Caterpillar (NYSE:CAT) Stock Price Up 3.1% on Analyst Upgrade

Caterpillar Inc. (NYSE:CAT)’s stock price shot up 3.1% on Wednesday after Wolfe Research raised their price target on the stock from $670.00 to $750.00. Wolfe Research currently has an outperform rating on the stock. Caterpillar traded as high as $740.01 and last traded at $730.5460. 2,361,813 shares changed hands during mid-day trading, a decline of 18% from the average session volume of 2,865,770 shares. The stock had previously closed at $708.46.

Other research analysts also recently issued research reports about the company. UBS Group reaffirmed a “neutral” rating and set a $677.00 target price on shares of Caterpillar in a report on Monday, February 2nd. CICC Research started coverage on Caterpillar in a research note on Friday, February 6th. They issued an “outperform” rating for the company. DA Davidson raised their price target on Caterpillar from $569.00 to $650.00 and gave the stock a “neutral” rating in a report on Monday, February 2nd. Wall Street Zen lowered Caterpillar from a “buy” rating to a “hold” rating in a research report on Saturday, February 21st. Finally, JPMorgan Chase & Co. increased their price objective on shares of Caterpillar from $765.00 to $860.00 and gave the stock an “overweight” rating in a report on Wednesday, March 4th. Sixteen research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $737.55.

Insider Buying and Selling

In other Caterpillar news, insider Denise C. Johnson sold 39,138 shares of the business’s stock in a transaction on Monday, February 2nd. The shares were sold at an average price of $681.08, for a total transaction of $26,656,109.04. Following the sale, the insider directly owned 43,350 shares of the company’s stock, valued at $29,524,818. The trade was a 47.45% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Rodney Michael Shurman sold 2,278 shares of the company’s stock in a transaction on Monday, February 23rd. The stock was sold at an average price of $759.61, for a total transaction of $1,730,391.58. Following the completion of the transaction, the insider directly owned 1,443 shares in the company, valued at $1,096,117.23. This trade represents a 61.22% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last 90 days, insiders sold 125,950 shares of company stock valued at $88,577,390. Company insiders own 0.33% of the company’s stock.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Wolfe Research raised its price target to $750 and kept an “Outperform” rating, signaling bullish analyst momentum that likely supported buying. Read More.
• Positive Sentiment: Caterpillar cleared its 50‑day moving average amid record revenues, rising estimates and a large order backlog — technical and fundamental signs that attract momentum buyers. Read More.
• Positive Sentiment: Market-wide rebound (Dow strength) and easing geopolitical risk helped cyclical industrial names, including Caterpillar, recover — a macro tailwind for demand expectations. Read More.
• Neutral Sentiment: Media pieces and investor-screening attention (Zacks/Yahoo) are raising visibility on CAT; that can amplify flows but doesn’t change fundamentals by itself. Read More.
• Neutral Sentiment: Changes in U.S. corporate tax law reduce Caterpillar’s cash tax payments while increasing reported book tax rates — positive for cash flow forecasts but complicates comparisons of GAAP earnings. Read More.
• Neutral Sentiment: Numerous consumer/outdoor news stories about real “caterpillars” are trending but are unrelated to Caterpillar Inc.’s business and unlikely to affect the stock. Read More.
• Negative Sentiment: Barclays raised its target to $700 but kept an “Equal Weight” rating — that implies limited upside vs. current levels and could cap further gains if other firms turn cautious. Read More.
• Negative Sentiment: Investor discussion and filings highlight margin compression and operating‑income pressure despite revenue growth; profitability and pricing vs. costs remain near‑term risks to monitor. Read More.
• Negative Sentiment: Large institutional reductions (e.g., UBS, Norges Bank) and significant insider selling have been reported — these flows can weigh on the stock if sustained. Read More.

Institutional Trading of Caterpillar

Institutional investors and hedge funds have recently modified their holdings of the company. Kilter Group LLC bought a new position in shares of Caterpillar during the 2nd quarter worth about $27,000. Torren Management LLC acquired a new stake in Caterpillar during the fourth quarter valued at approximately $27,000. Marquette Asset Management LLC grew its stake in shares of Caterpillar by 1,060.0% in the 3rd quarter. Marquette Asset Management LLC now owns 58 shares of the industrial products company’s stock valued at $28,000 after purchasing an additional 53 shares during the period. Frazier Financial Advisors LLC raised its holdings in shares of Caterpillar by 220.0% in the 4th quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company’s stock worth $28,000 after buying an additional 33 shares in the last quarter. Finally, IFS Advisors LLC bought a new position in shares of Caterpillar during the 4th quarter worth approximately $31,000. 70.98% of the stock is currently owned by institutional investors.

Caterpillar Trading Up 3.1%

The company has a 50 day moving average of $710.65 and a 200 day moving average of $609.31. The firm has a market cap of $339.91 billion, a price-to-earnings ratio of 38.82, a price-to-earnings-growth ratio of 1.57 and a beta of 1.53. 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 (NYSE:CAT) last issued its earnings results on Thursday, January 29th. The industrial products company reported $5.16 EPS for the quarter, beating the consensus estimate of $4.67 by $0.49. Caterpillar had a net margin of 13.14% and a return on equity of 45.76%. The company had revenue of $19.13 billion for the quarter, compared to the consensus estimate of $17.81 billion. During the same quarter in the previous year, the company earned $5.14 EPS. The firm’s revenue for the quarter was up 17.9% compared to the same quarter last year. As a group, research analysts anticipate that Caterpillar Inc. will post 19.86 EPS for the current year.

Caterpillar Company 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.