Deere to Face Revenue Decline Amid Farm Equipment Sales Slump in 2024

U.S. agricultural manufacturer Deere & Company (NYSE: DE) is expected to see its revenue decline by -12% year over year in 2024, dragged down by a double-digit decline in sales from its agricultural equipment segment, its largest division. According to Visible Alpha consensus, in 2024, Deere’s agricultural equipment revenue is estimated to decline by -17% year over year, while the company’s construction & forestry equipment sales are expected to decline by an estimated -7%. The decline in revenues is attributable to farmers being hesitant about big-ticket equipment purchases due to high borrowing rates and falling crop prices.

A look at Deere’s competitors in the industry, including Agco Corp. (NYSE: AGCO), CNH Industrial NV (NYSE: CNHI), and Bucher Industries AG (SIX: BUCN), indicates a broader downturn in revenue from agricultural machinery across the board in 2024. With higher interest rates, increased equipment prices, and a decline in commodity prices, agricultural equipment sales are expected to slow down in 2024, resulting in declining revenues for companies in the industry.

Sector: Industrials
Industry: Agricultural & Farm Machinery
Tickers: DE, AGCO, CNHI_US, BUCN_CH