CNH Stock Forecast & Price Target

CNH Industrial, as the world's second-largest manufacturer of agricultural machinery, demonstrated significant growth in construction sales, which reached $739 million, reflecting a year-over-year increase of 7.6% driven by higher shipment volumes, particularly in North America and the EMEA region. The company anticipates a favorable transition in 2025, with expectations of increased production hours across all regions and product lines in 2026, supported by the adoption of precision agriculture technologies that enhance farmers' productivity and cost-effectiveness. Furthermore, CNH Industrial maintains a robust balance sheet, enabling it to return cash to shareholders and pursue strategic mergers and acquisitions while continuing to implement structural cost improvements and leverage its extensive dealer network across 164 countries.

CNH Industrial has lowered its fiscal year 2025 adjusted EPS guidance by $0.13 to a range of $0.44–$0.50 due to several adverse factors, including increased tariff headwinds and competitive pricing pressures in key markets like Brazil, which have negatively impacted expectations for the company’s finance segment. Agricultural sales have also decreased significantly, with a 10% year-over-year decline to $2.963 billion, driven by reduced industry demand and inventory destocking in North America, which reflects a broader challenge within the agricultural machinery sector. Additionally, the company's adjusted EBIT for agriculture fell sharply to $137 million, down 59% year-over-year, highlighting declining margins and increased pressures from unfavorable regional sales mixes and costs associated with tariffs.