Westchester Capital Management Inc. Cuts Stock Position in Caterpillar Inc. $CAT

Westchester Capital Management Inc. trimmed its stake in Caterpillar Inc. (NYSE:CAT) by 2.7% during the 3rd quarter, HoldingsChannel reports. The fund owned 61,806 shares of the industrial products company’s stock after selling 1,740 shares during the quarter. Caterpillar comprises 6.3% of Westchester Capital Management Inc.’s holdings, making the stock its 3rd biggest position. Westchester Capital Management Inc.’s holdings in Caterpillar were worth $29,491,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds also recently added to or reduced their stakes in the stock. Norges Bank purchased a new stake in Caterpillar in the second quarter worth about $2,165,899,000. Massachusetts Financial Services Co. MA raised its position in Caterpillar by 1,851.8% during the third quarter. Massachusetts Financial Services Co. MA now owns 1,830,414 shares of the industrial products company’s stock valued at $873,382,000 after purchasing an additional 1,736,631 shares during the period. Marshall Wace LLP increased its position in Caterpillar by 425.2% during the second quarter. Marshall Wace LLP now owns 761,800 shares of the industrial products company’s stock valued at $295,738,000 after acquiring an additional 616,739 shares during the last quarter. Bank of New York Mellon Corp boosted its stake in shares of Caterpillar by 20.7% during the 3rd quarter. Bank of New York Mellon Corp now owns 3,553,930 shares of the industrial products company’s stock worth $1,695,757,000 after purchasing an additional 609,023 shares during the period. Finally, Voya Investment Management LLC boosted its holdings in Caterpillar by 36.9% during the 3rd quarter. Voya Investment Management LLC now owns 1,777,589 shares of the industrial products company’s stock valued at $848,177,000 after acquiring an additional 478,972 shares during the period. Hedge funds and other institutional investors own 70.98% of the company’s stock.

Analyst Ratings Changes

Several analysts have weighed in on the stock. Truist Financial boosted their target price on shares of Caterpillar from $729.00 to $786.00 and gave the stock a “buy” rating in a research report on Monday, February 2nd. CICC Research assumed coverage on shares of Caterpillar in a research note on Friday, February 6th. They issued an “outperform” rating for the company. Sanford C. Bernstein reissued a “market perform” rating and set a $678.00 price objective on shares of Caterpillar in a research report on Friday, January 30th. Evercore boosted their target price on shares of Caterpillar from $476.00 to $630.00 and gave the stock an “outperform” rating in a research report on Monday, November 17th. Finally, JPMorgan Chase & Co. increased their price target on Caterpillar from $740.00 to $765.00 and gave the stock an “overweight” rating in a research note on Friday, January 30th. Sixteen analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Caterpillar currently has an average rating of “Moderate Buy” and an average price target of $702.95.

Caterpillar Trading Down 1.3%

Shares of CAT stock opened at $764.27 on Wednesday. Caterpillar Inc. has a 1 year low of $267.30 and a 1 year high of $789.81. The firm has a market capitalization of $357.66 billion, a P/E ratio of 40.61, a price-to-earnings-growth ratio of 1.83 and a beta of 1.58. The firm’s fifty day simple moving average is $641.06 and its 200 day simple moving average is $546.70. The company has a current ratio of 1.44, a quick ratio of 0.94 and a debt-to-equity ratio of 1.44.

Caterpillar (NYSE:CAT) last posted its quarterly earnings results on Thursday, January 29th. The industrial products company reported $5.16 EPS for the quarter, beating the consensus estimate of $4.67 by $0.49. The firm had revenue of $19.13 billion during the quarter, compared to analysts’ expectations of $17.81 billion. Caterpillar had a return on equity of 45.76% and a net margin of 13.14%.The company’s revenue for the quarter was up 17.9% on a year-over-year basis. During the same quarter in the prior year, the firm posted $5.14 EPS. As a group, sell-side analysts predict that Caterpillar Inc. will post 19.86 EPS for the current year.

Caterpillar Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, February 19th. Investors of record on Tuesday, January 20th will be issued a $1.51 dividend. This represents a $6.04 dividend on an annualized basis and a dividend yield of 0.8%. The ex-dividend date of this dividend is Tuesday, January 20th. Caterpillar’s payout ratio is currently 32.09%.

Insider Activity at Caterpillar

In other news, insider Denise C. Johnson sold 39,138 shares of Caterpillar stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $681.08, for a total value of $26,656,109.04. Following the completion of the sale, the insider directly owned 43,350 shares of the company’s stock, valued at approximately $29,524,818. This trade represents a 47.45% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Anthony D. Fassino sold 10,671 shares of the company’s stock in a transaction dated Monday, February 2nd. The shares were sold at an average price of $680.45, for a total transaction of $7,261,081.95. Following the transaction, the insider owned 41,151 shares in the company, valued at approximately $28,001,197.95. The trade was a 20.59% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 138,436 shares of company stock valued at $94,425,251 over the last ninety days. Company insiders own 0.33% of the company’s stock.

Caterpillar 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.