Deere Defended at Credit Suisse Following Lowered Guidance

Despite providing guidance well below estimates on Wednesday, shares of Deere and Company

showed a muted response, trading down only 1 percent. Analyst Jamie Cook of Credit Suisse shared his thoughts post guidance call: "DE's stock traded down ~1% intraday despite providing a FY2015 outlook nearly $1.00 or ~15% below the street, which we believe de-risks the stock. Bottom line, DE is earning ~$5.35 per share in one of the worst US farm downturns exacerbated by overseas declines. We tweak our FY2015 EPS estimate to $5.35 (from $5.45), maintain FY2016 at $6.75, and introduce 2017 at $8.05. We reiterate our Outperform rating and TP of $95." Credit Suisse maintains the Outperform Rating on the shares with a $95 price target, implying 9.2 percent upside from Wednesday's closing price of 86.99.