Brokerages Set Caterpillar Inc. (NYSE:CAT) PT at $995.52

Shares of Caterpillar Inc. (NYSE:CAT) have earned an average rating of “Moderate Buy” from the twenty-five analysts that are covering the firm, MarketBeat Ratings reports. Eleven analysts have rated the stock with a hold recommendation, thirteen have given a buy recommendation and one has issued a strong buy recommendation on the company. The average 1 year price objective among brokers that have issued a report on the stock in the last year is $995.5238.

Several equities analysts recently weighed in on the stock. Zacks Research raised shares of Caterpillar from a “hold” rating to a “strong-buy” rating in a research note on Wednesday, August 12th. Erste Group Bank lowered Caterpillar from a “buy” rating to a “hold” rating in a research note on Monday, July 27th. Citigroup lifted their target price on Caterpillar from $1,020.00 to $1,100.00 and gave the stock a “buy” rating in a report on Tuesday, July 14th. Robert W. Baird set a $970.00 price target on Caterpillar in a report on Wednesday, August 5th. Finally, JPMorgan Chase & Co. raised their price target on Caterpillar from $1,125.00 to $1,165.00 and gave the stock an “overweight” rating in a research report on Wednesday, June 17th.

Caterpillar Price Performance

NYSE CAT opened at $798.29 on Tuesday. The business’s fifty day moving average is $876.18 and its 200 day moving average is $838.63. The company has a market capitalization of $366.95 billion, a PE ratio of 34.35, a price-to-earnings-growth ratio of 1.38 and a beta of 1.60. The company has a debt-to-equity ratio of 1.65, a quick ratio of 0.85 and a current ratio of 1.37. Caterpillar has a fifty-two week low of $414.29 and a fifty-two week high of $1,073.46.

Caterpillar (NYSE:CAT) last announced its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $8.17 EPS for the quarter, beating the consensus estimate of $6.22 by $1.95. The firm had revenue of $20.54 billion for the quarter, compared to the consensus estimate of $19.34 billion. Caterpillar had a net margin of 14.51% and a return on equity of 55.53%. The company’s revenue was up 23.7% on a year-over-year basis. During the same period last year, the firm earned $4.72 EPS. Sell-side analysts predict that Caterpillar will post 27.35 earnings per share for the current year.

Caterpillar Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th were paid a dividend of $1.63 per share. This is a positive change from Caterpillar’s previous quarterly dividend of $1.51. This represents a $6.52 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend was Monday, July 20th. Caterpillar’s payout ratio is currently 28.06%.

Insider Buying and Selling

In other Caterpillar news, CEO Joseph E. Creed sold 32,401 shares of the stock in a transaction on Friday, August 28th. The stock was sold at an average price of $808.98, for a total value of $26,211,760.98. Following the sale, the chief executive officer owned 34,555 shares in the company, valued at $27,954,303.90. This trade represents a 48.39% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.33% of the stock is owned by company insiders.

Institutional Trading of Caterpillar

Several institutional investors and hedge funds have recently modified their holdings of CAT. Stonebridge Financial Group LLC lifted its stake in Caterpillar by 0.7% in the second quarter. Stonebridge Financial Group LLC now owns 1,635 shares of the industrial products company’s stock worth $1,741,000 after acquiring an additional 11 shares during the period. Inspirion Wealth Advisors LLC raised its stake in shares of Caterpillar by 1.2% during the 2nd quarter. Inspirion Wealth Advisors LLC now owns 944 shares of the industrial products company’s stock worth $936,000 after acquiring an additional 11 shares in the last quarter. Bell Bank increased its position in shares of Caterpillar by 0.6% during the second quarter. Bell Bank now owns 1,865 shares of the industrial products company’s stock worth $1,986,000 after purchasing an additional 11 shares in the last quarter. Cornerstone Advisory LLC raised its stake in Caterpillar by 0.7% in the first quarter. Cornerstone Advisory LLC now owns 1,818 shares of the industrial products company’s stock valued at $1,288,000 after buying an additional 12 shares during the last quarter. Finally, Advisory Resource Group raised its position in shares of Caterpillar by 0.8% in the 4th quarter. Advisory Resource Group now owns 1,632 shares of the industrial products company’s stock valued at $935,000 after purchasing an additional 13 shares during the last quarter. Institutional investors own 70.98% of the company’s stock.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: AI and robotics expansion: Caterpillar is collaborating with FieldAI, using physical AI, autonomy, robotics, digital twins and NVIDIA technology to improve safety, productivity and decision-making at construction sites and factories. The initiative could support higher-margin technology and services revenue over time. Caterpillar and FieldAI Advance AI-Powered Industrial Innovation
• Positive Sentiment: Data-center power demand remains a growth driver: Caterpillar’s Power & Energy business is benefiting from rising electricity needs tied to data centers and artificial-intelligence infrastructure. Retail sales to power-generation users reportedly surged 72% year over year in the second quarter, strengthening the long-term growth narrative. Can CAT Stock Compound Its Way Higher?
• Positive Sentiment: Higher earnings forecast: Erste Group Bank raised its fiscal 2026 EPS estimate to $27.50 from $24.78, modestly above consensus. Caterpillar’s latest quarter also showed strong momentum, with EPS of $8.17 and revenue of $20.54 billion exceeding estimates. Caterpillar FY2026 EPS Forecast Raised by Erste Group Bank
• Neutral Sentiment: Pullback creates a valuation debate: Analysts describe the recent decline as potentially attractive, but Caterpillar still trades at a relatively elevated earnings multiple. Investors are assessing whether expected AI, power-generation and industrial growth is already reflected in the share price. That Dip in Caterpillar Stock Looks Tempting, But Don’t Ignore the Catch
• Negative Sentiment: CEO insider sale adds pressure: Chief Executive Joseph Creed sold 32,401 shares for approximately $26.2 million, reducing his holdings by 48.39%. The transaction may weigh on sentiment, although it does not necessarily indicate deteriorating business prospects. SEC Insider Transaction Filing
• Negative Sentiment: Post-earnings weakness and technical concerns: CAT’s decline since earnings suggests investors may be taking profits after the strong report, while the stock remains below its recent moving averages. A trader has also argued that the shares may be ready to be “faded,” reinforcing near-term caution. Time to Start Fading Caterpillar 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.