Caterpillar (NYSE:CAT) Stock Price Up 2.3% – Time to Buy?

Caterpillar Inc. (NYSE:CAT) shares shot up 2.3% during trading on Monday . The stock traded as high as $835.34 and last traded at $833.4740. 3,259,589 shares changed hands during trading, an increase of 12% from the average daily volume of 2,916,865 shares. The stock had previously closed at $814.81.

Key Stories Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Strong earnings expectations: Analysts reportedly expect approximately $6.20 in adjusted earnings per share and $19.2 billion in revenue, implying substantial year-over-year growth. A beat or upbeat guidance could help restore confidence in CAT. Caterpillar Q2 2026 earnings preview
• Positive Sentiment: Record backlog and AI infrastructure exposure: Caterpillar’s order backlog has reportedly reached $63 billion. Demand for its power-generation equipment, including generators used to support data centers, has linked the company to the AI build-out and could provide visibility beyond the quarter. Caterpillar’s Order Backlog Hit a Record $63 Billion
• Positive Sentiment: Autonomous-equipment opportunity: Waste Management is expanding collaboration with Caterpillar to test autonomous heavy equipment at landfills following a successful remote-controlled-equipment pilot. The effort supports CAT’s technology and productivity-growth narrative. WM’s Landfill of the Future Advances Towards Autonomous Equipment Testing
• Neutral Sentiment: Investor focus is concentrated on guidance: The report will show whether backlog conversion, construction and mining demand, power-generation orders, and margins can meet elevated expectations. Caterpillar is also expanding manufacturing activity in Illinois, supporting its domestic industrial footprint but with limited immediate earnings impact. Caterpillar faces earnings test after AI selloff hits stock
• Negative Sentiment: Valuation and macro risks remain: With CAT trading at a high earnings multiple, investors may punish any revenue shortfall, weaker orders, margin pressure, or cautious guidance. Tariffs and the broader market’s retreat from AI-related names could add volatility even if quarterly results are solid. Caterpillar is Set to Report Q2 Earnings

Wall Street Analysts Forecast Growth

Several equities research analysts have recently issued reports on CAT shares. Oppenheimer lifted their target price on Caterpillar from $980.00 to $1,105.00 and gave the stock an “outperform” rating in a report on Monday, July 13th. Wells Fargo & Company upped their price objective on Caterpillar from $1,050.00 to $1,155.00 and gave the stock an “overweight” rating in a report on Tuesday, June 23rd. Sanford C. Bernstein increased their target price on Caterpillar from $769.00 to $879.00 and gave the company a “market perform” rating in a research report on Friday, May 1st. DA Davidson boosted their price target on shares of Caterpillar from $650.00 to $845.00 and gave the stock a “neutral” rating in a research report on Monday, May 4th. Finally, Robert W. Baird reiterated a “neutral” rating and set a $900.00 price objective (down from $1,200.00) on shares of Caterpillar in a research report on Wednesday, July 29th. Thirteen investment analysts have rated the stock with a Buy rating and twelve have assigned a Hold rating to the company’s stock. According to MarketBeat, Caterpillar currently has a consensus rating of “Moderate Buy” and an average target price of $966.29.

Caterpillar Trading Up 2.3%

The stock has a market cap of $383.89 billion, a PE ratio of 41.49, a PEG ratio of 1.59 and a beta of 1.60. The company has a debt-to-equity ratio of 1.64, a quick ratio of 0.81 and a current ratio of 1.35. The stock has a fifty day moving average price of $924.45 and a 200 day moving average price of $812.80.

Caterpillar (NYSE:CAT) last released its quarterly earnings results 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. Caterpillar had a return on equity of 48.21% and a net margin of 13.33%.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 firm posted $4.25 EPS. Caterpillar’s quarterly revenue was up 22.2% compared to the same quarter last year. Equities analysts expect that Caterpillar Inc. will post 24.87 EPS for the current year.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th will be issued a $1.63 dividend. This is a boost from Caterpillar’s previous quarterly dividend of $1.51. The ex-dividend date is Monday, July 20th. This represents a $6.52 annualized dividend and a dividend yield of 0.8%. Caterpillar’s dividend payout ratio (DPR) is 32.45%.

Insider Activity

In other Caterpillar news, insider Denise C. Johnson sold 12,605 shares of the business’s stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $907.91, for a total transaction of $11,444,205.55. Following the completion of the transaction, the insider owned 49,825 shares in the company, valued at $45,236,615.75. The trade was a 20.19% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, insider Lange Bob De sold 24,222 shares of the stock in a transaction that occurred on Wednesday, May 6th. The stock was sold at an average price of $922.92, for a total value of $22,354,968.24. Following the completion of the sale, the insider owned 86,029 shares in the company, valued at approximately $79,397,884.68. The trade was a 21.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold 90,131 shares of company stock worth $82,660,580 in the last 90 days. Company insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Caterpillar

Several hedge funds have recently bought and sold shares of the business. Lam Group Inc. bought a new position in shares of Caterpillar in the first quarter worth about $26,000. Torren Management LLC purchased a new stake in Caterpillar in the 4th quarter valued at about $27,000. Frazier Financial Advisors LLC grew its stake in 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 acquiring an additional 33 shares in the last quarter. Decker Retirement Planning Inc. grew its stake in Caterpillar by 440.0% in the 2nd quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company’s stock worth $29,000 after acquiring an additional 22 shares in the last quarter. Finally, Cornerstone Financial Management LLC purchased a new position in shares of Caterpillar during the fourth quarter worth approximately $32,000. Institutional investors own 70.98% of the company’s stock.

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.