Bank of America Corp DE trimmed its position in shares of Caterpillar Inc. (NYSE:CAT – Free Report) by 15.7% during the 1st quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 5,677,578 shares of the industrial products company’s stock after selling 1,061,224 shares during the period. Bank of America Corp DE owned 1.23% of Caterpillar worth $4,022,337,000 at the end of the most recent reporting period.
A number of other hedge funds also recently modified their holdings of the business. Pacific Point Advisors LLC purchased a new stake in Caterpillar in the 4th quarter worth about $579,000. Brighton Jones LLC grew its stake in Caterpillar by 51.5% during the 4th quarter. Brighton Jones LLC now owns 7,409 shares of the industrial products company’s stock valued at $2,688,000 after acquiring an additional 2,519 shares in the last quarter. United Bank increased its holdings 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 during the period. Schnieders Capital Management LLC. lifted its position in shares of Caterpillar by 3.9% in the second quarter. Schnieders Capital Management LLC. now owns 9,147 shares of the industrial products company’s stock worth $3,551,000 after purchasing an additional 347 shares in the last quarter. Finally, Alliancebernstein L.P. lifted its position in shares of Caterpillar by 6.5% in the second quarter. Alliancebernstein L.P. now owns 572,165 shares of the industrial products company’s stock worth $222,120,000 after purchasing an additional 34,846 shares in the last quarter. Hedge funds and other institutional investors own 70.98% of the company’s stock.
Insider Buying and Selling at Caterpillar
In related news, CFO Andrew R. J. Bonfield sold 15,674 shares of Caterpillar stock in a transaction on Wednesday, May 6th. The shares were sold at an average price of $918.71, for a total value of $14,399,860.54. Following the transaction, the chief financial officer owned 52,935 shares in the company, valued at $48,631,913.85. This trade represents a 22.85% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, CAO William E. Schaupp sold 360 shares of Caterpillar stock in a transaction dated Wednesday, May 13th. The stock was sold at an average price of $906.00, for a total value of $326,160.00. Following the completion of the transaction, the chief accounting officer owned 530 shares in the company, valued at $480,180. The trade was a 40.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 95,773 shares of company stock worth $87,642,635 in the last quarter. 0.33% of the stock is owned by corporate insiders.
Analyst Upgrades and Downgrades
Read Our Latest Stock Report on Caterpillar
Key Caterpillar News
Here are the key news stories impacting Caterpillar this week:
- Positive Sentiment: Caterpillar announced an investment of up to $10 million in Illinois as part of its five-year, $100 million workforce initiative. The program will support training and recruitment for manufacturing and industrial technician jobs, potentially strengthening the company’s long-term labor pipeline. Caterpillar Invests in the Future of Manufacturing Talent in Illinois
- Positive Sentiment: Some analysts and market commentators remain constructive ahead of Caterpillar’s upcoming earnings report. Zacks upgraded the stock to a Rank #2, citing improving earnings prospects and the potential for an earnings beat. What Makes Caterpillar a New Buy Stock
- Neutral Sentiment: Caterpillar is scheduled to be among next week’s closely watched earnings reports. Investors will focus on order trends, demand, margins, tariffs and whether data-center-related generator sales can offset broader concerns. The Week Ahead: Jobs Data, Top 10 Earnings Reports to Watch
- Neutral Sentiment: Recent coverage highlights Caterpillar’s exposure to technology companies building artificial-intelligence data centers, where its generators can provide backup power and speed construction timelines. Satya Nadella’s Microsoft Needs Power. Joe Creed’s Caterpillar Sells It.
- Negative Sentiment: Baird downgraded CAT to Hold from Buy and cut its price target by $300 to $900. Analyst Mig Dobre cited growing public and political backlash against data-center construction, raising concerns about the durability of AI-related demand that has helped support the stock’s rally. Caterpillar Is Downgraded on Growing Data Center Buildout Backlash
- Negative Sentiment: Valuation concerns are amplifying the downgrade. Commentary noted that Caterpillar trades at a substantial premium to its historical valuation, leaving less room for disappointment if growth expectations or data-center spending cool. Caterpillar Trades at Three Times Its Historical Multiple
- Negative Sentiment: Additional risks include possible supply-chain pressure from China’s rare-earth export restrictions, which could raise costs or complicate sourcing of components used in advanced equipment. Caterpillar Faces Rare Earth Squeeze
Caterpillar Price Performance
NYSE CAT opened at $782.32 on Thursday. The company has a quick ratio of 0.81, a current ratio of 1.35 and a debt-to-equity ratio of 1.64. The stock has a market capitalization of $360.33 billion, a PE ratio of 38.94, a price-to-earnings-growth ratio of 1.65 and a beta of 1.57. Caterpillar Inc. has a 12-month low of $405.46 and a 12-month high of $1,073.46. The company has a 50 day moving average price of $926.90 and a two-hundred day moving average price of $810.15.
Caterpillar (NYSE:CAT – Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The industrial products company reported $5.54 EPS for the quarter, topping the consensus estimate of $4.65 by $0.89. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The company had revenue of $17.41 billion for the quarter, compared to analyst estimates of $16.53 billion. During the same quarter in the prior year, the business posted $4.25 EPS. Caterpillar’s quarterly revenue was up 22.2% on a year-over-year basis. As a group, equities analysts predict that Caterpillar Inc. will post 24.87 earnings per share for the current fiscal year.
Caterpillar Increases Dividend
The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th will be paid a $1.63 dividend. The ex-dividend date is Monday, July 20th. This is a positive change from Caterpillar’s previous quarterly dividend of $1.51. This represents a $6.52 dividend on an annualized basis and a dividend yield of 0.8%. Caterpillar’s dividend payout ratio is presently 32.45%.
Caterpillar Profile
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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