Deere & Company DE 0.08% reported some relatively weak September sales numbers, but Wells Fargo analyst Andrew Casey believes the stock is still a solid buy ahead of a coming cyclical upswing in global demand.

Deere’s September U.S./Canada sales fell short of its industry peers in almost every single category. The company reported positive single-digit year-over-year 40 horsepower (HP) tractor sales growth, negative double-digit year-over-year 40-100 HP tractor sales growth and 9 percent year-over-year 100-plus HP tractor sales growth. In addition, 4WD tractor sales and combine sales were also down double-digits year-over-year and fell well short of the industry average.

While North American numbers came up short in September, European numbers for Deere were mixed. Tractor sales fell double digits year-over-year, but combine sales grew double-digits. Both numbers were down double-digits in August.

Casey notes September construction and forestry equipment sales were mixed as well, but he is much more optimistic looking ahead.

“We believe…

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