Deere & Company’s shares advanced 2.6% on Monday after Baird upgraded the stock to Outperform from Neutral, citing the company’s leading position in North American row-crop equipment demand.
Analyst Mircea Dobre raised the price target to $800 from $640, emphasizing Deere’s exposure to a recovering agriculture market. Dobre described the company as the "cleanest setup" among peers due to its high North America exposure, adding that it is typically the first stock investors target when seeking a fundamental inflection in the sector. He noted that early order programs for planters and sprayers are up mid-single digits compared with last year’s completed program, providing early visibility into a rebound in production and precision agriculture.
The upgrade reflects expectations that Deere is best positioned to benefit from a trough in North America’s large agriculture base, supported by strong execution. Dobre projected earnings per share nearing $25 in 2027 and reaching the mid-$30s in 2028, as a cyclical recovery in North America gathers momentum. Early order programs could see further increases by completion, he added.
