Caterpillar (NYSE:CAT) Chairman Donald Umpleby III Sells 17,166 Shares

Key Points

• Donald Umpleby III, Chairman of Caterpillar, sold 17,166 shares of the company's stock for a total value of approximately $8.67 million, resulting in a 3.69% decrease in his holdings.
• Caterpillar's stock is currently at an all-time high of $528.24, with a market capitalization of $247.47 billion and analysts predicting an EPS of 19.86 for the current fiscal year.
• The company recently announced a quarterly dividend of $1.51 per share, set to be paid on November 20th, with a current dividend yield of 1.1%.

Caterpillar Inc. (NYSE:CAT - Get Free Report) Chairman Donald Umpleby III sold 17,166 shares of the firm's stock in a transaction on Friday, October 10th. The shares were sold at an average price of $505.29, for a total value of $8,673,808.14. Following the completion of the transaction, the chairman owned 448,173 shares of the company's stock, valued at approximately $226,457,335.17. This represents a 3.69% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website.

Caterpillar Price Performance

Shares of CAT traded up $23.48 during trading hours on Tuesday, reaching $528.24. 2,647,031 shares of the company traded hands, compared to its average volume of 2,772,693. The company has a quick ratio of 0.81, a current ratio of 1.34 and a debt-to-equity ratio of 1.50. The stock has a market capitalization of $247.47 billion, a PE ratio of 26.87, a price-to-earnings-growth ratio of 3.01 and a beta of 1.46. Caterpillar Inc. has a fifty-two week low of $267.30 and a fifty-two week high of $530.31. The stock has a fifty day simple moving average of $444.65 and a 200 day simple moving average of $385.71.

Caterpillar (NYSE:CAT - Get Free Report) last issued its quarterly earnings results on Tuesday, August 5th. The industrial products company reported $4.72 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $4.88 by ($0.16). Caterpillar had a return on equity of 48.95% and a net margin of 14.95%.The business had revenue of $16.57 billion during the quarter, compared to analyst estimates of $16.14 billion. During the same period in the previous year, the business posted $5.99 earnings per share. The firm's quarterly revenue was down .7% on a year-over-year basis. As a group, research analysts predict that Caterpillar Inc. will post 19.86 EPS for the current fiscal year.

Caterpillar Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, November 20th. Investors of record on Monday, October 20th will be issued a dividend of $1.51 per share. This represents a $6.04 annualized dividend and a dividend yield of 1.1%. The ex-dividend date is Monday, October 20th. Caterpillar's dividend payout ratio (DPR) is presently 30.72%.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently modified their holdings of the business. Valeo Financial Advisors LLC grew its stake in Caterpillar by 36,842.1% in the second quarter. Valeo Financial Advisors LLC now owns 7,299,751 shares of the industrial products company's stock valued at $2,833,836,000 after purchasing an additional 7,279,991 shares in the last quarter. Norges Bank bought a new stake in shares of Caterpillar during the 2nd quarter worth about $2,165,899,000. Pacer Advisors Inc. boosted its stake in shares of Caterpillar by 2,723.1% during the 1st quarter. Pacer Advisors Inc. now owns 1,414,280 shares of the industrial products company's stock worth $466,430,000 after acquiring an additional 1,364,183 shares in the last quarter. Nuveen LLC bought a new stake in Caterpillar during the 1st quarter valued at approximately $391,788,000. Finally, Assenagon Asset Management S.A. boosted its stake in Caterpillar by 546.6% during the 2nd quarter. Assenagon Asset Management S.A. now owns 843,093 shares of the industrial products company's stock valued at $327,297,000 after purchasing an additional 712,711 shares during the period. Hedge funds and other institutional investors own 70.98% of the company's stock.

Wall Street Analyst Weigh In

Several research firms have issued reports on CAT. Melius upgraded Caterpillar from a "hold" rating to a "buy" rating and set a $500.00 price objective on the stock in a report on Wednesday, July 9th. JPMorgan Chase & Co. boosted their price objective on Caterpillar from $505.00 to $650.00 and gave the company an "overweight" rating in a research report on Tuesday. Citigroup boosted their price objective on Caterpillar from $540.00 to $570.00 and gave the company a "buy" rating in a research report on Tuesday, October 7th. Jefferies Financial Group boosted their price target on Caterpillar from $500.00 to $570.00 and gave the stock a "buy" rating in a research report on Wednesday, October 8th. Finally, UBS Group boosted their price target on Caterpillar from $450.00 to $506.00 and gave the stock a "neutral" rating in a research report on Monday. Two analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and five have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, Caterpillar presently has an average rating of "Moderate Buy" and an average price target of $501.47.

About Caterpillar

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.

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