American Alpha Advisors LLC Invests $406,000 in Caterpillar Inc. (NYSE:CAT)

Key Points

• American Alpha Advisors LLC has invested approximately $406,000 in Caterpillar Inc., acquiring 1,231 shares during the first quarter.
• Caterpillar's stock price has decreased by 0.2%, with a current trading price of $416.43, while the company's market capital stands at $195.09 billion.
• The company increased its quarterly dividend from $1.41 to $1.51, which yields 1.5% and is set to be paid on August 20th.

American Alpha Advisors LLC bought a new position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) during the first quarter, according to its most recent disclosure with the Securities & Exchange Commission. The institutional investor bought 1,231 shares of the industrial products company's stock, valued at approximately $406,000.

Other institutional investors also recently modified their holdings of the company. Northern Trust Corp raised its position in Caterpillar by 11.8% in the 4th quarter. Northern Trust Corp now owns 6,847,330 shares of the industrial products company's stock valued at $2,483,937,000 after buying an additional 724,477 shares during the last quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its position in Caterpillar by 8.6% in the 4th quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 3,940,391 shares of the industrial products company's stock valued at $1,429,416,000 after buying an additional 312,878 shares during the last quarter. GAMMA Investing LLC raised its position in Caterpillar by 43,447.3% in the 1st quarter. GAMMA Investing LLC now owns 3,730,259 shares of the industrial products company's stock valued at $1,230,239,000 after buying an additional 3,721,693 shares during the last quarter. Charles Schwab Investment Management Inc. raised its position in Caterpillar by 0.5% in the 1st quarter. Charles Schwab Investment Management Inc. now owns 3,304,448 shares of the industrial products company's stock valued at $1,089,798,000 after buying an additional 15,347 shares during the last quarter. Finally, Goldman Sachs Group Inc. raised its position in Caterpillar by 9.1% in the 1st quarter. Goldman Sachs Group Inc. now owns 3,229,080 shares of the industrial products company's stock valued at $1,064,951,000 after buying an additional 268,300 shares during the last quarter. 70.98% of the stock is owned by institutional investors and hedge funds.

Caterpillar Stock Down 0.2%

Shares of NYSE CAT opened at $416.43 on Friday. Caterpillar Inc. has a 52 week low of $267.30 and a 52 week high of $441.15. The business has a 50-day simple moving average of $393.37 and a two-hundred day simple moving average of $355.47. The company has a quick ratio of 0.77, a current ratio of 1.34 and a debt-to-equity ratio of 1.50. The company has a market cap of $195.09 billion, a P/E ratio of 21.18, a P/E/G ratio of 2.46 and a beta of 1.40.

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

Caterpillar Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, August 20th. Shareholders of record on Monday, July 21st will be paid a $1.51 dividend. The ex-dividend date is Monday, July 21st. This represents a $6.04 annualized dividend and a yield of 1.5%. This is an increase from Caterpillar's previous quarterly dividend of $1.41. Caterpillar's dividend payout ratio is 30.72%.

Wall Street Analyst Weigh In

Several brokerages have recently issued reports on CAT. Sanford C. Bernstein reaffirmed a "market perform" rating on shares of Caterpillar in a research report on Monday, July 14th. Robert W. Baird raised their target price on Caterpillar from $395.00 to $422.00 and gave the company an "outperform" rating in a research report on Friday, June 20th. Melius raised Caterpillar from a "hold" rating to a "buy" rating and set a $500.00 target price for the company in a research report on Wednesday, July 9th. Bank of America raised their target price on Caterpillar from $460.00 to $495.00 and gave the company a "buy" rating in a research report on Wednesday. Finally, Evercore ISI decreased their target price on Caterpillar from $375.00 to $373.00 and set an "in-line" rating for the company in a research report on Monday, May 19th. Seven research analysts have rated the stock with a hold rating, ten have assigned a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $444.00.

Caterpillar Profile

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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