DEERE & CO (DCO.DE) Fundamental Analysis & Valuation
FRA:DCO • US2441991054
Current stock price
497.95 EUR
+9.75 (+2%)
Last:
This DCO.DE fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. DCO.DE Profitability Analysis
1.1 Basic Checks
- In the past year DCO was profitable.
- In the past year DCO had a positive cash flow from operations.
- Each year in the past 5 years DCO has been profitable.
- In the past 5 years DCO always reported a positive cash flow from operatings.
1.2 Ratios
- DCO has a better Return On Assets (4.65%) than 67.29% of its industry peers.
- With an excellent Return On Equity value of 18.30%, DCO belongs to the best of the industry, outperforming 86.92% of the companies in the same industry.
- Looking at the Return On Invested Capital, with a value of 9.51%, DCO belongs to the top of the industry, outperforming 80.37% of the companies in the same industry.
- DCO had an Average Return On Invested Capital over the past 3 years of 11.93%. This is above the industry average of 8.62%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.65% | ||
| ROE | 18.3% | ||
| ROIC | 9.51% |
ROA(3y)7.04%
ROA(5y)7.23%
ROE(3y)32.38%
ROE(5y)32.94%
ROIC(3y)11.93%
ROIC(5y)11.53%
1.3 Margins
- With an excellent Profit Margin value of 10.29%, DCO belongs to the best of the industry, outperforming 87.85% of the companies in the same industry.
- DCO's Profit Margin has improved in the last couple of years.
- DCO has a Operating Margin of 19.79%. This is amongst the best in the industry. DCO outperforms 93.46% of its industry peers.
- DCO's Operating Margin has improved in the last couple of years.
- Looking at the Gross Margin, with a value of 37.15%, DCO is in line with its industry, outperforming 43.93% of the companies in the same industry.
- In the last couple of years the Gross Margin of DCO has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 19.79% | ||
| PM (TTM) | 10.29% | ||
| GM | 37.15% |
OM growth 3Y2.78%
OM growth 5Y5.53%
PM growth 3Y-6.96%
PM growth 5Y7.29%
GM growth 3Y5.48%
GM growth 5Y2.6%
2. DCO.DE Health Analysis
2.1 Basic Checks
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DCO is still creating some value.
- Compared to 1 year ago, DCO has less shares outstanding
- DCO has less shares outstanding than it did 5 years ago.
- DCO has a better debt/assets ratio than last year.
2.2 Solvency
- DCO has a debt to FCF ratio of 17.47. This is a negative value and a sign of low solvency as DCO would need 17.47 years to pay back of all of its debts.
- DCO has a Debt to FCF ratio of 17.47. This is in the lower half of the industry: DCO underperforms 66.36% of its industry peers.
- A Debt/Equity ratio of 1.83 is on the high side and indicates that DCO has dependencies on debt financing.
- With a Debt to Equity ratio value of 1.83, DCO is not doing good in the industry: 86.92% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.83 | ||
| Debt/FCF | 17.47 | ||
| Altman-Z | N/A |
ROIC/WACC1
WACC9.55%
2.3 Liquidity
- DCO has a Current Ratio of 0.90. This is a bad value and indicates that DCO is not financially healthy enough and could expect problems in meeting its short term obligations.
- DCO has a worse Current ratio (0.90) than 92.52% of its industry peers.
- DCO has a Quick Ratio of 0.90. This is a bad value and indicates that DCO is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.65, DCO is doing worse than 82.24% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.65 |
3. DCO.DE Growth Analysis
3.1 Past
- The earnings per share for DCO have decreased strongly by -20.57% in the last year.
- Measured over the past years, DCO shows a quite strong growth in Earnings Per Share. The EPS has been growing by 16.52% on average per year.
- Looking at the last year, DCO shows a decrease in Revenue. The Revenue has decreased by -2.61% in the last year.
- Measured over the past years, DCO shows a small growth in Revenue. The Revenue has been growing by 5.15% on average per year.
EPS 1Y (TTM)-20.57%
EPS 3Y-7.13%
EPS 5Y16.52%
EPS Q2Q%-24.14%
Revenue 1Y (TTM)-2.61%
Revenue growth 3Y-4.34%
Revenue growth 5Y5.15%
Sales Q2Q%17.51%
3.2 Future
- The Earnings Per Share is expected to grow by 22.83% on average over the next years. This is a very strong growth
- The Revenue is expected to grow by 15.42% on average over the next years. This is quite good.
EPS Next Y-1.43%
EPS Next 2Y12.84%
EPS Next 3Y16.85%
EPS Next 5Y22.83%
Revenue Next Year7.55%
Revenue Next 2Y8.71%
Revenue Next 3Y9.3%
Revenue Next 5Y15.42%
3.3 Evolution
- When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. DCO.DE Valuation Analysis
4.1 Price/Earnings Ratio
- With a Price/Earnings ratio of 32.25, DCO can be considered very expensive at the moment.
- DCO's Price/Earnings is on the same level as the industry average.
- The average S&P500 Price/Earnings ratio is at 25.51. DCO is valued slightly more expensive when compared to this.
- A Price/Forward Earnings ratio of 24.28 indicates a rather expensive valuation of DCO.
- Based on the Price/Forward Earnings ratio, DCO is valued a bit more expensive than 65.42% of the companies in the same industry.
- Compared to an average S&P500 Price/Forward Earnings ratio of 22.76, DCO is valued at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.25 | ||
| Fwd PE | 24.28 |
4.2 Price Multiples
- DCO's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. DCO is more expensive than 69.16% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, DCO is valued a bit more expensive than the industry average as 66.36% of the companies are valued more cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 43.65 | ||
| EV/EBITDA | 17.56 |
4.3 Compensation for Growth
- DCO has an outstanding profitability rating, which may justify a higher PE ratio.
- A more expensive valuation may be justified as DCO's earnings are expected to grow with 16.85% in the coming years.
PEG (NY)N/A
PEG (5Y)1.95
EPS Next 2Y12.84%
EPS Next 3Y16.85%
5. DCO.DE Dividend Analysis
5.1 Amount
- With a Yearly Dividend Yield of 1.11%, DCO has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.60, DCO has a dividend in line with its industry peers.
- With a Dividend Yield of 1.11, DCO pays less dividend than the S&P500 average, which is at 1.89.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
5.2 History
- On average, the dividend of DCO grows each year by 15.78%, which is quite nice.
Dividend Growth(5Y)15.78%
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
- DCO pays out 36.52% of its income as dividend. This is a sustainable payout ratio.
- The dividend of DCO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP36.52%
EPS Next 2Y12.84%
EPS Next 3Y16.85%
DCO.DE Fundamentals: All Metrics, Ratios and Statistics
FRA:DCO (4/2/2026, 5:28:55 PM)
497.95
+9.75 (+2%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)02-19 2026-02-19/bmo
Earnings (Next)05-21 2026-05-21/bmo
Inst Owners75.61%
Inst Owner ChangeN/A
Ins Owners0.1%
Ins Owner ChangeN/A
Market Cap134.50B
Revenue(TTM)46.79B
Net Income(TTM)4.81B
Analysts74.71
Price Target571.9 (14.85%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.11% |
Yearly Dividend5.51
Dividend Growth(5Y)15.78%
DP36.52%
Div Incr Years4
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)6.92%
Min EPS beat(2)-0.87%
Max EPS beat(2)14.71%
EPS beat(4)3
Avg EPS beat(4)8.18%
Min EPS beat(4)-0.87%
Max EPS beat(4)15.53%
EPS beat(8)6
Avg EPS beat(8)7.56%
EPS beat(12)10
Avg EPS beat(12)9.54%
EPS beat(16)12
Avg EPS beat(16)7.4%
Revenue beat(2)2
Avg Revenue beat(2)2.69%
Min Revenue beat(2)1.06%
Max Revenue beat(2)4.32%
Revenue beat(4)3
Avg Revenue beat(4)0.85%
Min Revenue beat(4)-2.49%
Max Revenue beat(4)4.32%
Revenue beat(8)4
Avg Revenue beat(8)-1.6%
Revenue beat(12)5
Avg Revenue beat(12)-1.09%
Revenue beat(16)8
Avg Revenue beat(16)0.74%
PT rev (1m)0%
PT rev (3m)26.39%
EPS NQ rev (1m)1.14%
EPS NQ rev (3m)5.05%
EPS NY rev (1m)8.16%
EPS NY rev (3m)8.23%
Revenue NQ rev (1m)0.3%
Revenue NQ rev (3m)-1.09%
Revenue NY rev (1m)1.51%
Revenue NY rev (3m)0.01%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.25 | ||
| Fwd PE | 24.28 | ||
| P/S | 3.34 | ||
| P/FCF | 43.65 | ||
| P/OCF | 20.27 | ||
| P/B | 5.93 | ||
| P/tB | 7.38 | ||
| EV/EBITDA | 17.56 |
EPS(TTM)15.44
EY3.1%
EPS(NY)20.51
Fwd EY4.12%
FCF(TTM)11.41
FCFY2.29%
OCF(TTM)24.57
OCFY4.93%
SpS149.26
BVpS83.9
TBVpS67.44
PEG (NY)N/A
PEG (5Y)1.95
Graham Number170.73
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.65% | ||
| ROE | 18.3% | ||
| ROCE | 13.18% | ||
| ROIC | 9.51% | ||
| ROICexc | 10.43% | ||
| ROICexgc | 11.92% | ||
| OM | 19.79% | ||
| PM (TTM) | 10.29% | ||
| GM | 37.15% | ||
| FCFM | 7.64% |
ROA(3y)7.04%
ROA(5y)7.23%
ROE(3y)32.38%
ROE(5y)32.94%
ROIC(3y)11.93%
ROIC(5y)11.53%
ROICexc(3y)13.13%
ROICexc(5y)12.71%
ROICexgc(3y)14.42%
ROICexgc(5y)13.98%
ROCE(3y)18.3%
ROCE(5y)17.43%
ROICexgc growth 3Y-7.7%
ROICexgc growth 5Y2.28%
ROICexc growth 3Y-7.44%
ROICexc growth 5Y3.01%
OM growth 3Y2.78%
OM growth 5Y5.53%
PM growth 3Y-6.96%
PM growth 5Y7.29%
GM growth 3Y5.48%
GM growth 5Y2.6%
F-Score5
Asset Turnover0.45
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.83 | ||
| Debt/FCF | 17.47 | ||
| Debt/EBITDA | 4.17 | ||
| Cap/Depr | 181.72% | ||
| Cap/Sales | 8.82% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 66.81% | ||
| Profit Quality | 74.28% | ||
| Current Ratio | 0.9 | ||
| Quick Ratio | 0.65 | ||
| Altman-Z | N/A |
F-Score5
WACC9.55%
ROIC/WACC1
Cap/Depr(3y)213.12%
Cap/Depr(5y)193.02%
Cap/Sales(3y)8.62%
Cap/Sales(5y)7.8%
Profit Quality(3y)55.73%
Profit Quality(5y)53.25%
High Growth Momentum
Growth
EPS 1Y (TTM)-20.57%
EPS 3Y-7.13%
EPS 5Y16.52%
EPS Q2Q%-24.14%
EPS Next Y-1.43%
EPS Next 2Y12.84%
EPS Next 3Y16.85%
EPS Next 5Y22.83%
Revenue 1Y (TTM)-2.61%
Revenue growth 3Y-4.34%
Revenue growth 5Y5.15%
Sales Q2Q%17.51%
Revenue Next Year7.55%
Revenue Next 2Y8.71%
Revenue Next 3Y9.3%
Revenue Next 5Y15.42%
EBIT growth 1Y-17.8%
EBIT growth 3Y-1.68%
EBIT growth 5Y10.96%
EBIT Next Year21.5%
EBIT Next 3Y23.55%
EBIT Next 5Y23.02%
FCF growth 1Y-19.73%
FCF growth 3Y52.5%
FCF growth 5Y-7.71%
OCF growth 1Y-13.73%
OCF growth 3Y16.65%
OCF growth 5Y-0.06%
DEERE & CO / DCO.DE Fundamental Analysis FAQ
What is the ChartMill fundamental rating of DEERE & CO (DCO.DE) stock?
ChartMill assigns a fundamental rating of 5 / 10 to DCO.DE.
What is the valuation status for DCO stock?
ChartMill assigns a valuation rating of 2 / 10 to DEERE & CO (DCO.DE). This can be considered as Overvalued.
How profitable is DEERE & CO (DCO.DE) stock?
DEERE & CO (DCO.DE) has a profitability rating of 8 / 10.
Can you provide the expected EPS growth for DCO stock?
The Earnings per Share (EPS) of DEERE & CO (DCO.DE) is expected to decline by -1.43% in the next year.
Is the dividend of DEERE & CO sustainable?
The dividend rating of DEERE & CO (DCO.DE) is 5 / 10 and the dividend payout ratio is 36.52%.