Erste Group Bank Boosts Earnings Estimates for Caterpillar

Caterpillar Inc. (NYSE:CAT) – Equities research analysts at Erste Group Bank increased their FY2027 earnings per share estimates for Caterpillar in a research note issued to investors on Wednesday, October 21st. Erste Group Bank analyst H. Engel now forecasts that the industrial products company will earn $32.36 per share for the year, up from their prior estimate of $32.14. Erste Group Bank currently has a “Hold” rating on the stock. The consensus estimate for Caterpillar’s current full-year earnings is $27.74 per share.

Caterpillar (NYSE:CAT) last released its earnings results on Tuesday, August 4th. The industrial products company reported $8.17 EPS for the quarter, topping analysts’ consensus estimates of $6.22 by $1.95. Caterpillar had a return on equity of 55.53% and a net margin of 14.51%. The firm had revenue of $20.54 billion during the quarter, compared to the consensus estimate of $19.34 billion. During the same quarter in the previous year, the company posted $4.72 earnings per share. The company’s revenue was up 23.7% compared to the same quarter last year.

Several other analysts also recently commented on CAT. Royal Bank Of Canada upped their price objective on shares of Caterpillar from $877.00 to $897.00 and gave the company a “sector perform” rating in a report on Wednesday, August 5th. Sanford C. Bernstein reissued a “market perform” rating and set a $749.00 target price on shares of Caterpillar in a report on Wednesday, October 14th. President Capital started coverage on shares of Caterpillar in a research report on Friday, September 18th. They set a “buy” rating and a $999.00 target price for the company. DA Davidson upped their price target on shares of Caterpillar from $845.00 to $882.00 and gave the company a “neutral” rating in a report on Thursday, August 6th. Finally, Oppenheimer lowered their price target on shares of Caterpillar from $1,118.00 to $1,009.00 and set an “outperform” rating on the stock in a report on Wednesday, October 14th. Fifteen investment analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $947.42.

Caterpillar Stock Performance

CAT opened at $691.39 on Monday. The company has a current ratio of 1.37, a quick ratio of 0.85 and a debt-to-equity ratio of 1.65. Caterpillar has a 12-month low of $521.43 and a 12-month high of $1,073.46. The firm has a 50 day moving average of $799.69 and a two-hundred day moving average of $805.95. The firm has a market capitalization of $317.81 billion, a PE ratio of 28.84, a P/E/G ratio of 1.18 and a beta of 1.58.

Caterpillar Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 19th. Shareholders of record on Monday, October 26th will be issued a $1.63 dividend. The ex-dividend date of this dividend is Monday, October 26th. This represents a $6.52 dividend on an annualized basis and a yield of 0.9%. Caterpillar’s payout ratio is presently 28.06%.

Insider Buying and Selling at Caterpillar

In other Caterpillar news, CEO Joseph E. Creed sold 32,401 shares of the company’s stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $808.98, for a total value of $26,211,760.98. Following the completion of the transaction, the chief executive officer owned 34,555 shares in the company, valued at approximately $27,954,303.90. This represents a 48.39% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.33% of the company’s stock.

Institutional Investors Weigh In On Caterpillar

A number of institutional investors have recently modified their holdings of the business. Lam Group Inc. acquired a new stake in Caterpillar in the first quarter valued at approximately $26,000. Decker Retirement Planning Inc. increased its position in shares of Caterpillar by 440.0% in the second quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company’s stock valued at $29,000 after buying an additional 22 shares in the last quarter. PFS Partners LLC raised its stake in shares of Caterpillar by 1,750.0% during the 3rd quarter. PFS Partners LLC now owns 37 shares of the industrial products company’s stock worth $30,000 after buying an additional 35 shares during the period. Matrix Trust Co raised its stake in shares of Caterpillar by 93.8% during the 2nd quarter. Matrix Trust Co now owns 31 shares of the industrial products company’s stock worth $33,000 after buying an additional 15 shares during the period. Finally, Cedar Mountain Advisors LLC lifted its position in shares of 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 buying an additional 23 shares in the last quarter. 70.98% of the stock is currently owned by institutional investors and hedge funds.

Caterpillar News Summary

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: AI-driven power demand strengthens the outlook. Caterpillar is benefiting from rising demand for power-generation equipment used by data centers, helping drive a reported record $72 billion backlog with orders extending through 2030. The company is also investing approximately $1 billion in North Carolina to expand compact-equipment manufacturing and confirmed its $1.63 quarterly dividend payable November 19, 2026. Learn Why The Bull Case For Caterpillar Could Change Following AI Power Demand
• Positive Sentiment: Analyst estimates moved higher. Erste Group Bank raised its earnings estimates for Caterpillar, adding to the favorable expectations surrounding the company’s upcoming results. Erste Group Bank Raises Earnings Estimates for Caterpillar
• Neutral Sentiment: Resource Industries leadership transition announced. Group President Denise Johnson plans to retire in early 2027, with Derrick York, currently associated with Solar Turbines and other Caterpillar operations, named as her successor. Johnson is credited with improving the mining business during a difficult industry downturn; investors may monitor execution during the handoff. Caterpillar Taps Derrick York as Denise Johnson Sets Early 2027 Retirement
• Neutral Sentiment: Third-quarter earnings are the next major catalyst. Analysts expect another quarter of revenue and earnings growth, with investors looking beyond headline estimates to margins, segment performance, backlog conversion and management’s outlook. Caterpillar Q3 Earnings Preview
• Negative Sentiment: Tariffs and recent share-price weakness remain concerns. Rising tariffs could pressure Caterpillar’s margins, while the stock has declined sharply over the past month despite the backlog and a reported first-ever $20 billion quarter. The October 29 report will test whether backlog strength can support a rebound. Can Caterpillar’s $72B Backlog Save Its Stock From a 10% Slump?

Caterpillar Company Profile

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.