Key Points
- CEO Joseph Creed sold 2,500 shares on March 5 at an average price of $718.93 for about $1.80 million, leaving him with 35,083 shares (a 6.65% reduction in his holdings).
- Caterpillar beat quarterly expectations, reporting EPS of $5.16 vs. $4.67 expected and revenue of $19.13 billion vs. $17.81 billion, with revenue up 17.9% year‑over‑year and strong margins (ROE 45.76%, net margin 13.14%).
- Analysts are broadly positive — the stock has an average rating of "Moderate Buy" and an average target of $724.81 with several firms raising targets into the ~$800s, though valuation is rich (P/E ~36.2) and cyclical risk could amplify downside.
Caterpillar Inc. (NYSE:CAT - Get Free Report) CEO Joseph Creed sold 2,500 shares of the stock in a transaction dated Thursday, March 5th. The shares were sold at an average price of $718.93, for a total transaction of $1,797,325.00. Following the completion of the transaction, the chief executive officer directly owned 35,083 shares in the company, valued at approximately $25,222,221.19. This represents a 6.65% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink.
Caterpillar Price Performance
Shares of NYSE CAT opened at $681.31 on Friday. The firm has a market cap of $317.01 billion, a P/E ratio of 36.20, a price-to-earnings-growth ratio of 1.67 and a beta of 1.54. The business's 50 day moving average is $681.47 and its 200-day moving average is $574.20. The company has a current ratio of 1.44, a quick ratio of 0.94 and a debt-to-equity ratio of 1.44. Caterpillar Inc. has a 1-year low of $267.30 and a 1-year high of $789.81.
Caterpillar (NYSE:CAT - Get Free Report) last issued its quarterly earnings data on Thursday, January 29th. The industrial products company reported $5.16 EPS for the quarter, beating analysts' consensus estimates of $4.67 by $0.49. The firm had revenue of $19.13 billion for the quarter, compared to analyst estimates of $17.81 billion. Caterpillar had a return on equity of 45.76% and a net margin of 13.14%.The company's revenue for the quarter was up 17.9% on a year-over-year basis. During the same period in the prior year, the firm posted $5.14 EPS. Equities research analysts predict that Caterpillar Inc. will post 19.86 earnings per share for the current year.
Caterpillar Dividend Announcement
The firm also recently declared a quarterly dividend, which was paid on Thursday, February 19th. Investors of record on Tuesday, January 20th were paid a $1.51 dividend. The ex-dividend date was Tuesday, January 20th. This represents a $6.04 annualized dividend and a dividend yield of 0.9%. Caterpillar's dividend payout ratio is 32.09%.
Analyst Ratings Changes
A number of analysts have issued reports on CAT shares. Sanford C. Bernstein reissued a "market perform" rating and issued a $678.00 price objective on shares of Caterpillar in a report on Friday, January 30th. Daiwa Securities Group raised their target price on shares of Caterpillar from $640.00 to $790.00 in a report on Wednesday, February 25th. Raymond James Financial reiterated a "market perform" rating on shares of Caterpillar in a research note on Wednesday, January 7th. Evercore increased their price target on Caterpillar from $476.00 to $630.00 and gave the stock an "outperform" rating in a research report on Monday, November 17th. Finally, HSBC lifted their price objective on Caterpillar from $660.00 to $850.00 and gave the company a "buy" rating in a report on Thursday, February 5th. Sixteen equities research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $724.81.
Get Our Latest Stock Report on Caterpillar
Caterpillar News Summary
Here are the key news stories impacting Caterpillar this week:
- Positive Sentiment: Analyst price‑target upgrades from Jefferies and Oppenheimer lift longer‑term outlooks — Jefferies raised its target to $825 and Oppenheimer to $817, both keeping buy/outperform views, signaling near‑20% upside versus current levels. Jefferies Adjusts Price Target
- Positive Sentiment: Recent fundamentals remain supportive: Caterpillar beat revenue and EPS expectations in its last report (strong margins and revenue growth), which underpins analyst bullishness and medium‑term earnings expectations. Analyst Upgrade Coverage
- Neutral Sentiment: CEO Joseph Creed sold 2,500 shares (filed with the SEC), a small reduction in insider holdings that may be interpreted as routine liquidity rather than a signal of deteriorating fundamentals. SEC Filing
- Neutral Sentiment: Positive PR and brand buzz from a viral AI image and Caterpillar’s real pickup concept give the company free publicity and may support equipment‑brand equity, but have limited immediate revenue impact. Caterpillar Built a Yellow Pickup
- Negative Sentiment: Large intraday losses in CAT helped drive sharp Dow declines and reflect heavy profit‑taking and macro risk sentiment; that market stress is the main reason the stock is down today. Dow Falls Coverage
- Negative Sentiment: Critical commentary on valuation labels Caterpillar as a high‑quality but highly valued cyclical, which could amplify downside if macro or industrial demand weakens. Valuation Critique
- Negative Sentiment: Market coverage noting the stock’s day‑over‑day dip highlights short‑term momentum weakness and heavier intraday volume, contributing to negative price action. Why CAT Dipped
Institutional Investors Weigh In On Caterpillar
Several institutional investors and hedge funds have recently added to or reduced their stakes in CAT. Pacific Point Advisors LLC bought a new position in Caterpillar in the fourth quarter valued at about $579,000. Brighton Jones LLC lifted its holdings in shares of Caterpillar by 51.5% in the fourth quarter. Brighton Jones LLC now owns 7,409 shares of the industrial products company's stock worth $2,688,000 after acquiring an additional 2,519 shares during the last quarter. United Bank boosted its stake in shares of Caterpillar by 108.5% in the 2nd quarter. United Bank now owns 4,083 shares of the industrial products company's stock valued at $1,585,000 after purchasing an additional 2,125 shares in the last quarter. Schnieders Capital Management LLC. grew its holdings in shares of Caterpillar by 3.9% during the 2nd quarter. Schnieders Capital Management LLC. now owns 9,147 shares of the industrial products company's stock valued at $3,551,000 after purchasing an additional 347 shares during the last quarter. Finally, Csenge Advisory Group increased its position in Caterpillar by 11.0% during the 2nd quarter. Csenge Advisory Group now owns 5,198 shares of the industrial products company's stock worth $2,018,000 after purchasing an additional 515 shares in the last quarter. 70.98% of the stock is currently owned by institutional investors.
About Caterpillar
(
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Caterpillar Inc is a global manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and locomotives. The company's product portfolio includes earthmoving machines such as excavators, bulldozers, wheel loaders and off‑highway trucks, as well as a range of power generation products including generator sets and power systems for industrial and commercial use. Caterpillar serves customers across heavy construction, mining, energy, transportation and related industries with both equipment and integrated technology solutions.
In addition to manufacturing, Caterpillar provides a broad range of aftermarket parts and support services, including maintenance, repair, remanufacturing and fleet management tools.
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