Trek Financial LLC lessened its holdings in shares of Caterpillar Inc. (NYSE:CAT – Free Report) by 92.2% in the third quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm owned 786 shares of the industrial products company’s stock after selling 9,341 shares during the quarter. Trek Financial LLC’s holdings in Caterpillar were worth $637,000 at the end of the most recent reporting period.
Other large investors have also recently modified their holdings of the company. Diversify Advisory Services LLC bought a new stake in Caterpillar during the second quarter valued at $5,372,000. D.B. Root & Company LLC bought a new position in shares of Caterpillar in the second quarter worth approximately $850,000. Dearborn Partners LLC bought a new position in shares of Caterpillar in the second quarter worth approximately $20,293,000. B. Metzler seel. Sohn & Co. AG raised its stake in Caterpillar by 4.3% in the second quarter. B. Metzler seel. Sohn & Co. AG now owns 62,731 shares of the industrial products company’s stock valued at $66,802,000 after purchasing an additional 2,590 shares in the last quarter. Finally, Van Hulzen Asset Management LLC raised its stake in Caterpillar by 85.3% in the second quarter. Van Hulzen Asset Management LLC now owns 2,809 shares of the industrial products company’s stock valued at $2,991,000 after purchasing an additional 1,293 shares in the last quarter. Hedge funds and other institutional investors own 70.98% of the company’s stock.
More Caterpillar News
Here are the key news stories impacting Caterpillar this week:
- Positive Sentiment: Caterpillar is expanding engine and turbine production to meet data-center demand, a growth opportunity for its power-generation business. The company also reported a record $78 billion backlog and strong quarterly growth, although margin pressure remains a concern. Article: Caterpillar expands production of engines and turbines to meet data center demand
- Positive Sentiment: Director James Fish bought 1,000 shares for about $620,000, increasing his holdings by roughly 27%. The insider purchase may signal confidence in Caterpillar’s prospects. Article: Caterpillar director share purchase
- Positive Sentiment: Freedom Capital Markets maintained a Buy rating after lowering its price target to $800 from $980, still indicating substantial potential upside from the price cited in the report. Article: Freedom Capital Markets price target
- Neutral Sentiment: Caterpillar completed its acquisition of long-time dealer John Fabick Tractor Company, adding its Missouri, Illinois, Wisconsin and Michigan Upper Peninsula operations to the company’s dealer network. The deal may strengthen regional customer support, though its near-term financial impact is unclear. Article: Caterpillar acquires Fabick Cat dealership
- Negative Sentiment: DA Davidson cut its price target to $685 from $882 and kept a Neutral rating, citing valuation concerns despite improving demand. The debate over whether Caterpillar’s premium valuation and margin pressures are justified could weigh on sentiment. Article: Caterpillar target cut and margin concerns
Insiders Place Their Bets
In other Caterpillar news, Director C Jr bought 1,000 shares of the company’s stock in a transaction dated Monday, November 2nd. The shares were purchased at an average price of $620.39 per share, for a total transaction of $620,390.00. Following the acquisition, the director owned 4,714 shares in the company, valued at approximately $2,924,518.46. This represents a 26.93% increase in their position. The purchase was disclosed in a filing with the SEC, which can be accessed through this link. Also, CEO Joseph E. Creed sold 32,401 shares of the company’s stock in a transaction dated Friday, August 28th. The stock was sold at an average price of $808.98, for a total transaction of $26,211,760.98. Following the completion of the sale, the chief executive officer directly owned 34,555 shares in the company, valued at $27,954,303.90. This represents a 48.39% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders own 0.33% of the company’s stock.
Wall Street Analyst Weigh In
A number of equities analysts have recently commented on CAT shares. Freedom Broker decreased their price target on shares of Caterpillar from $980.00 to $800.00 and set a “buy” rating on the stock in a report on Monday. Erste Group Bank downgraded shares of Caterpillar from a “buy” rating to a “hold” rating in a report on Monday, July 27th. Citigroup reduced their target price on Caterpillar from $950.00 to $800.00 and set a “buy” rating on the stock in a research note on Friday, October 30th. Weiss Ratings downgraded Caterpillar from a “buy (b)” rating to a “buy (b-)” rating in a research report on Thursday, October 29th. Finally, UBS Group dropped their target price on Caterpillar from $925.00 to $750.00 and set a “neutral” rating for the company in a research report on Monday, October 26th. Fifteen research analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the stock. According to data from MarketBeat.com, Caterpillar currently has an average rating of “Moderate Buy” and a consensus price target of $898.25.
Check Out Our Latest Analysis on Caterpillar
Caterpillar Price Performance
Shares of Caterpillar stock opened at $623.53 on Wednesday. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.42 and a quick ratio of 0.88. Caterpillar Inc. has a one year low of $537.08 and a one year high of $1,073.46. The business’s 50 day simple moving average is $775.16 and its two-hundred day simple moving average is $807.33. The stock has a market capitalization of $286.62 billion, a P/E ratio of 24.46, a price-to-earnings-growth ratio of 1.05 and a beta of 1.65.
Caterpillar (NYSE:CAT – Get Free Report) last announced its quarterly earnings results on Thursday, October 29th. The industrial products company reported $7.20 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $7.06 by $0.14. Caterpillar had a net margin of 15.21% and a return on equity of 59.87%. The business had revenue of $20.68 billion for the quarter, compared to analyst estimates of $20.76 billion. During the same quarter last year, the firm earned $4.95 EPS. The company’s revenue was up 17.3% on a year-over-year basis. Analysts forecast that Caterpillar Inc. will post 27.62 EPS for the current year.
Caterpillar Announces Dividend
The firm also recently announced a quarterly dividend, which will be paid on Thursday, November 19th. Stockholders of record on Monday, October 26th will be issued a dividend of $1.63 per share. This represents a $6.52 dividend on an annualized basis and a dividend yield of 1.0%. The ex-dividend date is Monday, October 26th. Caterpillar’s payout ratio is 25.58%.
About Caterpillar
Caterpillar Inc is a manufacturer of construction, mining, and industrial equipment. Its product portfolio includes excavators, bulldozers, wheel loaders, motor graders, articulated trucks, and other machinery used in construction, infrastructure development, mining, quarrying, forestry, and related industries. The company also produces diesel and natural gas engines, industrial gas turbines, generator sets, and other power-generation and transportation equipment.
Caterpillar operates through businesses focused on construction industries, resource industries, and energy and transportation.
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