Caterpillar (NYSE:CAT) Stock Price Expected to Rise, Oppenheimer Analyst Says

Key Points

• Oppenheimer raised Caterpillar's target price from $480 to $513, indicating a potential upside of 9.50% at the company's previous close.
• Analyst consensus rates Caterpillar with a Moderate Buy, including 2 Strong Buy ratings, 11 Buy ratings, and 5 Hold ratings.
• Caterpillar reported quarterly earnings of $4.72 per share, which missed expectations of $4.88, while revenue was $16.57 billion, exceeding forecasts of $16.14 billion.

Caterpillar (NYSE:CAT - Get Free Report) had its target price hoisted by Oppenheimer from $480.00 to $513.00 in a note issued to investors on Monday,MarketScreener reports. The firm currently has an "outperform" rating on the industrial products company's stock. Oppenheimer's target price suggests a potential upside of 9.50% from the company's previous close.

Other analysts also recently issued research reports about the stock. JPMorgan Chase & Co. upped their price target on shares of Caterpillar from $475.00 to $520.00 and gave the company an "overweight" rating in a research report on Wednesday, August 6th. Jefferies Financial Group reaffirmed a "buy" rating and set a $500.00 price target on shares of Caterpillar in a research note on Friday, August 29th. Truist Financial lifted their price objective on Caterpillar from $414.00 to $507.00 and gave the stock a "buy" rating in a report on Wednesday, August 6th. Evercore ISI raised shares of Caterpillar from an "in-line" rating to an "outperform" rating and set a $476.00 price target on the stock in a report on Tuesday, August 19th. Finally, Sanford C. Bernstein reiterated a "market perform" rating on shares of Caterpillar in a research report on Monday, July 14th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and five have given a Hold rating to the company. Based on data from MarketBeat.com, Caterpillar has a consensus rating of "Moderate Buy" and an average target price of $466.53.

Caterpillar Stock Up 0.6%

Shares of NYSE:CAT opened at $468.49 on Monday. The firm's 50-day moving average is $430.98 and its two-hundred day moving average is $373.99. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.34 and a quick ratio of 0.81. Caterpillar has a 1 year low of $267.30 and a 1 year high of $485.34. The firm has a market capitalization of $219.48 billion, a PE ratio of 23.83, a price-to-earnings-growth ratio of 2.83 and a beta of 1.41.

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 for the quarter, missing the consensus estimate of $4.88 by ($0.16). The company had revenue of $16.57 billion for the quarter, compared to analysts' expectations of $16.14 billion. Caterpillar had a return on equity of 48.95% and a net margin of 14.95%.Caterpillar's revenue for the quarter was down .7% compared to the same quarter last year. During the same quarter last year, the company earned $5.99 EPS. Analysts predict that Caterpillar will post 19.86 EPS for the current year.

Insiders Place Their Bets

In related news, Chairman Donald J. Umpleby III sold 17,166 shares of the business's stock in a transaction that occurred on Monday, September 22nd. The shares were sold at an average price of $462.65, for a total value of $7,941,849.90. Following the sale, the chairman directly owned 465,339 shares in the company, valued at $215,289,088.35. The trade was a 3.56% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Jason Kaiser sold 2,161 shares of the stock in a transaction dated Monday, August 11th. The stock was sold at an average price of $417.70, for a total value of $902,649.70. Following the completion of the sale, the insider directly owned 8,632 shares of the company's stock, valued at approximately $3,605,586.40. This represents a 20.02% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 38,819 shares of company stock worth $16,885,492. 0.33% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently bought and sold shares of CAT. TradeWell Securities LLC. bought a new stake in Caterpillar in the second quarter valued at approximately $221,000. Dakota Community Bank & Trust NA increased its position in shares of Caterpillar by 7.2% during the 2nd quarter. Dakota Community Bank & Trust NA now owns 582 shares of the industrial products company's stock worth $226,000 after purchasing an additional 39 shares during the last quarter. Caldwell Trust Co bought a new stake in Caterpillar during the second quarter worth $7,349,000. Watts Gwilliam & Co. LLC lifted its stake in Caterpillar by 3.3% in the 2nd quarter. Watts Gwilliam & Co. LLC now owns 1,429 shares of the industrial products company's stock valued at $555,000 after purchasing an additional 46 shares during the last quarter. Finally, Valeo Financial Advisors LLC increased its holdings in shares of Caterpillar by 58.6% during the 2nd quarter. Valeo Financial Advisors LLC now owns 31,347 shares of the industrial products company's stock worth $12,169,000 after acquiring an additional 11,587 shares during the last quarter. 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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