Rakuten Investment Management Inc. Makes New Investment in Caterpillar Inc. $CAT

Rakuten Investment Management Inc. acquired a new position in Caterpillar Inc. (NYSE:CAT) in the third quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor acquired 12,109 shares of the industrial products company’s stock, valued at approximately $5,778,000.

A number of other large investors also recently modified their holdings of the company. Valeo Financial Advisors LLC raised its stake in shares of Caterpillar by 36,842.1% during the second quarter. Valeo Financial Advisors LLC now owns 7,299,751 shares of the industrial products company’s stock worth $2,833,836,000 after acquiring an additional 7,279,991 shares in the last quarter. Norges Bank bought a new position in shares of Caterpillar during the 2nd quarter valued at $2,165,899,000. Massachusetts Financial Services Co. MA raised its position in Caterpillar by 1,851.8% in the 3rd quarter. Massachusetts Financial Services Co. MA now owns 1,830,414 shares of the industrial products company’s stock worth $873,382,000 after purchasing an additional 1,736,631 shares during the period. Marshall Wace LLP lifted its stake in Caterpillar by 425.2% in the second quarter. Marshall Wace LLP now owns 761,800 shares of the industrial products company’s stock worth $295,738,000 after purchasing an additional 616,739 shares during the last quarter. Finally, Voya Investment Management LLC boosted its position in Caterpillar by 36.9% during the third quarter. Voya Investment Management LLC now owns 1,777,589 shares of the industrial products company’s stock valued at $848,177,000 after buying an additional 478,972 shares during the period. 70.98% of the stock is owned by hedge funds and other institutional investors.

Insider Transactions at Caterpillar

In other Caterpillar news, insider Lange Bob De sold 14,638 shares of the stock in a transaction on Wednesday, November 5th. The stock was sold at an average price of $562.36, for a total value of $8,231,825.68. Following the completion of the transaction, the insider owned 80,209 shares in the company, valued at approximately $45,106,333.24. This represents a 15.43% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Anthony D. Fassino sold 8,184 shares of the business’s stock in a transaction on Monday, November 10th. The shares were sold at an average price of $570.18, for a total transaction of $4,666,353.12. Following the sale, the insider owned 41,512 shares in the company, valued at approximately $23,669,312.16. This trade represents a 16.47% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders have sold 54,729 shares of company stock worth $31,084,308. 0.33% of the stock is owned by insiders.

Key Stories Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar expanded its AI/technology partnership with Nvidia to bring generative AI and edge computing into machines and manufacturing — a strategic push that could lift product differentiation, aftermarket services, and long-term margins. Caterpillar, Nvidia Team Up to Transform Machines and Manufacturing
• Positive Sentiment: Feature coverage highlights Caterpillar’s broader technology transformation and digital strategy, reinforcing the narrative that CAT is moving beyond heavy equipment into higher-value software and services — a tailwind for multiple-year revenue mix improvement. Building The World Through Technology At Caterpillar
• Positive Sentiment: An Oppenheimer analyst note cited by the press expects CAT’s stock to rise, providing short-term bullish analyst sentiment that can support buying interest. Caterpillar Stock Price Expected to Rise, Oppenheimer Analyst Says
• Positive Sentiment: Rothschild & Co Redburn raised its price target sharply to $650 (from $420) while keeping a neutral rating — the PT increase signals higher analyst valuation sensitivity even if the formal stance remains cautious. Rothschild & Co Redburn Adjusts Caterpillar PT
• Neutral Sentiment: Market-note: CAT recently outperformed the broader market in session-level moves, which can amplify momentum trading but is not a fundamental driver by itself. Caterpillar Surpasses Market Returns
• Neutral Sentiment: Caterpillar is scheduled to report quarterly earnings this week — an event that increases short-term volatility; investors should watch guidance, margin commentary, and orders/backlog for directional cues. Caterpillar to Release Quarterly Earnings on Thursday
• Negative Sentiment: Analysts polled by Zacks expect a decline in Caterpillar’s upcoming earnings and note the company lacks the mix of drivers typically associated with an earnings beat — this raises the risk of a negative surprise and profit-taking around the print. Analysts Estimate Caterpillar to Report a Decline in Earnings
• Negative Sentiment: Caterpillar faces an employment-related lawsuit alleging wrongful termination after a racial harassment complaint — a reputational and legal risk that could draw attention if it escalates. Caterpillar Worker Sues After Racial Harassment Report

Wall Street Analyst Weigh In

A number of equities research analysts have recently weighed in on CAT shares. Oppenheimer boosted their target price on Caterpillar from $645.00 to $700.00 and gave the company an “outperform” rating in a research note on Tuesday. Robert W. Baird lifted their price target on Caterpillar from $612.00 to $680.00 and gave the stock an “outperform” rating in a research note on Thursday, October 30th. Erste Group Bank raised Caterpillar from a “hold” rating to a “buy” rating in a research note on Friday, October 3rd. Hsbc Global Res raised shares of Caterpillar from a “hold” rating to a “strong-buy” rating in a research note on Thursday, November 6th. Finally, Raymond James Financial reiterated a “market perform” rating on shares of Caterpillar in a report on Wednesday, January 7th. One analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $633.35.

Caterpillar Stock Performance

Shares of CAT stock opened at $648.27 on Friday. The firm has a market capitalization of $303.38 billion, a price-to-earnings ratio of 33.28, a PEG ratio of 2.49 and a beta of 1.57. The stock has a fifty day moving average of $592.97 and a 200 day moving average of $508.92. Caterpillar Inc. has a 52 week low of $267.30 and a 52 week high of $655.78. The company has a quick ratio of 0.86, a current ratio of 1.38 and a debt-to-equity ratio of 1.34.

Caterpillar (NYSE:CAT) last issued its quarterly earnings data on Monday, November 3rd. The industrial products company reported $4.95 EPS for the quarter, topping the consensus estimate of $4.52 by $0.43. The business had revenue of $17.64 billion during the quarter, compared to analyst estimates of $16.72 billion. Caterpillar had a net margin of 14.34% and a return on equity of 47.16%. The company’s revenue for the quarter was up 9.5% on a year-over-year basis. During the same period in the prior year, the business earned $5.17 EPS. As a group, research analysts expect that Caterpillar Inc. will post 19.86 earnings per share for the current year.

Caterpillar Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, February 19th. Shareholders of record on Tuesday, January 20th will be issued a dividend of $1.51 per share. The ex-dividend date is Tuesday, January 20th. This represents a $6.04 dividend on an annualized basis and a dividend yield of 0.9%. Caterpillar’s dividend payout ratio is 31.01%.

About Caterpillar

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.