- Deere & Company is a compelling dividend growth stock with strong buybacks, yielding 1.5% and a five-year CAGR of 14.1%.
- Despite cyclical challenges, Deere's proactive inventory management, pricing power, and innovative technologies position it well for future growth.
- Potential demand tailwinds include easing monetary policy, improving agricultural fundamentals, and stabilization in used equipment markets.
- I remain bullish on Deere, viewing pullbacks as opportunities to increase my position, with risks including prolonged high interest rates and trade tensions.
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Introduction
Deere & Company (NYSE:DE) is one of the most fascinating dividend (growth) stocks on the market.
While it yields just 1.5%, the dividend comes with a payout ratio of just 20% and a five-year CAGR of 14.1%. In fact, since the pandemic, it has
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