Caterpillar (NYSE:CAT) Downgraded by Erste Group Bank to Hold

Key Points

• Erste Group Bank downgraded Caterpillar from “buy” to “hold,” while broader analyst sentiment remains a “Moderate Buy,” with 14 buy ratings and 11 hold ratings and an average price target of $980.57.
• Caterpillar reported quarterly earnings of $5.54 per share, beating estimates of $4.65, while revenue rose 22.2% year over year to $17.41 billion.
• Insiders sold 95,773 shares worth approximately $87.6 million over the past 90 days; institutional investors own about 70.98% of the company.

Caterpillar (NYSE:CAT - Get Free Report) was downgraded by research analysts at Erste Group Bank from a "buy" rating to a "hold" rating in a research report issued on Monday, Marketbeat Ratings reports.

CAT has been the topic of a number of other research reports. Citigroup lifted their price target on shares of Caterpillar from $1,020.00 to $1,100.00 and gave the stock a "buy" rating in a research note on Tuesday, July 14th. Jefferies Financial Group increased their target price on shares of Caterpillar from $900.00 to $1,045.00 and gave the stock a "buy" rating in a research report on Friday, May 1st. Morgan Stanley set a $915.00 price objective on Caterpillar and gave the stock an "equal weight" rating in a research note on Friday, May 1st. Wells Fargo & Company increased their price target on shares of Caterpillar from $1,050.00 to $1,155.00 and gave the company an "overweight" rating in a research note on Tuesday, June 23rd. Finally, Truist Financial lifted their price objective on Caterpillar from $1,043.00 to $1,218.00 and gave the stock a "buy" rating in a research report on Thursday, July 2nd. Fourteen investment analysts have rated the stock with a Buy rating and eleven have issued a Hold rating to the stock. Based on data from MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $980.57.

Caterpillar Stock Up 0.1%

Shares of CAT opened at $889.23 on Monday. The company has a debt-to-equity ratio of 1.64, a quick ratio of 0.81 and a current ratio of 1.35. The company has a 50-day simple moving average of $928.88 and a 200-day simple moving average of $805.44. Caterpillar has a 52 week low of $405.46 and a 52 week high of $1,073.46. The firm has a market capitalization of $409.57 billion, a P/E ratio of 44.26, a P/E/G ratio of 1.74 and a beta of 1.57.

Caterpillar (NYSE:CAT - Get Free Report) last released its earnings results on Thursday, April 30th. The industrial products company reported $5.54 earnings per share for the quarter, topping analysts' consensus estimates of $4.65 by $0.89. The business had revenue of $17.41 billion for the quarter, compared to the consensus estimate of $16.53 billion. Caterpillar had a return on equity of 48.21% and a net margin of 13.33%.The firm's revenue for the quarter was up 22.2% compared to the same quarter last year. During the same period last year, the business earned $4.25 earnings per share. On average, equities research analysts expect that Caterpillar will post 24.87 earnings per share for the current year.

Insider Buying and Selling at Caterpillar

In related news, insider Denise C. Johnson sold 12,605 shares of the business's stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $907.91, for a total transaction of $11,444,205.55. Following the transaction, the insider directly owned 49,825 shares in the company, valued at approximately $45,236,615.75. The trade was a 20.19% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CFO Andrew R. J. Bonfield sold 15,674 shares of the company's stock in a transaction that occurred on Wednesday, May 6th. The shares were sold at an average price of $918.71, for a total value of $14,399,860.54. Following the completion of the sale, the chief financial officer owned 52,935 shares in the company, valued at $48,631,913.85. This represents a 22.85% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 95,773 shares of company stock valued at $87,642,635 in the last ninety days. Insiders own 0.33% of the company's stock.

Hedge Funds Weigh In On Caterpillar

Several hedge funds and other institutional investors have recently modified their holdings of the business. Lam Group Inc. acquired a new position in shares of Caterpillar in the 1st quarter worth approximately $26,000. Torren Management LLC purchased a new position in shares of Caterpillar during the fourth quarter valued at approximately $27,000. Frazier Financial Advisors LLC grew its stake in shares of Caterpillar by 220.0% in the 4th quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company's stock worth $28,000 after acquiring an additional 33 shares in the last quarter. Decker Retirement Planning Inc. grew its position in Caterpillar by 440.0% in the 2nd quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company's stock worth $29,000 after purchasing an additional 22 shares in the last quarter. Finally, Cornerstone Financial Management LLC purchased a new stake in shares of Caterpillar during the fourth quarter valued at approximately $32,000. Institutional investors own 70.98% of the company's stock.

About Caterpillar

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.