Bank of America Raises Caterpillar (NYSE:CAT) Price Target to $989.00

Caterpillar (NYSE:CAT) had its price target upped by Bank of America from $930.00 to $989.00 in a report issued on Friday,MarketScreener reports. The brokerage presently has a “buy” rating on the industrial products company’s stock. Bank of America‘s price objective would indicate a potential upside of 11.11% from the company’s current price.

Several other equities research analysts have also weighed in on CAT. Wells Fargo & Company lifted their price objective on Caterpillar from $960.00 to $1,050.00 and gave the stock an “overweight” rating in a report on Friday. Royal Bank Of Canada boosted their price objective on Caterpillar from $587.00 to $658.00 and gave the company a “sector perform” rating in a research report on Friday, January 30th. UBS Group restated a “neutral” rating and set a $677.00 target price on shares of Caterpillar in a report on Monday, February 2nd. Williams Trading set a $825.00 target price on Caterpillar in a report on Tuesday, March 10th. Finally, Wall Street Zen upgraded Caterpillar from a “hold” rating to a “buy” rating in a report on Saturday. Sixteen research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $862.32.

Caterpillar Stock Performance

NYSE CAT opened at $890.15 on Friday. The company has a current ratio of 1.35, a quick ratio of 0.94 and a debt-to-equity ratio of 1.64. The company has a fifty day simple moving average of $746.86 and a 200 day simple moving average of $655.04. Caterpillar has a 12-month low of $318.11 and a 12-month high of $905.00. The company has a market cap of $414.18 billion, a P/E ratio of 47.30, a PEG ratio of 2.05 and a beta of 1.63.

Caterpillar (NYSE:CAT) last issued its quarterly earnings data on Thursday, April 30th. The industrial products company reported $5.54 earnings per share for the quarter, beating the consensus estimate of $4.65 by $0.89. The business had revenue of $17.42 billion for the quarter, compared to analysts’ expectations of $16.53 billion. Caterpillar had a return on equity of 48.21% and a net margin of 13.33%.The business’s revenue was up 22.2% on a year-over-year basis. During the same period last year, the business earned $4.25 EPS. Sell-side analysts predict that Caterpillar will post 22.89 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Caterpillar news, insider Anthony D. Fassino sold 10,671 shares of Caterpillar stock in a transaction that occurred on Monday, February 2nd. The stock was sold at an average price of $680.45, for a total value of $7,261,081.95. Following the sale, the insider owned 41,151 shares of the company’s stock, valued at $28,001,197.95. The trade was a 20.59% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Also, insider Rodney Michael Shurman sold 2,278 shares of the business’s stock in a transaction that occurred on Monday, February 23rd. The shares were sold at an average price of $759.61, for a total value of $1,730,391.58. Following the transaction, the insider directly owned 1,443 shares in the company, valued at approximately $1,096,117.23. This represents a 61.22% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 125,950 shares of company stock worth $88,577,390 in the last quarter. 0.33% of the stock is owned by insiders.

Hedge Funds Weigh In On Caterpillar

Large investors have recently bought and sold shares of the business. Lam Group Inc. purchased a new position in Caterpillar during the 1st quarter valued at $26,000. Torren Management LLC purchased a new position in Caterpillar during the 4th quarter valued at $27,000. Frazier Financial Advisors LLC boosted its holdings in Caterpillar by 220.0% during the 4th quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company’s stock valued at $28,000 after acquiring an additional 33 shares during the period. Cedar Mountain Advisors LLC boosted its holdings in Caterpillar by 82.1% during the 1st quarter. Cedar Mountain Advisors LLC now owns 51 shares of the industrial products company’s stock valued at $36,000 after acquiring an additional 23 shares during the period. Finally, IFS Advisors LLC purchased a new position in Caterpillar during the 4th quarter valued at $31,000. 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 beat Q1 revenue and EPS expectations and reported a record backlog, driven by higher volume and pricing across construction and power systems — a core reason the stock rallied after earnings. Caterpillar expects AI-driven demand for power, construction to fuel growth — Reuters
• Positive Sentiment: Analysts sharply raised price targets and upgraded ratings (JPMorgan, Jefferies, Wells Fargo, Baird, Citigroup, Morgan Stanley among others), signaling renewed street confidence and creating upward momentum for the stock. Morgan Stanley Doubles Price Target to $915 — 247WallSt
• Positive Sentiment: Demand tied to AI/data-center buildouts is boosting Cat’s power and energy backlog; management is raising 2030 targets and plans to roughly triple power-generation capacity, which supports a multi-year growth runway beyond cyclical construction. Caterpillar to triple power generation capacity — Yahoo Finance
• Positive Sentiment: Market narrative has shifted: short interest and skeptical bears are receding as the AI-power story gains traction, amplifying upside as skeptics fold. Caterpillar’s biggest bear folds as AI power demand soars — Mining.com
• Positive Sentiment: Strategic partnerships (e.g., framework with ProPetro’s PROPWR) and large supply agreements for data-center and industrial power strengthen the revenue mix in higher-margin power systems. Caterpillar taps PROPWR and data centers — Yahoo Finance
• Neutral Sentiment: Technical momentum is strong (IBD composite rating surged toward the top of the universe) and the company announced a virtual annual shareholder meeting; these are market-interest and governance items rather than direct catalysts. IBD Composite Rating Surges — Yahoo/IBD
• Negative Sentiment: Management warned of significant tariff costs for 2026 — a $2.2B–$2.4B range — that will pressure margins and partially offset revenue strength; investors should watch margin trends and any changes to the tariff outlook. Caterpillar signals tariff cost range and 2026 sales growth — Seeking Alpha

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.