no-advice tone (the figures above carry their own, usually fresher, 'as of' date). It's information, never a recommendation.