Market Overview

Agriculture Equipment Likely to Lose Demand in 2014, According To Wells Fargo Analyst

Related DE
Markets Close The Week On Negative Note As Ukraine Worries Mount
Markets Gather Some Momentum As Volume Remains Light, Geopolitical Tension Improving
Monsanto Unit Reports Data Breach (Fox Business)
Related AGCO
Briggs & Stratton Announces Dividend Hike & Share Repurchase
AGCO to Acquire Intersystems - Analyst Blog

Andrew Casey, an analyst at Wells Fargo, is growing more and more bearish on agriculture equipment next year, based on a likely decrease in cash flow among farmers.

Casey went on to say that he believes commodity prices will come down in price soon too, specifically citing that corn may be closer to $4.25/bu, rather the current $7/bu that it is now.

Because of the expected lower demand, Deere (NYSE: DE) has been slashed to underperform from market perform with a price target of $72-75 from $90-93. AGCO Corp. (NYSE: AGCO) was also cut to underperform from market perform and had its price target lowered to $40-43 from $51-54.

Both Deere and AGCO Corp. are positive on the year, up 4.8 percent and 8.1 percent, respectively.

Posted-In: Analyst Color Downgrades Price Target Analyst Ratings

 

Related Articles (AGCO + DE)

Around the Web, We're Loving...

Partner Network

Get Benzinga's Newsletters