Deere & Company to Open Two New U.S. Facilities
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 8h ago
0mins
Source: seekingalpha
- New Facility Construction: Deere & Company announced the opening of a state-of-the-art distribution center near Hebron, Indiana, and a $70 million excavator factory at its Kernersville, North Carolina campus, expected to begin operations within the next year, thereby enhancing its domestic manufacturing capabilities.
- Job Creation: The new facilities are projected to create approximately 300 jobs, which will not only aid local economic recovery but also enhance Deere's production capacity and market competitiveness.
- Stock Price Reaction: Following the announcement of the new factory plans, Deere's shares rose by 0.51%, reflecting the market's positive outlook on its expansion strategy, which may bolster investor confidence and drive future stock price increases.
- Long-Term Strategic Positioning: This investment signifies a commitment to U.S. manufacturing and highlights Deere's long-term growth potential in the agricultural machinery sector, particularly against the backdrop of rising global agricultural demand.
Analyst Views on DE
Wall Street analysts forecast DE stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for DE is 514.25 USD with a low forecast of 458.00 USD and a high forecast of 560.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
15 Analyst Rating
8 Buy
7 Hold
0 Sell
Moderate Buy
Current: 516.540
Low
458.00
Averages
514.25
High
560.00
Current: 516.540
Low
458.00
Averages
514.25
High
560.00
About DE
Deere & Company is engaged in the delivery of agricultural, construction and forestry equipment. Its segments include production and precision agriculture (PPA), small agriculture and turf (SAT), construction and forestry (CF), and financial services (FS). PPA segment defines, develops and delivers global equipment and technology solutions for production-scale growers of large grains, small grains, cotton and sugarcane. SAT segment defines, develops and delivers global equipment and technology solutions for dairy and livestock producers, high-value and small acreage crop producers, and turf and utility customers. CF segment defines, develops and delivers a range of machines and technology solutions organized along the earthmoving, forestry and roadbuilding production systems. FS segment finances sales and leases by John Deere dealers of new and used production and precision agriculture equipment and others. Its products include John Deere Autonomous 8R Tractor and E-Power Backhoe.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
