Was Mr. Buffett Correct On Deere & Company (DE)?

But it’s not only the valuation; it’s basically a growth story. Coke, for instance, increased its revenues and EPS in 2011 by a remarkable 32% and 20%, respectively. In 2012, though, it’s going to slow down significantly to 3.3% and 7%, respectively. Even P&G, a much smaller company than Coke, managed to increase revenues and EPS by only 2% and 11% in its past fiscal year. Neither one of these two iconic companies is even remotely close Deere’s recent 22% jump in earnings per share.

The Foolish bottom line

Given the increased global demand for food, shelter and infrastructure, I believe that the long-term outlook for Deere remains strong. Deere’s latest report only proves that it’s on the right direction to be a world leader in its field, just like P&G and Coke are in theirs. And this, exactly, is the greatness of Mr. Buffett.

The article Was Mr. Buffett Correct On Deere? originally appeared on Fool.com and is written by Shmulik Karpf.

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