Is It Time to Turn Bullish on Deere?
If it isn't falling crop prices acting as a headwind on farm income, it's the trade conflict hurting U.S. soybean export. If it isn't the trade conflict, it's African swine fever impacting underlying demand for soymeal used feeding hogs. If it isn't African swine fever, then it's the coronavirus possibly impacting Deere & Company's (NYSE: DE) supply chain. One way or another, the company has had to deal with a significant number of headwinds in the last few years. However, throughout it all, the company has demonstrated it's one of the highest quality operators out there, and the stock is worth consideration from long-term investors. Here's why.
Image source: Getty Images.
Probably the best way to see the relative strength in Deere's performance is by looking at its net income over the past years. As you can see below, the company's net income has proved resilient in the face of a lot of external headwinds in recent years. The chart also shows the company's guidance range for $2.7 billion to $3.1 billion for 2020.
Source Fool.com
