DEERE & CO (DCO.DE) Stock Fundamental Analysis
Europe • Frankfurt Stock Exchange • FRA:DCO • US2441991054
488.75 EUR
+6.8 (+1.41%)
Last: Feb 6, 2026, 07:00 PM
Taking everything into account, DCO scores 5 out of 10 in our fundamental rating. DCO was compared to 112 industry peers in the Machinery industry. DCO has an excellent profitability rating, but there are concerns on its financial health. DCO is valied quite expensively at the moment, while it does show a decent growth rate.
1. Profitability
1.1 Basic Checks
- DCO had positive earnings in the past year.
- In the past year DCO had a positive cash flow from operations.
- Each year in the past 5 years DCO has been profitable.
- Each year in the past 5 years DCO had a positive operating cash flow.
1.2 Ratios
- DCO has a Return On Assets of 4.74%. This is in the better half of the industry: DCO outperforms 63.39% of its industry peers.
- Looking at the Return On Equity, with a value of 19.37%, DCO belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
- DCO has a better Return On Invested Capital (8.78%) than 73.21% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for DCO is above the industry average of 8.65%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.74% | ||
| ROE | 19.37% | ||
| ROIC | 8.78% |
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
- DCO has a better Profit Margin (11.00%) than 86.61% of its industry peers.
- In the last couple of years the Profit Margin of DCO has grown nicely.
- DCO has a Operating Margin of 20.63%. This is amongst the best in the industry. DCO outperforms 94.64% of its industry peers.
- In the last couple of years the Operating Margin of DCO has grown nicely.
- DCO's Gross Margin of 38.36% is in line compared to the rest of the industry. DCO outperforms 50.89% of its industry peers.
- DCO's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 20.63% | ||
| PM (TTM) | 11% | ||
| GM | 38.36% |
OM growth 3Y2.78%
OM growth 5Y5.53%
PM growth 3Y-6.96%
PM growth 5Y7.29%
GM growth 3Y7.3%
GM growth 5Y4.63%
2. Health
2.1 Basic Checks
- With a Return on Invested Capital (ROIC) just above the Cost of Capital (WACC), DCO is creating some value.
- DCO has less shares outstanding than it did 1 year ago.
- Compared to 5 years ago, DCO has less shares outstanding
- DCO has a better debt/assets ratio than last year.
2.2 Solvency
- An Altman-Z score of 2.65 indicates that DCO is not a great score, but indicates only limited risk for bankruptcy at the moment.
- The Altman-Z score of DCO (2.65) is comparable to the rest of the industry.
- DCO has a debt to FCF ratio of 19.79. This is a negative value and a sign of low solvency as DCO would need 19.79 years to pay back of all of its debts.
- DCO has a Debt to FCF ratio of 19.79. This is in the lower half of the industry: DCO underperforms 67.86% of its industry peers.
- DCO has a Debt/Equity ratio of 2.12. This is a high value indicating a heavy dependency on external financing.
- With a Debt to Equity ratio value of 2.12, DCO is not doing good in the industry: 88.39% of the companies in the same industry are doing better.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.12 | ||
| Debt/FCF | 19.79 | ||
| Altman-Z | 2.65 |
ROIC/WACC0.97
WACC9.08%
2.3 Liquidity
- A Current Ratio of 0.91 indicates that DCO may have some problems paying its short term obligations.
- DCO has a Current ratio of 0.91. This is amonst the worse of the industry: DCO underperforms 91.96% of its industry peers.
- A Quick Ratio of 0.69 indicates that DCO may have some problems paying its short term obligations.
- The Quick ratio of DCO (0.69) is worse than 79.46% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.69 |
3. Growth
3.1 Past
- DCO shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -26.99%.
- 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.
- The Revenue for DCO has decreased by -11.66% in the past year. This is quite bad
- The Revenue has been growing slightly by 5.15% on average over the past years.
EPS 1Y (TTM)-26.99%
EPS 3Y-7.13%
EPS 5Y16.52%
EPS Q2Q%-13.63%
Revenue 1Y (TTM)-11.66%
Revenue growth 3Y-4.34%
Revenue growth 5Y5.15%
Sales Q2Q%14.06%
3.2 Future
- Based on estimates for the next years, DCO will show a very strong growth in Earnings Per Share. The EPS will grow by 23.15% on average per year.
- DCO is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 15.42% yearly.
EPS Next Y-8.86%
EPS Next 2Y9.96%
EPS Next 3Y14.21%
EPS Next 5Y23.15%
Revenue Next Year5.95%
Revenue Next 2Y7.58%
Revenue Next 3Y7.96%
Revenue Next 5Y15.42%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 30.84 indicates a quite expensive valuation of DCO.
- The rest of the industry has a similar Price/Earnings ratio as DCO.
- The average S&P500 Price/Earnings ratio is at 27.93. DCO is around the same levels.
- With a Price/Forward Earnings ratio of 33.84, DCO can be considered very expensive at the moment.
- 77.68% of the companies in the same industry are cheaper than DCO, based on the Price/Forward Earnings ratio.
- The average S&P500 Price/Forward Earnings ratio is at 27.77. DCO is valued slightly more expensive when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.84 | ||
| Fwd PE | 33.84 |
4.2 Price Multiples
- 67.86% of the companies in the same industry are cheaper than DCO, based on the Enterprise Value to EBITDA ratio.
- Based on the Price/Free Cash Flow ratio, DCO is valued a bit more expensive than 69.64% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 48.23 | ||
| EV/EBITDA | 17.16 |
4.3 Compensation for Growth
- DCO has an outstanding profitability rating, which may justify a higher PE ratio.
- DCO's earnings are expected to grow with 14.21% in the coming years. This may justify a more expensive valuation.
PEG (NY)N/A
PEG (5Y)1.87
EPS Next 2Y9.96%
EPS Next 3Y14.21%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.15%, DCO has a reasonable but not impressive dividend return.
- Compared to an average industry Dividend Yield of 1.45, DCO has a dividend in line with its industry peers.
- DCO's Dividend Yield is slightly below the S&P500 average, which is at 1.81.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.15% |
5.2 History
- The dividend of DCO is nicely growing with an annual growth rate of 15.78%!
Dividend Growth(5Y)15.78%
Div Incr Years4
Div Non Decr Years6
5.3 Sustainability
- 34.22% of the earnings are spent on dividend by DCO. This is a low number and sustainable payout ratio.
- The dividend of DCO is growing, but earnings are growing more, so the dividend growth is sustainable.
DP34.22%
EPS Next 2Y9.96%
EPS Next 3Y14.21%
FRA:DCO (2/6/2026, 7:00:00 PM)
488.75
+6.8 (+1.41%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)11-26 2025-11-26/bmo
Earnings (Next)02-19 2026-02-19/bmo
Inst Owners75.5%
Inst Owner ChangeN/A
Ins Owners0.12%
Ins Owner ChangeN/A
Market Cap132.12B
Revenue(TTM)45.68B
Net Income(TTM)5.03B
Analysts76.36
Price Target447.07 (-8.53%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.15% |
Yearly Dividend5.38
Dividend Growth(5Y)15.78%
DP34.22%
Div Incr Years4
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)1.24%
Min EPS beat(2)-0.87%
Max EPS beat(2)3.35%
EPS beat(4)2
Avg EPS beat(4)4.41%
Min EPS beat(4)-0.87%
Max EPS beat(4)15.53%
EPS beat(8)6
Avg EPS beat(8)7.73%
EPS beat(12)10
Avg EPS beat(12)9.51%
EPS beat(16)12
Avg EPS beat(16)8.06%
Revenue beat(2)1
Avg Revenue beat(2)0.92%
Min Revenue beat(2)-2.49%
Max Revenue beat(2)4.32%
Revenue beat(4)2
Avg Revenue beat(4)-2.95%
Min Revenue beat(4)-14.13%
Max Revenue beat(4)4.32%
Revenue beat(8)3
Avg Revenue beat(8)-1.92%
Revenue beat(12)5
Avg Revenue beat(12)-0.41%
Revenue beat(16)8
Avg Revenue beat(16)1.52%
PT rev (1m)-1.2%
PT rev (3m)-1.28%
EPS NQ rev (1m)0.09%
EPS NQ rev (3m)-28.33%
EPS NY rev (1m)0.07%
EPS NY rev (3m)-19.09%
Revenue NQ rev (1m)-2.8%
Revenue NQ rev (3m)6.96%
Revenue NY rev (1m)-1.48%
Revenue NY rev (3m)1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 30.84 | ||
| Fwd PE | 33.84 | ||
| P/S | 3.41 | ||
| P/FCF | 48.23 | ||
| P/OCF | 20.89 | ||
| P/B | 6 | ||
| P/tB | 7.47 | ||
| EV/EBITDA | 17.16 |
EPS(TTM)15.85
EY3.24%
EPS(NY)14.44
Fwd EY2.95%
FCF(TTM)10.13
FCFY2.07%
OCF(TTM)23.4
OCFY4.79%
SpS143.28
BVpS81.39
TBVpS65.46
PEG (NY)N/A
PEG (5Y)1.87
Graham Number170.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.74% | ||
| ROE | 19.37% | ||
| ROCE | 12.93% | ||
| ROIC | 8.78% | ||
| ROICexc | 9.73% | ||
| ROICexgc | 10.92% | ||
| OM | 20.63% | ||
| PM (TTM) | 11% | ||
| GM | 38.36% | ||
| FCFM | 7.07% |
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)14.32%
ROICexgc(5y)13.95%
ROCE(3y)18.3%
ROCE(5y)17.43%
ROICexgc growth 3Y-8.17%
ROICexgc growth 5Y2.14%
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 3Y7.3%
GM growth 5Y4.63%
F-Score5
Asset Turnover0.43
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.12 | ||
| Debt/FCF | 19.79 | ||
| Debt/EBITDA | 4.72 | ||
| Cap/Depr | 189.68% | ||
| Cap/Sales | 9.26% | ||
| Interest Coverage | 3.06 | ||
| Cash Conversion | 64% | ||
| Profit Quality | 64.27% | ||
| Current Ratio | 0.91 | ||
| Quick Ratio | 0.69 | ||
| Altman-Z | 2.65 |
F-Score5
WACC9.08%
ROIC/WACC0.97
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)-26.99%
EPS 3Y-7.13%
EPS 5Y16.52%
EPS Q2Q%-13.63%
EPS Next Y-8.86%
EPS Next 2Y9.96%
EPS Next 3Y14.21%
EPS Next 5Y23.15%
Revenue 1Y (TTM)-11.66%
Revenue growth 3Y-4.34%
Revenue growth 5Y5.15%
Sales Q2Q%14.06%
Revenue Next Year5.95%
Revenue Next 2Y7.58%
Revenue Next 3Y7.96%
Revenue Next 5Y15.42%
EBIT growth 1Y-24.91%
EBIT growth 3Y-1.68%
EBIT growth 5Y10.96%
EBIT Next Year11.92%
EBIT Next 3Y19.46%
EBIT Next 5Y23.17%
FCF growth 1Y-27.05%
FCF growth 3Y52.5%
FCF growth 5Y-7.71%
OCF growth 1Y-19.2%
OCF growth 3Y16.65%
OCF growth 5Y-0.06%
DEERE & CO / DCO.DE 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.
What is the profitability of DCO stock?
DEERE & CO (DCO.DE) has a profitability rating of 8 / 10.
What is the valuation of DEERE & CO based on its PE and PB ratios?
The Price/Earnings (PE) ratio for DEERE & CO (DCO.DE) is 30.84 and the Price/Book (PB) ratio is 6.
What is the financial health of DEERE & CO (DCO.DE) stock?
The financial health rating of DEERE & CO (DCO.DE) is 2 / 10.