Ameriflex Group Inc. Raises Stock Holdings in Caterpillar Inc. $CAT

Key Points

• Ameriflex Group Inc. has increased its holdings in Caterpillar Inc. by 28.7%, owning a total of 4,432 shares valued at $1.46 million.
• Wall Street analysts are optimistic about Caterpillar, with Melius Research upgrading the stock to a "strong-buy" and setting a price target of $500.00.
• Caterpillar's recent earnings report showed $4.72 earnings per share, missing expectations, despite revenue exceeding forecasts at $16.57 billion.

Ameriflex Group Inc. raised its position in Caterpillar Inc. (NYSE:CAT - Free Report) by 28.7% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 4,432 shares of the industrial products company's stock after purchasing an additional 989 shares during the quarter. Ameriflex Group Inc.'s holdings in Caterpillar were worth $1,462,000 as of its most recent SEC filing.

A number of other hedge funds also recently made changes to their positions in the stock. Victrix Investment Advisors acquired a new stake in Caterpillar in the fourth quarter valued at approximately $2,090,000. Charles Schwab Investment Management Inc. boosted its position in shares of Caterpillar by 0.5% during the first 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. Pacific Point Advisors LLC bought a new stake in Caterpillar during the fourth quarter worth $579,000. Wealth Enhancement Advisory Services LLC lifted its holdings in Caterpillar by 18.6% during the first quarter. Wealth Enhancement Advisory Services LLC now owns 191,640 shares of the industrial products company's stock worth $63,202,000 after acquiring an additional 30,070 shares during the period. Finally, Crestwood Advisors Group LLC lifted its holdings in Caterpillar by 3.4% during the first quarter. Crestwood Advisors Group LLC now owns 22,689 shares of the industrial products company's stock worth $7,483,000 after acquiring an additional 743 shares during the period. 70.98% of the stock is currently owned by institutional investors.

Insider Buying and Selling at Caterpillar

In other news, Director Susan C. Schwab sold 2,324 shares of the company's stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $410.00, for a total transaction of $952,840.00. Following the transaction, the director owned 6,917 shares of the company's stock, valued at approximately $2,835,970. This represents a 25.15% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Chairman Donald J. Umpleby III sold 17,168 shares of the stock in a transaction that occurred on Tuesday, September 2nd. The stock was sold at an average price of $412.87, for a total value of $7,088,152.16. Following the completion of the transaction, the chairman directly owned 482,505 shares in the company, valued at approximately $199,211,839.35. This trade represents a 3.44% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 21,653 shares of company stock worth $8,943,642 over the last ninety days. Company insiders own 0.33% of the company's stock.

Caterpillar Stock Performance

NYSE:CAT traded up $5.36 during mid-day trading on Thursday, hitting $420.48. 1,605,139 shares of the company traded hands, compared to its average volume of 2,753,062. The stock's fifty day moving average price is $416.29 and its 200-day moving average price is $361.91. Caterpillar Inc. has a one year low of $267.30 and a one year high of $441.15. The company has a quick ratio of 0.81, a current ratio of 1.34 and a debt-to-equity ratio of 1.50. The firm has a market cap of $196.99 billion, a price-to-earnings ratio of 21.39, a price-to-earnings-growth ratio of 2.53 and a beta of 1.41.

Caterpillar (NYSE:CAT - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The industrial products company reported $4.72 earnings per share (EPS) for the quarter, missing the consensus estimate of $4.88 by ($0.16). Caterpillar had a net margin of 14.95% and a return on equity of 48.95%. The company had revenue of $16.57 billion for the quarter, compared to the consensus estimate of $16.14 billion. During the same period in the prior year, the firm posted $5.99 EPS. The business's revenue for the quarter was down .7% on a year-over-year basis. 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 disclosed a quarterly dividend, which was paid on Wednesday, August 20th. Shareholders of record on Monday, July 21st were given a dividend of $1.51 per share. This represents a $6.04 dividend on an annualized basis and a yield of 1.4%. This is a boost from Caterpillar's previous quarterly dividend of $1.41. The ex-dividend date was Monday, July 21st. Caterpillar's dividend payout ratio (DPR) is currently 30.72%.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on CAT. Sanford C. Bernstein restated a "market perform" rating on shares of Caterpillar in a research note on Monday, July 14th. Truist Financial upped their target price on Caterpillar from $414.00 to $507.00 and gave the stock a "buy" rating in a research note on Wednesday, August 6th. Melius Research upgraded Caterpillar from a "hold" rating to a "strong-buy" rating and set a $500.00 price objective for the company in a report on Wednesday, July 9th. Jefferies Financial Group reiterated a "buy" rating and issued a $500.00 price objective on shares of Caterpillar in a report on Friday, August 29th. Finally, Baird R W upgraded Caterpillar from a "hold" rating to a "strong-buy" rating in a report on Tuesday, May 13th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have issued a Hold rating to the company. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average target price of $457.20.

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.