DE - John Deere

[DividendGarden]

Deere (NYSE:DE) declares $0.60/share quarterly dividend, in line with previous.

http://seekingalpha.com/news/3229196-deere-declares-0_60-dividend

So, no dividend growth?  They have had $0.60 for all of 2015 and now all of 2016.

[divmenow]

(12-07-2016, 03:16 PM)DividendGarden Wrote: Deere (NYSE:DE) declares $0.60/share quarterly dividend, in line with previous.

http://seekingalpha.com/news/3229196-deere-declares-0_60-dividend

So, no dividend growth?  They have had $0.60 for all of 2015 and now all of 2016.

And yet the stock is hitting new highs. I bought at $73. But going to take money off the table and put more in JNJ and BMY.

[DividendGarden]

I bought DE also around there, but I'm not sure I want to sell. I love that they're buying back so much of their stock, also. Not sure what I'm going to do, but I tend to just hang on forever with these situations.

[EricL]

The lack of raise isn't a big surprise as the payout ratio is well above the target set by management.

The recent price increase is a sector wide phenomenon following the election of Trump. There are expectations of up to $1T in new infrastructure spending by Trump, which would be a huge boost to the industrial sector, and to some extent, Deere. Farm prices are still in the dumps, and I expect that to continue, but if the other part of their business can improve, it may be enough to bump earnings to make the recent price rise justified.