Deere & Company (NYSE:DE) shares closed more than 4% lower on Tuesday, followed by Friday’s around 3% decline, despite the company’s reported strong Q1 results, with EPS of $2.92 coming in better than the consensus estimate of $2.26.

According to the analysts at Oppenheimer, the quarterly results reflected strong execution against the dynamic labor and supply chain backdrop. Fundamentals remain largely unchanged, with order books extended through 2022 and component availability dictating production.

The analysts said that the company's elevated full 2022-year guidance incorporates continued supply chain dislocation, strengthened large ag, and price approaching 9% on a portfolio basis.

The analysts increased their price target on the company’s shares to $432 from $425, while reiterating their Outperform rating.