By: Rob Wertheimer
CNHI continues to lose share in high horsepower North American ag equipment, which may be a 10% headwind to 2018 large ag sales in NA for CNH. That observation may explain an outlook that seemed tepid on NA ag in CNHI’s recent guide. We had long assumed Deere would recapture some share lost as Deere appeared to moderate production faster at peak, ceding share to CNHI but largely doing the right thing in cycle management. That recapture by Deere now seems to be turning into new levels of gain.