Deere (DE) in a conference call, announce that they see mid-single digit net sales growth for equipment operations in FY 2026, identifying 2026 as the bottom of the current cycle

• Current inventory level for high-horsepower tractors has declined by over 10% from their March 2025 peak.
• Expects the overall North American large agriculture industry to be down 15-20% this year.

Deere's guidance indicating mid-single digit net sales growth for equipment operations in FY 2026 suggests optimism about a recovery phase following a downturn, potentially positioning 2026 as a cyclical low point. The significant inventory reduction also highlights some inventory management improvements, but the broader expectation of a 15-20% decline in the North American agriculture industry signals ongoing headwinds that could impact near-term performance and sentiment in the agricultural machinery sector.