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Message: agriculure stocks

agriculure stocks

posted on Nov 23, 2009 04:44PM

The following is a recent upgrade which seems to fall in line with the recent emphasis on agricultual stocks:

Deere & Co. was upped to overweight from equal-weight by Morgan Stanley, which lifted its price target to $64 from $48. "Demand for U.S. farm equipment is growing as customers add acreage, a secular phenomenon that is widely underestimated. Cyclical factors are also more favorable than most believe, with corn likely higher into 2010 and the potential for recovery in Brazil. We see this as a rare opportunity where consensus is too conservative on both cyclical and secular factors, making DE risk reward highly favorable vs other machinery stocks," the broker said. DE is up 2.0%.

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