Caterpillar Inc. (NYSE:CAT) was downgraded by Zacks Investment Research from a “buy” rating to a “hold” rating in a research note issued to investors on Tuesday.
According to Zacks, “Caterpillar’s Asia Pacific sales increased 2% in Aug, the first positive reading since November 2012 while sales lagged in other regions. Also, in the Construction Industries, Asia Pacific remains a consistent bright spot with a 12% increase, the best performance this year and marking its sixth consecutive month of growth. The EAME construction industry is also improving and leading indicators of U.S. non-residential construction signal robust conditions ahead for the domestic construction industry. Further, the company wull benefit from its restructuring actions and share repurchases. Also, the company has a positive record of earnings surprises in the recent quarters. However, weak mining demand, lower oil prices, lower backlog and competitive pricing pressure will remain headwinds.”
CAT has been the subject of a number of other research reports. Jefferies Group reaffirmed a “hold” rating on shares of Caterpillar in a research report on Wednesday, August 3rd. Citigroup Inc. increased their price objective on shares of Caterpillar from $75.00 to $82.00 and gave the stock a “neutral” rating in a research report on Wednesday, July 27th. Axiom Securities reaffirmed a “sell” rating on shares of Caterpillar in a research report on Tuesday, August 30th. Vetr raised shares of Caterpillar from a “strong sell” rating to a “sell” rating and set a $79.15 price objective for the company in a research report on Wednesday, July 27th. Finally, Credit Suisse Group AG reaffirmed a “buy” rating and set a $87.00 price objective on shares of Caterpillar in a research report on Wednesday, July 13th. Three equities research analysts have rated the stock with a sell rating, sixteen have given a hold rating and eight have issued a buy rating to the company’s stock. The stock presently has a consensus rating of “Hold” and a consensus price target of $73.07.
Caterpillar (NYSE:CAT) traded down 0.40% during trading on Tuesday, reaching $87.93. 2,325,647 shares of the company’s stock traded hands. The company has a market cap of $51.37 billion, a PE ratio of 58.62 and a beta of 1.54. Caterpillar has a 12-month low of $56.36 and a 12-month high of $89.19. The company has a 50 day moving average price of $83.25 and a 200-day moving average price of $78.26.
Caterpillar (NYSE:CAT) last posted its quarterly earnings results on Tuesday, July 26th. The company reported $1.09 earnings per share for the quarter, beating the consensus estimate of $0.96 by $0.13. Caterpillar had a net margin of 2.64% and a return on equity of 12.37%. The business earned $10.34 billion during the quarter, compared to analysts’ expectations of $10.06 billion. During the same quarter in the prior year, the company posted $1.27 EPS. The business’s revenue for the quarter was down 16.0% on a year-over-year basis. On average, equities research analysts forecast that Caterpillar will post $3.50 EPS for the current fiscal year.
In other news, Director Dennis A. Muilenburg acquired 1,930 shares of the business’s stock in a transaction dated Friday, July 29th. The stock was acquired at an average price of $82.75 per share, with a total value of $159,707.50. Following the completion of the transaction, the director now directly owns 9,558 shares in the company, valued at approximately $790,924.50. The acquisition was disclosed in a legal filing with the SEC, which is available at the SEC website. Also, insider Bradley M. Halverson sold 2,841 shares of the business’s stock in a transaction that occurred on Thursday, July 28th. The shares were sold at an average price of $82.73, for a total transaction of $235,035.93. Following the completion of the transaction, the insider now directly owns 20,232 shares of the company’s stock, valued at approximately $1,673,793.36. The disclosure for this sale can be found here. 0.15% of the stock is currently owned by insiders.
Institutional investors have recently bought and sold shares of the stock. RMB Capital Management LLC raised its position in Caterpillar by 12.2% in the first quarter. RMB Capital Management LLC now owns 3,690 shares of the company’s stock worth $282,000 after buying an additional 400 shares in the last quarter. Rehmann Capital Advisory Group increased its stake in Caterpillar by 105.0% in the first quarter. Rehmann Capital Advisory Group now owns 9,999 shares of the company’s stock worth $765,000 after buying an additional 5,122 shares during the last quarter. Prudential Financial Inc. increased its stake in Caterpillar by 4.4% in the first quarter. Prudential Financial Inc. now owns 1,078,780 shares of the company’s stock worth $82,570,000 after buying an additional 45,480 shares during the last quarter. Stratos Wealth Partners LTD. increased its stake in Caterpillar by 8.3% in the first quarter. Stratos Wealth Partners LTD. now owns 15,273 shares of the company’s stock worth $1,169,000 after buying an additional 1,172 shares during the last quarter. Finally, Teachers Advisors Inc. increased its stake in Caterpillar by 11.9% in the first quarter. Teachers Advisors Inc. now owns 835,203 shares of the company’s stock worth $63,926,000 after buying an additional 88,785 shares during the last quarter. 69.03% of the stock is owned by institutional investors and hedge funds.
Caterpillar Company Profile
Caterpillar Inc is a manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. The Company operates through its three product segments: Resource Industries, Construction Industries, and Energy & Transportation. It also provides financing and related services through its Financial Products segment.
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