Why Is John Deere (Temporarily) Bearish?
By John Mylant: There is no doubt that John Deere (DE) is a strong global company that is doing well and will continue to do so long term. But it has not done so well since mid-February when it peaked around $88, and it presently trades around $80. We expect the company will be a good long-term buy, but in the short term we do not expect the downward trend to stop just yet. It is possible to see the stock touch bottom between $73 and $76 before it moves up again. The reason for this may be higher production.Samuel Allen, Deere's chairman and CEO, said, "Our business remains very strong, especially in large agriculture equipment products tied to corn and soybeans." That was the reason given for the how great the company is doing on paper (and it is). But there are a couple factors in play right now that mayComplete Story »