Associated Banc Corp Trims Holdings in Caterpillar Inc. $CAT

Key Points

• Associated Banc Corp trimmed its Caterpillar stake by 2.9% in the first quarter, selling 1,178 shares and ending with 39,982 shares worth about $28.3 million.
• Caterpillar reported better-than-expected first-quarter earnings, with EPS of $5.54 versus estimates of $4.65 and revenue of $17.41 billion, up 22.2% year over year.
• The company also announced a higher quarterly dividend of $1.63 per share, up from $1.51, while analysts remain broadly positive with a Moderate Buy consensus and an average price target of $970.81.

Associated Banc Corp cut its position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 2.9% in the first quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor owned 39,982 shares of the industrial products company's stock after selling 1,178 shares during the quarter. Associated Banc Corp's holdings in Caterpillar were worth $28,326,000 at the end of the most recent quarter.

Other institutional investors and hedge funds have also modified their holdings of the company. United Bank lifted its stake in shares of Caterpillar by 5.7% during the 1st quarter. United Bank now owns 4,917 shares of the industrial products company's stock worth $3,483,000 after purchasing an additional 266 shares during the period. Diversify Wealth Management LLC boosted its stake in Caterpillar by 296.0% in the 1st quarter. Diversify Wealth Management LLC now owns 5,481 shares of the industrial products company's stock worth $3,883,000 after buying an additional 4,097 shares during the last quarter. Valmark Advisers Inc. grew its holdings in Caterpillar by 7.7% in the 1st quarter. Valmark Advisers Inc. now owns 4,606 shares of the industrial products company's stock valued at $3,263,000 after buying an additional 331 shares during the period. Kaizen Financial Strategies increased its stake in shares of Caterpillar by 3.5% during the 1st quarter. Kaizen Financial Strategies now owns 1,247 shares of the industrial products company's stock valued at $963,000 after acquiring an additional 42 shares during the last quarter. Finally, 180 Wealth Advisors LLC increased its stake in shares of Caterpillar by 53.9% during the 1st quarter. 180 Wealth Advisors LLC now owns 4,179 shares of the industrial products company's stock valued at $2,961,000 after acquiring an additional 1,463 shares during the last quarter. Hedge funds and other institutional investors own 70.98% of the company's stock.

Caterpillar Stock Up 1.5%

NYSE:CAT traded up $14.03 during trading hours on Friday, hitting $952.42. The stock had a trading volume of 1,957,575 shares, compared to its average volume of 3,658,716. The company has a market cap of $438.68 billion, a PE ratio of 47.41, a price-to-earnings-growth ratio of 1.88 and a beta of 1.57. The business has a 50 day simple moving average of $930.83 and a two-hundred day simple moving average of $782.09. Caterpillar Inc. has a 1-year low of $401.70 and a 1-year high of $1,073.46. The company has a current ratio of 1.35, a quick ratio of 0.81 and a debt-to-equity ratio of 1.64.

Caterpillar (NYSE:CAT - Get Free Report) last posted its earnings results on Thursday, April 30th. The industrial products company reported $5.54 EPS 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 analysts' expectations of $16.53 billion. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The business's revenue for the quarter was up 22.2% compared to the same quarter last year. During the same period in the previous year, the company posted $4.25 earnings per share. Analysts predict that Caterpillar Inc. will post 24.71 EPS for the current year.

Caterpillar Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th will be given a dividend of $1.63 per share. The ex-dividend date of this dividend is Monday, July 20th. This is a positive change from Caterpillar's previous quarterly dividend of $1.51. This represents a $6.52 dividend on an annualized basis and a dividend yield of 0.7%. Caterpillar's dividend payout ratio is presently 30.06%.

Insider Transactions at Caterpillar

In other Caterpillar news, insider Jason Kaiser sold 5,642 shares of the firm's stock in a transaction that occurred on Monday, May 4th. The stock was sold at an average price of $883.03, for a total transaction of $4,982,055.26. Following the completion of the sale, the insider owned 9,594 shares in the company, valued at $8,471,789.82. This trade represents a 37.03% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Denise C. Johnson sold 12,605 shares of Caterpillar stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $907.91, for a total value of $11,444,205.55. Following the sale, the insider owned 49,825 shares in the company, valued at $45,236,615.75. This represents a 20.19% decrease in their ownership of the stock. 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 three months. 0.33% of the stock is currently owned by company insiders.

Trending Headlines about Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar is being highlighted as a way to gain exposure to the AI buildout, especially through demand tied to data center construction, which is helping bolster investor optimism. These Dividend Paying Stocks Offer Strong Exposure to AI Trends
• Positive Sentiment: Analyst/commentary pieces continue to frame Caterpillar as a stock with strong momentum and relative outperformance, supporting the bullish case for CAT. CAT Outperforms NVDA & Tech Sector, AI Data Center Demand Powers Growth
• Positive Sentiment: News that Caterpillar is opening an engineering design centre adds to the company’s investment and expansion story, which can be supportive for long-term growth expectations. Caterpillar Inc. opens engineering design centre
• Positive Sentiment: Reports of a multimillion-dollar global headquarters expansion in Las Colinas suggest continued capital investment and confidence in the business outlook. Caterpillar digs into new $34M HQ in Las Colinas
• Neutral Sentiment: Market commentary notes that Caterpillar remains a popular industrial stock to watch, but these list-style articles do not provide a clear new catalyst. Industrial Stocks To Consider - July 9th
• Neutral Sentiment: Another feature discusses Caterpillar among “calls of the day,” indicating ongoing trader attention rather than a specific fundamental update. Calls of the day: AbbVie, Caterpillar, Marriott, Lamar Advertising and PepsiCo
• Negative Sentiment: Some coverage says CAT has dipped while the broader market rose, and other commentary warns the stock may be losing momentum as investors weigh valuation, tariffs, and execution risks. Caterpillar (CAT) Stock Dips While Market Gains: Key Facts
• Negative Sentiment: One bearish note suggests the AI rally may be fading, with valuation concerns making investors more cautious about further upside. CAT Stock Heads For Second Weekly Loss: Is Caterpillar's AI Rally Fading?

Analysts Set New Price Targets

A number of equities analysts have weighed in on the stock. Wells Fargo & Company increased their price target on shares of Caterpillar from $1,050.00 to $1,155.00 and gave the stock an "overweight" rating in a research note on Tuesday, June 23rd. UBS Group restated a "neutral" rating and issued a $900.00 price objective on shares of Caterpillar in a report on Tuesday, June 2nd. Wall Street Zen upgraded Caterpillar from a "hold" rating to a "buy" rating in a report on Saturday, May 2nd. Bank of America increased their target price on shares of Caterpillar from $930.00 to $989.00 and gave the stock a "buy" rating in a research report on Friday, May 1st. Finally, Oppenheimer set a $980.00 price target on shares of Caterpillar and gave the company an "outperform" rating in a research report on Friday, May 1st. One equities research analyst has rated the stock with a Strong Buy rating, fifteen have given a Buy rating and nine have assigned a Hold rating to the stock. According to data from MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $970.81.

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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