Deere & Company (NYSE:DE) a Sell: J.P. Morgan

In a research note issued to investors, Ann Duignan at J.P. Morgan Downgraded Deere & Company (NYSEDE) to a Sell. The analyst placed a $84.00 price target on the stock which indicates a 10.45% upside to the last closing price. In the year following Duignan’s ratings, the stocks covered yield an average return of 3.3% according to In the past year 31 out of 48 recommendations or 65% were successful.

There are 11 research firms in total that have issued ratings on Deere & Company (NYSE:DE) within the past year. The consensus, or mean target price of the Wall Street analysts covering the firm is $87.272. The most recent revision to the consensus target was on 2015-05-27. Analysts are predicting that Deere & Company (NYSE:DE) will report $1.41 earnings per share when they next issue their quarterly earnings release on or around 2015-08-21.

The consensus mean estimate is the calculated mean of all brokerage sell-side analysts that issue earnings estimates for the company. In the most recent quarter the company reported earnings of $2.03 that ended on 2015-04-30. Deere & Company (NYSE:DE) has a 3.35 consensus analyst rating on the stock based on an arithmetical average of the 11 ratings given by the brokerage analysts covering the company. This number is based on a 1 to 5 scale where 1 indicates a Strong Buy recommendation while 5 represents a Strong Sell. The highest estimate of the 11 covering analysts sees the stock climbing to $106 within the next year while the lowest estimate places the 12-month target price at $72.

Looking ahead to full year estimates, analysts have placed the consensus earnings per share estimate for the current year at $4.95. The most bullish analyst sees the company reporting earnings per share of $5.6 while the most bearish analyst is predicting a current year EPS number of $4.29. Looking further ahead to the next three to five years, the long term EPS growth rate on a consensus basis is 7.67%, based on the 6 analysts providing longer term projections in their models.

Deere & Company (John Deere) along with its subsidiaries, operates in three segments: agriculture and turf, construction and forestry and financial services. The John Deere agriculture and turf segment manufactures and distributes a line of agricultural and turf equipment and related service parts. John Deere construction, earthmoving, material handling and forestry equipment includes a broad range of backhoe loaders, crawler dozers and loaders, four-wheel-drive loaders, excavators, motor graders, articulated dump trucks, landscape loaders, skid-steer loaders, log skidders, log feller bunchers, log loaders, log forwarders, log harvesters and a range of attachments. The financial services segment primarily finances sales and leases by John Deere dealers of new and used agriculture and turf equipment and construction and forestry equipment.