We have issued an updated research report on Deere & Company DE on Apr 12, 2016. Deere will benefit from the divestiture of non-core assets and acquisitions. However, unfavorable foreign currency movements, a weak agricultural sector and sluggish economic growth remain headwinds.Deere remains optimistic about the long term, based on steady investments in new products and geographies. In Feb 2016, Deere completed the acquisition of Monosem, the European market leader in precision planters. The purchase includes the company's four facilities in France and two in the U.S. The deal will help accelerate Deere's market reach in precision planting equipment and add engineering expertise to further develop planting technology.Last month, Deere acquired a majority stake in Hagie Manufacturing, making its foray into the growing high-clearance spraying equipment market. The deal will provide the company with a broader range of sprayer options and integrate Deere's precision technology into the Hagie equipment.Further, Deere divested its crop insurance unit to West Des Moines, IA-based Farmers Mutual Hail Insurance Company (FMH) last year. Notably, effective risk management remains an important part of the company’s operations. Deere has been persistently shedding its non-core assets in order to become a more focused and profitable firm, and has completed the sale of its irrigation unit and a majority interest in its landscape operations.However, Deere slashed its outlook for fiscal 2016. The company projected total equipment sales decline of 10% year over year in fiscal 2016. Sales are also likely to deteriorate about 8% in the second quarter of fiscal 2016. The projection includes a negative currency translation impact of about 3% for the fiscal year and the second quarter.The company expects Agriculture and Turf equipment sales decline of 10% in fiscal 2016, including an unfavorable currency translation impact of about 4%. Industry sales for agricultural equipment in the U.S. and Canada are expected to be down 15%–20% in 2016 owing to low commodity prices and stagnant farm income.Moreover, weak conditions in the energy sector and sluggish economic growth outside the U.S. remain headwinds for the company.At present, Deere carries a Zacks Rank #3 (Hold).Stocks that Warrant a LookSome better-ranked stocks in the sector include Briggs & Stratton Corporation BGG, Astec Industries, Inc. ASTE and AptarGroup, Inc. ATR. All these stocks carry a Zacks Rank #2 (Buy).Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report APTARGROUP INC (ATR): Free Stock Analysis Report ASTEC INDS INC (ASTE): Free Stock Analysis Report DEERE & CO (DE): Free Stock Analysis Report BRIGGS & STRATT (BGG): Free Stock Analysis Report To read this article on Zacks.com click here. Zacks Investment Research