10:38 AM EDT, 10/22/2025 (MT Newswires) -- Deere's (DE) tech-enabled machinery offerings could see increased uptake in the medium term to drive lower reliance on the agriculture production cycle, RBC Capital Markets said in a Tuesday note.

The company's "meaningful" investments in technology research and development enabled it to widen the "moat relative to the rest of the field," according to the note.

Deere's presence in Brazil positions it to partake in future growth as the South American nation emerges as the leader in agriculture. "The outlook for increased allocation of land toward farming, and the significant mix of very large farms, combine to make Brazil a very attractive market for Deere," analysts wrote.

Deere is poised to capitalize on long-term growth opportunities driven by favourable secular trends in population growth, land scarcity, and climate. The company also expects to offer a fully autonomous equipment fleet for several crops by 2030, according to RBC.

The brokerage said it initiated coverage of the stock with an outperform rating and a price target of $542 per share.

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