Deere & Co is expected to report double-digit sales growth in its Friday results, fueled by strong equipment demand from farmers flush with cash that has helped the company raise pricing.

The farm-equipment-maker is likely to bounce back from its previous quarter sales miss, analysts said, as soybean and corn prices hit decade highs in the first half of the year and encouraged farmers to buy new tractors and combines.

"Those are big factors you consider before buying equipment," said Eric Greaser, a senior analyst at Moody's.

The Moline, lllinois-based company is forecast to report a 23% increase in revenue to $12.78 billion, compared with the same quarter a year earlier. Wall Street expects the manufacturer to post $6.69 earnings per share on net income of $2.03 billion, a 23.70% lift from 2021, according to Refinitiv analysts' estimates.

The company has struggled, like most manufacturers, to secure parts and other raw materials. This has stalled production and its ability to restock showroom floors and caused the tractor manufacturer to miss analysts' sales forecast. Company executives told shareholders on its second-quarter conference call that supply chain disruptions will last through the year.

"Some of the products are not going to be made in the quantities that we want," said Ken Wagner, owner of Heritage Tractor Inc, an authorized Deere dealer.

"We've seen quite a few cancellations of machines because they can't produce them in 2022."

Deere's bet on precision agriculture appears to be paying off, with analysts forecasting a 36% year over year increase in revenue for the segment, the highest growth among business lines, said Greaser.

"Pricing has been fantastic and that can lead to very strong earnings for Deere."