DE · Q3 FY2026
DEERE & CO Q3 FY2026 earnings analysis
By SageNoodle ResearchBullish
| Metric | Actual | Estimate | Result |
|---|---|---|---|
| Revenue | $12.608B | $12.018B (yr ago) | Beat |
| EPS | $5.10 | $4.75 (yr ago) | Beat |
| Free Cash Flow | $1.94B | $2.60B (yr ago) | Miss |
| Gross Margin | 27.8% | 26.9% (yr ago) | Beat |
| Operating Margin | 14.7% | 13.0% (yr ago) | Beat |
What changed
Revenue increased 4.9% and diluted EPS rose 7.4% year over year, while total operating profit advanced 18.4%. Construction & Forestry and Small Agriculture & Turf more than offset continued weakness in Production & Precision Agriculture, but quarterly free cash flow declined to $1.94 billion from $2.60 billion.
Impact on the investment thesis
There was no prior SageNoodle fair value to revise. We establish fair value at $576 per share: the improved outlook and evidence of a cyclical bottom support a premium multiple, but the current $677.94 price already discounts a strong recovery.