Caterpillar (NYSE:CAT) Shares Up 1.6% After Insider Buying Activity

Caterpillar Inc. (NYSE:CAT)’s share price was up 1.6% during mid-day trading on Tuesday after an insider bought additional shares in the company. The stock traded as high as $628.30 and last traded at $623.5310. 3,318,408 shares traded hands during mid-day trading, an increase of 16% from the average daily volume of 2,864,532 shares. The stock had previously closed at $613.62.

Specifically, Director C Jr purchased 1,000 shares of the stock in a transaction dated Monday, November 2nd. The stock was acquired at an average price of $620.39 per share, for a total transaction of $620,390.00. Following the completion of the transaction, the director owned 4,714 shares of the company’s stock, valued at approximately $2,924,518.46. The trade was a 26.93% increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is accessible through this hyperlink.

Wall Street Analyst Weigh In

CAT has been the topic of several research analyst reports. Truist Financial reissued a “buy” rating and set a $1,027.00 target price (down from $1,100.00) on shares of Caterpillar in a research note on Friday. Erste Group Bank cut Caterpillar from a “buy” rating to a “hold” rating in a research note on Monday, July 27th. Weiss Ratings downgraded shares of Caterpillar from a “buy (b)” rating to a “buy (b-)” rating in a research note on Thursday. DA Davidson dropped their price objective on Caterpillar from $882.00 to $685.00 and set a “neutral” rating on the stock in a report on Monday. Finally, Citigroup decreased their price target on Caterpillar from $950.00 to $800.00 and set a “buy” rating for the company in a research note on Friday. Fifteen investment analysts have rated the stock with a Buy rating and twelve have given a Hold rating to the company’s stock. According to MarketBeat.com, Caterpillar presently has a consensus rating of “Moderate Buy” and an average target price of $898.25.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Director James C. Fish Jr. bought 1,000 shares for about $620,390, increasing his ownership by 26.93%—an insider purchase that may signal confidence in the company. SEC filing
• Positive Sentiment: Caterpillar’s record $78 billion backlog and 75% growth in power-generation sales to users, driven by data-center demand, underpin the long-term growth case. One report says analysts see substantial potential upside, despite the recent share-price weakness. Caterpillar’s Sell-Off: Is the Market Missing Its AI Power Play?
• Neutral Sentiment: Caterpillar completed its acquisition of long-standing dealer John Fabick Tractor Company, expanding its direct footprint across parts of the Midwest. The deal may support customer service and dealer-network integration, but its financial impact was not specified. Caterpillar Inc. Acquires Fabick Cat Dealership
• Negative Sentiment: DA Davidson cut its price target to $685 from $882 and kept a Neutral rating, citing valuation concerns and Caterpillar’s premium to peers—even as it acknowledged accelerating demand. The report highlights debate over whether margin pressure could limit the benefits of growth. CAT Stock Gets Price Target Cuts

Caterpillar Price Performance

The company has a debt-to-equity ratio of 1.65, a current ratio of 1.37 and a quick ratio of 0.85. The stock’s 50 day moving average price is $778.93 and its two-hundred day moving average price is $807.40. The firm has a market capitalization of $286.62 billion, a price-to-earnings ratio of 24.46, a PEG ratio of 1.22 and a beta of 1.65.

Caterpillar (NYSE:CAT) last posted its earnings results on Thursday, October 29th. The industrial products company reported $7.20 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $7.06 by $0.14. The business had revenue of $20.68 billion for the quarter, compared to analyst estimates of $20.76 billion. Caterpillar had a net margin of 14.51% and a return on equity of 55.53%. Caterpillar’s revenue was up 17.3% compared to the same quarter last year. During the same period last year, the business posted $4.95 EPS. On average, equities research analysts anticipate that Caterpillar Inc. will post 27.75 EPS for the current year.

Caterpillar Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, November 19th. Investors of record on Monday, October 26th will be paid a dividend of $1.63 per share. This represents a $6.52 annualized dividend and a yield of 1.0%. The ex-dividend date is Monday, October 26th. Caterpillar’s dividend payout ratio is presently 25.58%.

Institutional Investors Weigh In On Caterpillar

Several hedge funds have recently made changes to their positions in the stock. Decker Retirement Planning Inc. boosted its stake in Caterpillar by 440.0% during the second quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company’s stock worth $29,000 after buying an additional 22 shares in the last quarter. PFS Partners LLC grew its holdings in shares of Caterpillar by 1,750.0% during the third quarter. PFS Partners LLC now owns 37 shares of the industrial products company’s stock worth $30,000 after purchasing an additional 35 shares during the last quarter. Matrix Trust Co grew its holdings in 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 acquiring an additional 15 shares during the last quarter. Cedar Mountain Advisors LLC increased its holdings in shares of Caterpillar by 82.1% in the first quarter. Cedar Mountain Advisors LLC now owns 51 shares of the industrial products company’s stock valued at $36,000 after purchasing an additional 23 shares in the last quarter. Finally, Axiom Investment Management LLC bought a new stake in shares of Caterpillar during the second quarter worth $36,000. Institutional investors own 70.98% of the company’s stock.

About Caterpillar

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.