Caterpillar Inc. $CAT Holdings Trimmed by Nichols & Pratt Advisers LLP MA

Key Points

• Nichols & Pratt Advisers LLP MA trimmed its stake in Caterpillar by 15.5% in Q4, now holding 60,392 shares worth about $34.6 million, representing roughly 2.2% of the firm's portfolio and its 14th largest position.
• Significant insider selling has occurred recently — insiders sold 125,950 shares worth $88.58 million in the last 90 days (including sales by CAO William Schaupp and Bob De Lange), leaving insiders with just 0.33% ownership.
• Caterpillar posted a strong quarter (EPS $5.16 vs. $4.67 expected; revenue $19.13B vs. $17.81B), reaffirmed a $1.51 quarterly dividend, and received multiple price‑target upgrades, but its elevated P/E (~44) and mixed analyst views raise valuation cautions.

Nichols & Pratt Advisers LLP MA decreased its stake in Caterpillar Inc. (NYSE:CAT - Free Report) by 15.5% in the fourth quarter, according to its most recent filing with the Securities & Exchange Commission. The firm owned 60,392 shares of the industrial products company's stock after selling 11,038 shares during the quarter. Caterpillar accounts for about 2.2% of Nichols & Pratt Advisers LLP MA's investment portfolio, making the stock its 14th largest holding. Nichols & Pratt Advisers LLP MA's holdings in Caterpillar were worth $34,597,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also modified their holdings of the stock. Revolve Wealth Partners LLC boosted its position in shares of Caterpillar by 2.4% in the 4th quarter. Revolve Wealth Partners LLC now owns 681 shares of the industrial products company's stock valued at $390,000 after purchasing an additional 16 shares during the period. Security Financial Services INC. boosted its position in shares of Caterpillar by 0.4% in the 4th quarter. Security Financial Services INC. now owns 3,609 shares of the industrial products company's stock valued at $2,068,000 after purchasing an additional 16 shares during the period. Purus Wealth Management LLC boosted its position in shares of Caterpillar by 0.5% in the 4th quarter. Purus Wealth Management LLC now owns 3,018 shares of the industrial products company's stock valued at $1,729,000 after purchasing an additional 16 shares during the period. KWB Wealth boosted its position in shares of Caterpillar by 3.2% in the 4th quarter. KWB Wealth now owns 549 shares of the industrial products company's stock valued at $315,000 after purchasing an additional 17 shares during the period. Finally, Montecito Bank & Trust boosted its position in shares of Caterpillar by 0.5% in the 4th quarter. Montecito Bank & Trust now owns 3,362 shares of the industrial products company's stock valued at $1,926,000 after purchasing an additional 17 shares during the period. Institutional investors and hedge funds own 70.98% of the company's stock.

Insider Transactions at Caterpillar

In related news, CAO William E. Schaupp sold 972 shares of the stock in a transaction dated Tuesday, February 17th. The stock was sold at an average price of $764.20, for a total value of $742,802.40. Following the completion of the sale, the chief accounting officer directly owned 824 shares of the company's stock, valued at approximately $629,700.80. This represents a 54.12% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Lange Bob De sold 22,656 shares of the firm's stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $720.11, for a total value of $16,314,812.16. Following the sale, the insider directly owned 79,953 shares of the company's stock, valued at $57,574,954.83. This trade represents a 22.08% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 125,950 shares of company stock worth $88,577,390. 0.33% of the stock is currently owned by company insiders.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Robert W. Baird upgraded CAT and raised its price target sharply (from $805 to $940), citing stronger fundamentals and boosting short‑term sentiment — this upgrade helped drive recent upside. Caterpillar NYSE: CAT Stock Price Up 3.3% Following Analyst Upgrade
• Positive Sentiment: Caterpillar reaffirmed its dividend (quarterly $1.51, paid May 19), supporting shareholder-return expectations and attracting income-focused investors. Caterpillar Inc. (CAT) Asserts Commitment to Shareholder Value Amid Management Change
• Positive Sentiment: Analysts and screens expect Caterpillar earnings to continue growing into the next report — that prospect of further earnings beats is a fundamental positive supporting the rally. Caterpillar (CAT) Earnings Expected to Grow: Should You Buy?
• Positive Sentiment: Longer-term thematic coverage highlights CAT’s exposure to AI/data‑center power and automation, reframing the company beyond traditional heavy equipment and supporting a higher multiple for some investors. More Than Just Dirt: Caterpillar Is the AI Stock Nobody Saw Coming
• Neutral Sentiment: CFO Andrew Bonfield announced retirement in October; internal successor Kyle Epley will take over in May — management continuity reduces disruption risk, but any leadership change bears watching. Caterpillar (CAT) CFO Andrew Bonfield to Retire
• Neutral Sentiment: Several pieces call out the very strong short‑term run (30–90 day gains) and prompt a valuation check — this fuels both bullish momentum and investor caution about stretched multiples. Caterpillar (CAT) Valuation Check After A Strong Short Term Share Price Run
• Negative Sentiment: Morgan Stanley raised its numerical target slightly but kept an Underweight rating, signaling macro and cyclical downside risk to earnings that could pressure the stock if industrial demand softens. Morgan Stanley Ups Caterpillar (CAT) Target to $430, Flags Macro Risks to Earnings
• Negative Sentiment: Critical commentary and "avoid" pieces warn that the post‑earnings rally may have priced in too much growth — these narratives can accelerate profit‑taking by momentum traders. 3 Reasons to Avoid CAT and 1 Stock to Buy Instead

Caterpillar Stock Down 0.6%

Shares of Caterpillar stock opened at $830.59 on Friday. The stock has a 50-day moving average price of $740.91 and a 200 day moving average price of $646.65. The company has a market cap of $386.46 billion, a P/E ratio of 44.13, a P/E/G ratio of 1.96 and a beta of 1.52. The company has a current ratio of 1.44, a quick ratio of 0.94 and a debt-to-equity ratio of 1.44. Caterpillar Inc. has a 1 year low of $302.17 and a 1 year high of $845.27.

Caterpillar (NYSE:CAT - Get Free Report) last announced its quarterly earnings data on Thursday, January 29th. The industrial products company reported $5.16 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.67 by $0.49. The firm had revenue of $19.13 billion during the quarter, compared to the consensus estimate of $17.81 billion. Caterpillar had a return on equity of 45.76% and a net margin of 13.14%.The business's revenue for the quarter was up 17.9% on a year-over-year basis. During the same period in the prior year, the business earned $5.14 EPS. As a group, analysts expect that Caterpillar Inc. will post 22.88 EPS for the current fiscal year.

Caterpillar Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, May 19th. Investors of record on Monday, April 20th will be paid a $1.51 dividend. This represents a $6.04 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Monday, April 20th. Caterpillar's dividend payout ratio is currently 32.09%.

Wall Street Analyst Weigh In

A number of equities analysts recently weighed in on CAT shares. Royal Bank Of Canada increased their price target on Caterpillar from $587.00 to $658.00 and gave the company a "sector perform" rating in a research report on Friday, January 30th. Argus increased their price target on Caterpillar from $625.00 to $820.00 and gave the company a "buy" rating in a research report on Wednesday, February 11th. Rothschild & Co Redburn increased their price target on Caterpillar from $650.00 to $700.00 and gave the company a "neutral" rating in a research report on Wednesday, February 4th. Weiss Ratings reiterated a "buy (b)" rating on shares of Caterpillar in a research report on Monday, December 29th. Finally, JPMorgan Chase & Co. increased their price target on Caterpillar from $765.00 to $860.00 and gave the company an "overweight" rating in a research report on Wednesday, March 4th. Sixteen analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and a consensus price target of $767.77.

Caterpillar 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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