New York, Feb 19, 2026, 17:35 ET — After-hours
- Deere shares were last up about 10% after the company beat quarterly expectations and raised its full-year profit forecast
- Deere lifted its fiscal 2026 net income outlook to $4.5 billion-$5.0 billion and said demand is recovering in construction and small agriculture
- Investors are weighing tariff-related cost pressure and watching Deere’s next update on May 21
Deere & Company shares were last up about 10% at $662 in after-hours trading on Thursday, after the heavy equipment maker posted a quarterly beat and lifted its full-year profit outlook. The stock traded between $590.84 and $674.09 during the session.
Deere said first-quarter net income fell to $656 million, or $2.42 a share, but worldwide net sales and revenues rose 13% to $9.611 billion for the quarter ended Feb. 1. It raised its fiscal 2026 net income guidance range to $4.5 billion-$5.0 billion. “These positive developments reinforce our belief that 2026 represents the bottom of the current cycle,” CEO John May said. (PR Newswire)
The beat-and-raise mattered because Deere has been trying to manage through a slowdown that pushed farmers to delay big-ticket equipment buys, while the company trimmed factory output and leaned on dealers to work down inventory. Oppenheimer analyst Kristen Owen said Deere ended the quarter with “relatively lean inventories,” leaving room for upside if stock levels normalize through the year. Deere also raised its 2026 net sales outlook for its Small Agriculture & Turf and Construction & Forestry units to about 15% growth each, from roughly 10% previously, a Reuters report showed. (Reuters)
The move left traders looking for follow-through in Friday’s regular session, when broader risk appetite and any late-day revisions to guidance models can still bite. Deere’s jump also puts a spotlight back on how much investors are willing to pay for an industrial name tied to both farm income and construction demand.
In an SEC filing on Thursday, Deere said it issued its first-quarter press release and furnished a presentation for its earnings call. (SEC)
On the earnings call, management reiterated that tariff costs are still projected at around $1.2 billion before taxes for fiscal 2026, even as it pointed to operational execution and cost control. “Across all three business units, we executed ahead of our plan for the quarter,” CFO Josh Jepsen said, while warning that the environment remains “dynamic.” (The Motley Fool)
But the same forces that helped drive the stock higher can flip fast. If crop prices stay weak longer than expected, or if tariffs and supply-chain frictions push production costs higher, Deere’s margins could tighten and dealer restocking could stall.
For now, investors will keep digging into two questions: whether construction demand is truly turning up, and whether the large agriculture market is stabilizing enough to support a broader replacement cycle later in the year.
The next scheduled catalyst is Deere’s fiscal second-quarter earnings call on May 21. (Deere)
