Caterpillar (NYSE:CAT) Rating Increased to Buy at StockNews.com

StockNews.com upgraded shares of Caterpillar (NYSE:CAT) from a hold rating to a buy rating in a research report released on Tuesday morning.

Several other equities research analysts have also weighed in on the company. Robert W. Baird raised their target price on Caterpillar from $299.00 to $300.00 and gave the stock an “underperform” rating in a research report on Thursday, October 31st. Truist Financial increased their target price on shares of Caterpillar from $399.00 to $456.00 and gave the company a “buy” rating in a research report on Wednesday, October 9th. Bank of America raised their price objective on Caterpillar from $376.00 to $434.00 and gave the stock a “buy” rating in a report on Monday, September 30th. UBS Group boosted their target price on Caterpillar from $285.00 to $295.00 and gave the company a “sell” rating in a report on Monday, November 4th. Finally, Morgan Stanley lowered Caterpillar from an “equal weight” rating to an “underweight” rating and cut their price target for the stock from $349.00 to $332.00 in a research report on Monday, October 14th. Four equities research analysts have rated the stock with a sell rating, seven have assigned a hold rating and eight have issued a buy rating to the stock. According to MarketBeat.com, Caterpillar has an average rating of “Hold” and a consensus target price of $374.69.

Caterpillar Stock Down 2.1 %

Shares of Caterpillar stock opened at $380.68 on Tuesday. The company has a quick ratio of 0.86, a current ratio of 1.40 and a debt-to-equity ratio of 1.33. Caterpillar has a 52-week low of $259.28 and a 52-week high of $418.50. The company has a market capitalization of $183.79 billion, a P/E ratio of 17.65, a P/E/G ratio of 1.97 and a beta of 1.10. The company has a 50 day moving average of $392.83 and a 200 day moving average of $360.00.

Caterpillar (NYSE:CAT) last issued its earnings results on Wednesday, October 30th. The industrial products company reported $5.17 EPS for the quarter, missing analysts’ consensus estimates of $5.33 by ($0.16). Caterpillar had a return on equity of 59.09% and a net margin of 16.26%. The firm had revenue of $16.11 billion for the quarter, compared to analyst estimates of $16.37 billion. During the same quarter in the previous year, the firm posted $5.52 EPS. The business’s revenue for the quarter was down 4.2% on a year-over-year basis. As a group, research analysts forecast that Caterpillar will post 21.67 EPS for the current fiscal year.

Caterpillar Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, February 20th. Investors of record on Tuesday, January 21st will be issued a dividend of $1.41 per share. The ex-dividend date is Tuesday, January 21st. This represents a $5.64 annualized dividend and a yield of 1.48%. Caterpillar’s dividend payout ratio is currently 26.15%.

Insider Activity at Caterpillar

In other news, Director Daniel M. Dickinson sold 1,300 shares of the stock in a transaction dated Wednesday, November 6th. The shares were sold at an average price of $418.00, for a total value of $543,400.00. Following the completion of the transaction, the director now owns 4,976 shares in the company, valued at $2,079,968. This trade represents a 20.71 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Gerald Johnson acquired 100 shares of the firm’s stock in a transaction that occurred on Wednesday, December 4th. The shares were bought at an average cost of $398.57 per share, for a total transaction of $39,857.00. Following the acquisition, the director now owns 2,953 shares of the company’s stock, valued at $1,176,977.21. This represents a 3.51 % increase in their position. The disclosure for this purchase can be found here. Insiders sold a total of 23,868 shares of company stock worth $9,679,489 over the last 90 days. Company insiders own 0.29% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds have recently added to or reduced their stakes in the stock. Alpha Cubed Investments LLC increased its stake in Caterpillar by 5.6% in the 3rd quarter. Alpha Cubed Investments LLC now owns 116,566 shares of the industrial products company’s stock valued at $45,591,000 after purchasing an additional 6,212 shares in the last quarter. Citizens Financial Group Inc. RI raised its stake in shares of Caterpillar by 43.0% during the 3rd quarter. Citizens Financial Group Inc. RI now owns 13,902 shares of the industrial products company’s stock worth $5,437,000 after buying an additional 4,181 shares during the last quarter. First Affirmative Financial Network acquired a new position in shares of Caterpillar during the 3rd quarter worth $204,000. Inspire Advisors LLC grew its stake in Caterpillar by 25.8% in the 3rd quarter. Inspire Advisors LLC now owns 8,266 shares of the industrial products company’s stock valued at $3,233,000 after acquiring an additional 1,694 shares during the last quarter. Finally, Jackson Square Capital LLC grew its stake in Caterpillar by 33.7% in the 3rd quarter. Jackson Square Capital LLC now owns 16,581 shares of the industrial products company’s stock valued at $6,485,000 after acquiring an additional 4,182 shares during the last quarter. 70.98% of the stock is owned by hedge funds and other institutional investors.

Caterpillar Company Profile

Caterpillar Inc manufactures and sells construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives in worldwide. Its Construction Industries segment offers asphalt pavers, compactors, road reclaimers, forestry machines, cold planers, material handlers, track-type tractors, excavators, telehandlers, motor graders, and pipelayers; compact track, wheel, track-type, backhoe, and skid steer loaders; and related parts and tools.