Citigroup Raises PT On Deere & Company To $109

Citigroup has published a research report on Deere & Company

after the company reported yet another strong beat and has raised its guidance to the next level. in the report, Citigroup writes "A characteristically good quarter and better prospects for the North American and European ag markets in 2011 combined to drive Deere's usually conservative guidance well above current street consensus for the rest of the year. In spite of solid underlying fundamentals (record farm income in North America; close to record crop prices and even higher futures prices; rising farm acreage in developing countries), we think there could be further upside to Deere's results, most notably in South America should Brazilian equipment loan subsidies be further extended, and in the CIS region where equipment sales have seen a strong rebound in recent months. Raising target to $109 (15.5x 2012E EPS) on improved ests." Citigroup maintains its Buy rating and has raised the price target from $96 to $109. Deere & Company closed yesterday at $95.86.