Citi anticipates Deere shares to react positively to Q4 beat

Citi notes Deere (DE) reported fiscal Q4 adjusted EPS of $4.55, which was above the firm’s estimate of $3.75 and the consensus estimate of $3.87, driven by better-than-anticipated margins across all segments. Deere’s initial forecast for FY25 net income of $5B-$5.5B equates to EPS of about $19 at the midpoint, versus Citi at $20.35 and the consensus of $21.58, the analyst noted. The firm anticipates shares to react positively to the Q4 beat on solid margin performance, though it believes the FY25 guidance is “fairly in-line with investor expectations.” Citi has a Neutral rating and $410 price target on Deere shares.