- Agriculture companies are suffering right now, as farming conditions are weak in many parts of the business.
- Deere and Terra Nitrogen are two agriculture companies that have seen their valuations compress due to cyclical downturns in their industries.
- However, both Deere and Terra Nitrogen are still solidly profitable. Their cheap valuations should expand, as their fundamentals improve.
- Until their valuations recover, investors can collect Deere's 3% yield and Terra Nitrogen's 9% distribution.