DEERE & CO (DCO.DE) Stock Fundamental Analysis
FRA:DCO • US2441991054
513.1 EUR
-6.3 (-1.21%)
Last: Feb 13, 2026, 07:00 PM
DCO gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 109 industry peers in the Machinery industry. While DCO has a great profitability rating, there are quite some 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.
- DCO had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- DCO has a Return On Assets of 4.74%. This is in the better half of the industry: DCO outperforms 65.49% of its industry peers.
- With an excellent Return On Equity value of 19.37%, DCO belongs to the best of the industry, outperforming 87.61% of the companies in the same industry.
- DCO has a better Return On Invested Capital (8.78%) than 74.34% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for DCO is above the industry average of 8.85%.
| 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 Profit Margin of 11.00%. This is amongst the best in the industry. DCO outperforms 86.73% of its industry peers.
- DCO's Profit Margin has improved in the last couple of years.
- DCO has a Operating Margin of 20.63%. This is amongst the best in the industry. DCO outperforms 93.81% of its industry peers.
- DCO's Operating Margin has improved in the last couple of years.
- DCO has a Gross Margin (38.36%) which is comparable to the rest of the industry.
- 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
- The Return on Invested Capital (ROIC) is just above the Cost of Capital (WACC), so DCO is still creating some value.
- The number of shares outstanding for DCO has been reduced compared to 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
- DCO has an Altman-Z score of 2.72. This is not the best score and indicates that DCO is in the grey zone with still only limited risk for bankruptcy at the moment.
- The Altman-Z score of DCO (2.72) is better than 62.83% of its industry peers.
- 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's Debt to FCF ratio of 19.79 is on the low side compared to the rest of the industry. DCO is outperformed by 67.26% of its industry peers.
- A Debt/Equity ratio of 2.12 is on the high side and indicates that DCO has dependencies on debt financing.
- DCO has a Debt to Equity ratio of 2.12. This is amonst the worse of the industry: DCO underperforms 89.38% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.12 | ||
| Debt/FCF | 19.79 | ||
| Altman-Z | 2.72 |
ROIC/WACC0.98
WACC8.97%
2.3 Liquidity
- A Current Ratio of 0.91 indicates that DCO may have some problems paying its short term obligations.
- The Current ratio of DCO (0.91) is worse than 92.92% of its industry peers.
- DCO has a Quick Ratio of 0.91. 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 Quick ratio of 0.69. This is in the lower half of the industry: DCO underperforms 77.88% 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.
- DCO shows a very negative growth in Revenue. In the last year, the Revenue has decreased by -11.66%.
- 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)-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
- The Earnings Per Share is expected to grow by 23.15% on average over the next years. This is a very strong growth
- 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.
- When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
- Based on the Price/Earnings ratio of 32.56, the valuation of DCO can be described as expensive.
- DCO's Price/Earnings ratio is in line with the industry average.
- DCO's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.68.
- The Price/Forward Earnings ratio is 35.73, which means the current valuation is very expensive for DCO.
- DCO's Price/Forward Earnings ratio is a bit more expensive when compared to the industry. DCO is more expensive than 77.88% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of DCO to the average of the S&P500 Index (28.06), we can say DCO is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.56 | ||
| Fwd PE | 35.73 |
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 68.14% of the companies in the same industry.
- Based on the Price/Free Cash Flow ratio, DCO is valued a bit more expensive than 68.14% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 51.06 | ||
| EV/EBITDA | 17.95 |
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)1.97
EPS Next 2Y9.96%
EPS Next 3Y14.21%
5. Dividend
5.1 Amount
- With a Yearly Dividend Yield of 1.08%, DCO has a reasonable but not impressive dividend return.
- DCO's Dividend Yield is comparable with the industry average which is at 1.43.
- Compared to an average S&P500 Dividend Yield of 1.84, DCO's dividend is way lower than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.08% |
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 34.22% of its income as dividend. This is a sustainable payout ratio.
- DCO's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP34.22%
EPS Next 2Y9.96%
EPS Next 3Y14.21%
FRA:DCO (2/13/2026, 7:00:00 PM)
513.1
-6.3 (-1.21%)
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 Cap139.09B
Revenue(TTM)45.68B
Net Income(TTM)5.03B
Analysts75.88
Price Target447.07 (-12.87%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.08% |
Yearly Dividend5.35
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)-0.97%
EPS NQ rev (1m)0.37%
EPS NQ rev (3m)-28.33%
EPS NY rev (1m)0.07%
EPS NY rev (3m)-19.09%
Revenue NQ rev (1m)-1.69%
Revenue NQ rev (3m)6.96%
Revenue NY rev (1m)-1.12%
Revenue NY rev (3m)1.18%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 32.56 | ||
| Fwd PE | 35.73 | ||
| P/S | 3.61 | ||
| P/FCF | 51.06 | ||
| P/OCF | 22.12 | ||
| P/B | 6.36 | ||
| P/tB | 7.91 | ||
| EV/EBITDA | 17.95 |
EPS(TTM)15.76
EY3.07%
EPS(NY)14.36
Fwd EY2.8%
FCF(TTM)10.05
FCFY1.96%
OCF(TTM)23.2
OCFY4.52%
SpS142.07
BVpS80.7
TBVpS64.91
PEG (NY)N/A
PEG (5Y)1.97
Graham Number169.17
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 | 2.72 |
F-Score5
WACC8.97%
ROIC/WACC0.98
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 32.56 and the Price/Book (PB) ratio is 6.36.
What is the financial health of DEERE & CO (DCO.DE) stock?
The financial health rating of DEERE & CO (DCO.DE) is 3 / 10.