306,110 Shares in Caterpillar Inc. $CAT Purchased by The Manufacturers Life Insurance Company

Key Points

• The Manufacturers Life Insurance Company purchased 306,110 Caterpillar shares worth approximately $326 million, giving it a 0.07% stake; institutional investors collectively own 70.98% of CAT.
• Caterpillar reported strong quarterly results, with EPS of $8.17 versus the $6.22 consensus and revenue of $20.54 billion, up 23.7% year over year. Growth is supported by construction automation initiatives and rising power-generation demand from data centers and AI infrastructure.
• The outlook is positive but valuation and insider selling remain concerns. Analysts maintain a “Moderate Buy” consensus with an average price target of $995.52, while CEO Joseph Creed recently sold 32,401 shares and CAT trades at a P/E ratio of 35.

The Manufacturers Life Insurance Company purchased a new stake in Caterpillar Inc. (NYSE:CAT - Free Report) in the 2nd quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 306,110 shares of the industrial products company's stock, valued at approximately $325,977,000. The Manufacturers Life Insurance Company owned approximately 0.07% of Caterpillar as of its most recent SEC filing.

A number of other hedge funds also recently modified their holdings of the company. Lam Group Inc. bought a new stake in shares of Caterpillar during the first quarter valued at approximately $26,000. Frazier Financial Advisors LLC lifted its position in Caterpillar by 220.0% in the fourth quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company's stock worth $28,000 after purchasing an additional 33 shares during the period. 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. Cornerstone Financial Management LLC bought a new stake in Caterpillar in the 4th quarter valued at $32,000. Finally, Matrix Trust Co raised its stake in shares of Caterpillar by 93.8% in the 2nd quarter. Matrix Trust Co now owns 31 shares of the industrial products company's stock valued at $33,000 after buying an additional 15 shares in the last quarter. Institutional investors own 70.98% of the company's stock.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: FieldAI partnership supports the automation outlook. Caterpillar is combining its construction-equipment expertise with FieldAI’s physical-AI technology to develop autonomous capabilities for machines and improve safety, productivity and visibility at jobsites. The initiative could create longer-term revenue opportunities in equipment, software and services. Caterpillar partners with FieldAI for equipment automation
• Positive Sentiment: Analyst and quantitative sentiment has improved. Zacks upgraded CAT to Rank #1, or “Strong Buy,” citing rising optimism about earnings prospects. Erste Group Bank also raised its fiscal 2026 EPS forecast, adding to the constructive outlook. Caterpillar upgraded to Strong Buy
• Positive Sentiment: AI infrastructure is boosting Power & Energy demand. Caterpillar’s retail sales to power-generation users reportedly surged 72% year over year in the second quarter, as data centers and generative-AI infrastructure increase demand for reliable power. This gives CAT an additional growth driver beyond traditional construction and mining markets. Can CAT Stock Compound Its Way Higher?
• Neutral Sentiment: Recent earnings performance remains a strength, but expectations are elevated. Caterpillar’s latest quarterly results exceeded consensus estimates for both earnings and revenue, with revenue up 23.7% year over year. A sector review described CAT as the strongest heavy-machinery performer, though investors are increasingly pricing in continued execution.
• Negative Sentiment: Valuation and performance concerns could limit upside. Commentary notes that CAT has outperformed peers in the stock market more than in underlying business performance, leaving the shares dependent on future growth. The stock has also declined since its latest earnings report, while a report tied the recent weakness to insider selling. CAT Has Left Its Peers Behind. Or Has It?

Caterpillar Stock Up 1.7%

Shares of NYSE:CAT opened at $813.51 on Friday. The company's fifty day moving average is $872.52 and its 200-day moving average is $838.46. The company has a debt-to-equity ratio of 1.65, a quick ratio of 0.85 and a current ratio of 1.37. Caterpillar Inc. has a 52 week low of $416.44 and a 52 week high of $1,073.46. The company has a market capitalization of $373.95 billion, a PE ratio of 35.00, a P/E/G ratio of 1.41 and a beta of 1.60.

Caterpillar (NYSE:CAT - Get Free Report) last announced its quarterly earnings results on Tuesday, August 4th. The industrial products company reported $8.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.22 by $1.95. The firm had revenue of $20.54 billion during the quarter, compared to the consensus estimate of $19.34 billion. Caterpillar had a net margin of 14.51% and a return on equity of 55.53%. The firm's quarterly revenue was up 23.7% on a year-over-year basis. During the same period last year, the firm posted $4.72 EPS. Equities research analysts predict that Caterpillar Inc. will post 27.34 earnings per share for the current fiscal year.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th were paid a $1.63 dividend. This represents a $6.52 dividend on an annualized basis and a dividend yield of 0.8%. This is an increase from Caterpillar's previous quarterly dividend of $1.51. The ex-dividend date was Monday, July 20th. Caterpillar's dividend payout ratio is presently 28.06%.

Analyst Ratings Changes

A number of equities analysts have recently commented on the stock. UBS Group raised their price objective on shares of Caterpillar from $900.00 to $925.00 and gave the stock a "neutral" rating in a report on Wednesday, August 5th. Zacks Research raised shares of Caterpillar from a "hold" rating to a "strong-buy" rating in a research report on Wednesday, August 12th. DA Davidson raised their price target on shares of Caterpillar from $845.00 to $882.00 and gave the stock a "neutral" rating in a research note on Thursday, August 6th. Wells Fargo & Company lifted their price objective on Caterpillar from $1,050.00 to $1,155.00 and gave the company an "overweight" rating in a report on Tuesday, June 23rd. Finally, Barclays upped their price objective on Caterpillar from $800.00 to $900.00 and gave the company an "equal weight" rating in a research note on Thursday, August 6th. One analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and eleven have issued a Hold rating to the company. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $995.52.

Insider Activity at Caterpillar

In related news, CEO Joseph E. Creed sold 32,401 shares of the stock in a transaction that occurred on Friday, August 28th. The stock was sold at an average price of $808.98, for a total transaction of $26,211,760.98. Following the sale, the chief executive officer directly owned 34,555 shares in the company, valued at $27,954,303.90. This represents a 48.39% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. 0.33% of the stock is owned by insiders.

Caterpillar Company Profile

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.

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