Caterpillar Inc. $CAT is James Investment Research Inc.'s 9th Largest Position

Key Points

• James Investment Research cut its Caterpillar stake by 10.2% in the first quarter, but CAT remains its 9th-largest holding at 2.0% of portfolio value, worth about $17.4 million.
• Caterpillar shares have been pressured by bearish commentary from Michael Burry, who disclosed a short position and said the stock looked overvalued after a strong AI-driven rally. Other coverage echoed the negative valuation concerns, contributing to the selloff.
• Despite the recent weakness, Caterpillar posted strong Q1 results with EPS and revenue both beating estimates, and it recently raised its quarterly dividend to $1.63 per share from $1.51.

James Investment Research Inc. decreased its stake in Caterpillar Inc. (NYSE:CAT - Free Report) by 10.2% in the 1st quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The institutional investor owned 24,547 shares of the industrial products company's stock after selling 2,784 shares during the period. Caterpillar accounts for 2.0% of James Investment Research Inc.'s investment portfolio, making the stock its 9th largest holding. James Investment Research Inc.'s holdings in Caterpillar were worth $17,391,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds and other institutional investors have also recently bought and sold shares of the stock. Vanguard Group Inc. boosted its position in shares of Caterpillar by 1.0% in the 4th quarter. Vanguard Group Inc. now owns 46,385,185 shares of the industrial products company's stock valued at $26,572,681,000 after purchasing an additional 442,164 shares during the period. State Street Corp increased its position in Caterpillar by 1.1% during the fourth quarter. State Street Corp now owns 35,388,550 shares of the industrial products company's stock worth $20,273,039,000 after buying an additional 385,204 shares during the period. Geode Capital Management LLC lifted its stake in Caterpillar by 0.9% in the fourth quarter. Geode Capital Management LLC now owns 10,610,182 shares of the industrial products company's stock valued at $6,072,572,000 after buying an additional 94,524 shares during the last quarter. Fisher Asset Management LLC boosted its holdings in shares of Caterpillar by 0.6% in the fourth quarter. Fisher Asset Management LLC now owns 9,493,266 shares of the industrial products company's stock valued at $5,438,408,000 after acquiring an additional 54,069 shares during the period. Finally, Bank of America Corp DE grew its position in shares of Caterpillar by 16.0% during the fourth quarter. Bank of America Corp DE now owns 6,738,802 shares of the industrial products company's stock worth $3,860,457,000 after acquiring an additional 928,974 shares during the last quarter. 70.98% of the stock is currently owned by institutional investors and hedge funds.

Caterpillar News Summary

Here are the key news stories impacting Caterpillar this week:

• Negative Sentiment: Michael Burry revealed he is short Caterpillar for the first time, saying the stock looks overvalued after its AI-fueled surge, which sparked a selloff in the shares. Michael Burry says he's shorting Caterpillar for the first time after it nearly doubled in the AI-driven rally of 2026
• Negative Sentiment: Additional coverage from Financial Post, Yahoo Finance, and Business Insider echoed Burry’s bearish stance, reinforcing pressure on Caterpillar shares as investors reassess the stock’s valuation. Michael Burry’s Short Call Dents Caterpillar’s AI-Fueled Rally
• Neutral Sentiment: Despite the selloff, some recent analysis remains constructive: Caterpillar hit a 52-week high on the back of strong Q1 growth, a record backlog, Russell Top 50 inclusion, and an upbeat 2026 outlook. Caterpillar Hits 52-Week High: Should You Buy, Hold or Sell the Stock?
• Neutral Sentiment: Erste Group also raised its FY2026 EPS estimate for Caterpillar, a small positive for fundamentals, though it was not enough to offset the negative news flow. Caterpillar Inc. NYSE: CAT - Free Report

Analysts Set New Price Targets

Several research firms recently commented on CAT. Argus upped their price target on shares of Caterpillar from $820.00 to $990.00 and gave the company a "buy" rating in a research report on Tuesday, May 5th. Rothschild & Co Redburn lifted their price objective on shares of Caterpillar from $700.00 to $950.00 and gave the company a "neutral" rating in a research note on Thursday, May 14th. Oppenheimer set a $980.00 target price on shares of Caterpillar and gave the company an "outperform" rating in a report on Friday, May 1st. Citigroup raised their price target on Caterpillar from $905.00 to $1,020.00 and gave the stock a "buy" rating in a report on Friday, May 1st. Finally, UBS Group restated a "neutral" rating and issued a $900.00 price target on shares of Caterpillar in a research report on Tuesday, June 2nd. One analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and nine have given a Hold rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $941.45.

Caterpillar Trading Down 6.7%

NYSE CAT opened at $993.24 on Thursday. The company has a quick ratio of 0.81, a current ratio of 1.35 and a debt-to-equity ratio of 1.64. The stock has a market capitalization of $457.48 billion, a P/E ratio of 49.44, a P/E/G ratio of 2.10 and a beta of 1.57. Caterpillar Inc. has a 52-week low of $388.09 and a 52-week high of $1,073.46. The firm has a 50-day moving average price of $911.90 and a 200 day moving average price of $765.06.

Caterpillar (NYSE:CAT - Get Free Report) last announced its quarterly earnings data on Thursday, April 30th. The industrial products company reported $5.54 earnings per share for the quarter, beating analysts' consensus estimates of $4.65 by $0.89. The company had revenue of $17.41 billion for the quarter, compared to analyst estimates of $16.53 billion. Caterpillar had a return on equity of 48.21% and a net margin of 13.33%.The firm's revenue for the quarter was up 22.2% compared to the same quarter last year. During the same quarter in the previous year, the company earned $4.25 EPS. Equities research analysts expect that Caterpillar Inc. will post 24.66 EPS for the current year.

Caterpillar Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, August 19th. Shareholders of record on Monday, July 20th will be given a $1.63 dividend. The ex-dividend date is Monday, July 20th. This is a positive change from Caterpillar's previous quarterly dividend of $1.51. This represents a $6.52 annualized dividend and a yield of 0.7%. Caterpillar's dividend payout ratio (DPR) is currently 30.06%.

Insider Buying and Selling

In related news, insider Denise C. Johnson sold 12,605 shares of the firm's stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $907.91, for a total value of $11,444,205.55. Following the completion of the sale, the insider owned 49,825 shares in the company, valued at $45,236,615.75. This trade represents a 20.19% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Lange Bob De sold 24,222 shares of the business's stock in a transaction dated Wednesday, May 6th. The stock was 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 in the company, valued at approximately $79,397,884.68. This represents a 21.97% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 95,773 shares of company stock valued at $87,642,635 in the last quarter. Corporate insiders own 0.33% of the company's stock.

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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