Score a Great Deal During Memorial Day Sales -- Savings Experiment
The 20 Most Valuable Brands In The World
Early Tuesday morning, tractor titan Deere & Co. (DE) announced that it will sell its wind energy business to a subsidiary of Exelon (EXC). The sale of John Deere Renewables will net the firm $900 million and will allow DE to turn its focus back to producing farm equipment. Back in February, the company was looking at different options for its Renewables arm. DE will lose a bit of money in the exchange, as it invested roughly $1 billion in wind energy products during the past five years.
Through the purchase, EXC is receiving 36 completed projects in eight different states. These projects have an operational capacity of 735 megawatts.
DE stated that it would record a $25 million post-tax charge in the fourth quarter, but the sale was not taken into account in the company's fourth-quarter earnings estimate.
Technically, DE may be starting to slip down a dangerous slope (see the chart here). Notice that the shares have marched back from their early August high in the $68 region and are now situated below the $65 level. We could see this level step up and provide significant resistance as it has on different occasions in the past. Further resistance could come from the equity's 20-month moving average. This trendline looms overhead and it has provided resistance in the past as well. Despite the incoming $900 million, there are some technical hurdles facing DE.
Goldman Earnings Sink After Buffett Dividend
Johnson & Johnson's Income Falls 23%
Burberry Shares Leap on Sales Update
