Deere & Company (DE) Valuation

Valuation

Model-based estimates, not advice. The DCF is the discounted-cash-flow value per share; compare it with the price, not as a target.

DCF fair value

-71.4%

$190.28

vs $664.28 price

Levered DCF

$19.05

After debt service

Piotroski score

8 / 9

Strong

Altman Z-score

2.82

Grey zone

Rating

B-

Overall 3 / 5

Ratios by fiscal year

Margins and yields are shares of revenue, equity or price; multiples are ×.

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
P/E	24.89×	16.03×	10.57×	16.9×	18.74×	26.42×	16.94×	18.45×
P/B	4.82×	4.98×	4.93×	5.95×	6.07×	5.61×	4.83×	3.87×
P/S	2.8×	2.25×	1.78×	2.35×	2.6×	2.09×	1.44×	1.2×
EV / EBITDA	15.51×	11.72×	9.37×	13.9×	14.33×	15.43×	12.75×	11.39×
Gross margin	36.5%	38.6%	37.0%	30.7%	31.9%	31.3%	29.6%	29.3%
Operating margin	18.8%	22.6%	24.2%	17.6%	17.8%	12.6%	12.6%	12.0%
Net margin	11.3%	14.1%	16.9%	13.9%	13.9%	7.9%	8.5%	6.5%
Current ratio	2.31×	2.13×	1.96×	2.02×	2.22×	2.29×	2.06×	1.93×
Debt / equity	2.46×	2.87×	2.92×	2.58×	2.64×	3.58×	3.97×	3.74×
Interest coverage	2.65×	3.41×	5.95×	8.5×	7.72×	3.5×	3.3×	3.63×
Dividend yield	1.4%	1.4%	1.3%	1.1%	0.9%	1.3%	1.7%	1.8%
Payout ratio	34.2%	22.6%	14.0%	18.4%	17.4%	34.8%	29.0%	34.0%

Key metrics by fiscal year

Metric	FY2025	FY2024	FY2023	FY2022	FY2021	FY2020	FY2019	FY2018
Return on equity	19.4%	31.1%	46.7%	35.2%	32.4%	21.3%	28.5%	21.0%
Return on invested capital	7.1%	9.5%	12.6%	9.2%	8.1%	4.7%	6.0%	4.2%
Return on assets	4.7%	6.6%	9.8%	7.9%	7.1%	3.7%	4.5%	3.4%
Free cash flow yield	2.6%	3.9%	3.8%	0.8%	4.6%	6.6%	-0.1%	-2.6%
Earnings yield	4.0%	6.2%	9.5%	5.9%	5.3%	3.8%	5.9%	5.4%
Enterprise value	$180.8B	$171.9B	$163.7B	$168B	$152.5B	$111.9B	$96.6B	$82B
Net debt / EBITDA	4.78×	3.96×	3.22×	3.92×	3.82×	5.41×	5.48×	5.33×
Cash conversion cycle (days)	525	475	402	396	408	453	423	414