Bessemer Group Inc. Increases Stake in Caterpillar Inc. $CAT

Key Points

• Bessemer Group Inc. sharply boosted its Caterpillar stake in the fourth quarter, increasing holdings by 1,918.2% to 406,478 shares valued at about $232.9 million.
• Wall Street remains constructive on CAT, with analysts maintaining a consensus “Moderate Buy” rating and a price target of $923.14, while several firms recently raised their targets further.
• Caterpillar posted strong quarterly results and lifted its dividend, reporting EPS of $5.54 on revenue of $17.42 billion and declaring a quarterly dividend of $1.51 per share.

Bessemer Group Inc. grew its position in Caterpillar Inc. (NYSE:CAT - Free Report) by 1,918.2% during the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The firm owned 406,478 shares of the industrial products company's stock after acquiring an additional 386,337 shares during the quarter. Bessemer Group Inc. owned about 0.09% of Caterpillar worth $232,857,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Torren Management LLC purchased a new stake in shares of Caterpillar in the fourth quarter valued at $27,000. IFS Advisors LLC bought a new position in shares of Caterpillar in the fourth quarter worth about $31,000. Rialto Wealth Management LLC grew its holdings in shares of Caterpillar by 47.4% in the fourth quarter. Rialto Wealth Management LLC now owns 56 shares of the industrial products company's stock worth $32,000 after purchasing an additional 18 shares during the last quarter. Noble Wealth Management PBC grew its holdings in shares of Caterpillar by 140.0% in the fourth quarter. Noble Wealth Management PBC now owns 60 shares of the industrial products company's stock worth $34,000 after purchasing an additional 35 shares during the last quarter. Finally, Key Capital Management INC bought a new position in shares of Caterpillar in the fourth quarter worth about $36,000. Hedge funds and other institutional investors own 70.98% of the company's stock.

Analysts Set New Price Targets

A number of research firms have recently commented on CAT. UBS Group restated a "neutral" rating and issued a $677.00 price target on shares of Caterpillar in a report on Monday, February 2nd. Robert W. Baird upped their price target on shares of Caterpillar from $940.00 to $1,165.00 and gave the stock an "outperform" rating in a report on Friday, May 1st. Morgan Stanley set a $915.00 price target on shares of Caterpillar and gave the stock an "equal weight" rating in a report on Friday, May 1st. Oppenheimer set a $980.00 price target on shares of Caterpillar and gave the stock an "outperform" rating in a report on Friday, May 1st. Finally, Argus upped their price target on shares of Caterpillar from $820.00 to $990.00 and gave the stock a "buy" rating in a report on Tuesday, May 5th. Sixteen research analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the company's stock. According to data from MarketBeat, Caterpillar presently has a consensus rating of "Moderate Buy" and a consensus price target of $923.14.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Rothschild & Co Redburn raised its price target on Caterpillar to $950 from $700, even while keeping a neutral rating, suggesting the stock’s recent rally may still have room to run. Rothschild & Co Redburn price target update
• Positive Sentiment: Jim Cramer reiterated a bullish view on Caterpillar, calling it a buy and pointing to oil and gas, infrastructure, and AI data-center power demand as key tailwinds. Jim Cramer Says Caterpillar Is a Buy
• Positive Sentiment: Recent coverage highlighted Caterpillar’s role in Saudi Arabia’s construction equipment market, which is expected to grow steadily on the back of Vision 2030 infrastructure spending. Saudi Arabia Construction Equipment Industry Research 2026-2031 Featuring Caterpillar
• Neutral Sentiment: Two Caterpillar insiders disclosed stock sales, including a larger sale by Denise C. Johnson and a smaller sale by William E. Schaupp. While not unusual, insider selling can create some caution. Denise C. Johnson insider trade filing
• Negative Sentiment: Anthony Fassino also sold a notable block of shares earlier in the week, which may be viewed as a mild negative signal despite his remaining ownership stake. Anthony Fassino Sells 16,283 Shares of Caterpillar NYSE: CAT Stock

Insider Buying and Selling at Caterpillar

In other Caterpillar news, insider Anthony D. Fassino sold 16,283 shares of the stock in a transaction dated Monday, May 11th. The shares were sold at an average price of $916.80, for a total transaction of $14,928,254.40. Following the completion of the sale, the insider directly owned 46,041 shares of the company's stock, valued at approximately $42,210,388.80. This represents a 26.13% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. Also, insider Lange Bob De sold 24,222 shares of the stock in a transaction dated Wednesday, May 6th. The shares were sold at an average price of $922.92, for a total transaction of $22,354,968.24. Following the sale, the insider directly owned 86,029 shares of the company's stock, valued at approximately $79,397,884.68. The trade was a 21.97% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 90,682 shares of company stock valued at $81,815,568. 0.33% of the stock is currently owned by corporate insiders.

Caterpillar Stock Up 1.8%

Shares of Caterpillar stock opened at $918.99 on Friday. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.35 and a quick ratio of 0.81. Caterpillar Inc. has a 1 year low of $336.24 and a 1 year high of $931.35. The firm's 50-day moving average is $772.09 and its two-hundred day moving average is $678.58. The stock has a market cap of $423.28 billion, a price-to-earnings ratio of 45.74, a PEG ratio of 1.81 and a beta of 1.63.

Caterpillar (NYSE:CAT - Get Free Report) last issued its earnings results on Thursday, April 30th. The industrial products company reported $5.54 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.65 by $0.89. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The company had revenue of $17.42 billion for the quarter, compared to analysts' expectations of $16.53 billion. During the same period in the prior year, the business earned $4.25 EPS. The firm's quarterly revenue was up 22.2% on a year-over-year basis. As a group, research analysts expect that Caterpillar Inc. will post 24.21 earnings per share for the current fiscal year.

Caterpillar Dividend Announcement

The company also recently declared a quarterly dividend, which will be paid on Tuesday, May 19th. Shareholders of record on Monday, April 20th will be given a dividend of $1.51 per share. This represents a $6.04 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend is Monday, April 20th. Caterpillar's dividend payout ratio is presently 30.06%.

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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