Caterpillar (NYSE:CAT) Price Target Raised to $500.00

Key Points

• Citigroup raised its price target on Caterpillar from $460.00 to $500.00, suggesting a potential upside of 16.81% from the company's previous close.
• The stock is rated a "Moderate Buy" with an average price target of $444.00, while analysts have varied opinions, with ten suggesting buying and seven recommending holding.
• Caterpillar reported earnings of $4.72 per share, missing estimates, with revenues flat, indicating some concerns about growth amidst stock market fluctuations.

Caterpillar (NYSE:CAT - Get Free Report) had its price target hoisted by Citigroup from $460.00 to $500.00 in a report issued on Wednesday,Benzinga reports. The firm presently has a "buy" rating on the industrial products company's stock. Citigroup's price objective would suggest a potential upside of 16.81% from the company's previous close.

Other equities research analysts have also issued research reports about the company. Oppenheimer upped their target price on Caterpillar from $395.00 to $483.00 and gave the company an "outperform" rating in a research report on Thursday, July 17th. JPMorgan Chase & Co. boosted their price target on Caterpillar from $475.00 to $520.00 and gave the company an "overweight" rating in a report on Wednesday. Morgan Stanley raised Caterpillar from an "underweight" rating to an "equal weight" rating and decreased their price target for the company from $300.00 to $283.00 in a report on Wednesday, April 16th. Melius raised Caterpillar from a "hold" rating to a "buy" rating and set a $500.00 price target for the company in a report on Wednesday, July 9th. Finally, DA Davidson boosted their price target on Caterpillar from $331.00 to $388.00 and gave the company a "neutral" rating in a report on Tuesday, July 22nd. Seven investment analysts have rated the stock with a hold rating, ten have issued a buy rating and two have assigned a strong buy rating to the stock. According to MarketBeat, Caterpillar has a consensus rating of "Moderate Buy" and an average price target of $444.00.

Caterpillar Stock Down 1.4%

CAT traded down $6.19 on Wednesday, hitting $428.04. The company had a trading volume of 2,630,330 shares, compared to its average volume of 2,726,095. The stock has a fifty day moving average price of $389.11 and a 200-day moving average price of $354.92. Caterpillar has a 12-month low of $267.30 and a 12-month high of $441.15. The company has a debt-to-equity ratio of 1.43, a quick ratio of 0.77 and a current ratio of 1.32. The stock has a market capitalization of $201.62 billion, a price-to-earnings ratio of 20.86, a P/E/G ratio of 2.71 and a beta of 1.40.

Caterpillar (NYSE:CAT - Get Free Report) last posted its earnings results on Tuesday, August 5th. The industrial products company reported $4.72 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.88 by ($0.16). Caterpillar had a net margin of 15.71% and a return on equity of 53.77%. The company had revenue of $16.57 billion during the quarter, compared to analysts' expectations of $16.14 billion. During the same quarter last year, the firm earned $5.99 EPS. Caterpillar's revenue for the quarter was down .7% on a year-over-year basis. Analysts predict that Caterpillar will post 19.86 EPS for the current fiscal year.

Hedge Funds Weigh In On Caterpillar

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Mid American Wealth Advisory Group Inc. purchased a new position in shares of Caterpillar in the 2nd quarter valued at about $28,000. Family Legacy Financial Solutions LLC purchased a new stake in Caterpillar during the second quarter worth approximately $32,000. Harbor Asset Planning Inc. purchased a new stake in Caterpillar during the second quarter worth approximately $34,000. Investment Management Corp VA ADV purchased a new stake in Caterpillar during the fourth quarter worth approximately $33,000. Finally, Compass Financial Services Inc lifted its stake in Caterpillar by 49.2% during the first quarter. Compass Financial Services Inc now owns 94 shares of the industrial products company's stock worth $31,000 after purchasing an additional 31 shares during the last quarter. Hedge funds and other institutional investors own 70.98% of the company's stock.

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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