& Company (NYSE:DE) Option Calls
Provides 102% Profit
-- And More To
by Ian Harvey
November 28, 2017
Deere & Company (NYSE:DE)
Here is an update of Deere & Company (NYSE:DE) winning options call trade after reporting earnings. This options trade was recommended, to Armchair & All-Inclusive Trader Members of Stock Options Made Easy, on Tuesday, November 20, 2017 -- in the article ““Armchair Trader Series” Recommendations - Week Beginning - Monday, November 20, 2017” -- producing excellent profits of 102% within 24 hours of executing the trade! And for the trader that held the trade, the option would provide 161% potential profit if sold now!
Deere & Company (NYSE:DE), engaged in equipment operations, will report its fiscal fourth quarter results before the market opens tomorrow, Wednesday, November 22. The consensus earnings estimate is $1.43 per share on revenue of $6.91 billion, which would represent year-over-year growth of 58% and 22%, respectively. The Earnings Whisper number is $1.52 per share.
Deere has met or surpassed the Consensus Estimate for earnings in 13 consecutive quarters, and the company's stock has gained more than 30% this year.
Deere & Co. has been a top performing stock over the last year, and there appears to be additional upside. Strength in the housing market, improvements in commodities and President Trump’s pledge to boost federal spending on infrastructure have all helped drive DE shares higher over the last year, and should continue to push the stock to new highs.
Short interest has decreased by 14.3% since the company's last earnings release. Overall earnings estimates have been revised higher since the company's last earnings release, which is generally a precursor to an earnings beat. After all, analysts raising estimates right before earnings - with the most up-to-date information possible - is a pretty good indicator of some favorable trends underneath the surface for DE in this report.
The maker of farm and construction equipment has been expanding its global reach and is benefiting from an improved political and economic climate in Latin America that's driving up sales…….go to the article to continue reading…..
** OPTION TRADE: Buy the DE JAN 19 2018 140.000 CALL at approximately $3.50. Place a pre-determined sell at $7.00.
Also include a protective stop loss of $1.40.
The tractor maker announced a 23% rise in worldwide revenue, helping to lift net income by nearly 80%. Deere said that strong conditions in South America were especially important to the company's overall performance, and the recent acquisition of road construction equipment specialist Wirtgen Group should help to diversify the company's exposure across a broader customer base. With many investors seeing the prospects for key users of heavy equipment continue to improve , Deere is looking to take advantage of a long-awaited cyclical upswing to prosper.
Analyst Seth Weber and his team reiterated a Sector Perform rating on the stock but boosted their price target from $134 to $155, and also raised their 2018 estimates for Deere, citing the upbeat quarterly report.
Weber writes that current trends in agriculture are better than he anticipated, as Deere is benefitting from replacement demand, as well as its own cost initiatives. He notes that its construction business is still going strong, and he thinks that the Wirtgen acquisition "has potential."
Shares of Deere gained 4% after the agricultural equipment specialist reported its fiscal fourth-quarter financial results.
At the time of the recommendation, Tuesday morning, DE stock price was sitting at $138.79.Wednesday morning saw the stock price open above $145.00.
So, for those Armchair and All-inclusive traders who managed to execute this trade recommended by Stock Options Made Easy; a nice tidy potential profit of 102% within 24 hours.
ACTION TO TAKE…….
As you would have by now realized, many of our trades are based on earnings predictions. This is not to say all trades recommended to members follow this pattern, but during earnings season this strategy has been very profitable.
Our approach is to predict whether a company will beat or miss estimates, whether the stock will appreciate or depreciate as a result and what strategies investors and traders can use. This type of prediction is based on thorough investigation and fundamentally based research, and the results have been very exceptional.Our proven track record says it all!!
Members of Stock Options Made Easy are provided with an extensive reason as to which direction a stock will move after earnings, followed up by a recommended options trade.
What To Do Now…….
If you interested in being part of this profitable action just click here……