UMB Bank n.a. Trims Stake in Caterpillar Inc. $CAT

Key Points

• UMB Bank n.a. has reduced its stake in Caterpillar Inc. by 4.7%, now holding 47,443 shares valued at $18.4 million.
• Caterpillar reported earnings of $4.72 per share for the last quarter, missing estimates of $4.88, while revenue was $16.57 billion, slightly above the forecast.
• Recent analyst reports have upgraded Caterpillar's rating, with Melius raising it to a "buy" and setting a price target of $500 per share.

UMB Bank n.a. trimmed its stake in Caterpillar Inc. (NYSE:CAT - Free Report) by 4.7% during the second quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 47,443 shares of the industrial products company's stock after selling 2,335 shares during the quarter. UMB Bank n.a.'s holdings in Caterpillar were worth $18,418,000 as of its most recent filing with the Securities & Exchange Commission.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Compass Financial Services Inc boosted its holdings in shares of Caterpillar by 49.2% in the first quarter. Compass Financial Services Inc now owns 94 shares of the industrial products company's stock worth $31,000 after acquiring an additional 31 shares during the period. Family Legacy Financial Solutions LLC purchased a new stake in Caterpillar during the 2nd quarter worth about $32,000. Investment Management Corp VA ADV purchased a new stake in shares of Caterpillar in the fourth quarter worth about $33,000. Curat Global LLC purchased a new stake in Caterpillar in the 1st quarter worth approximately $33,000. Finally, Redmont Wealth Advisors LLC purchased a new stake in shares of Caterpillar in the first quarter worth $33,000. 70.98% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research firms have weighed in on CAT. Robert W. Baird raised their price target on Caterpillar from $495.00 to $540.00 and gave the company an "outperform" rating in a report on Wednesday, September 17th. Sanford C. Bernstein restated a "market perform" rating on shares of Caterpillar in a research report on Monday, July 14th. Citigroup restated a "buy" rating on shares of Caterpillar in a research report on Tuesday. DA Davidson raised their price objective on Caterpillar from $331.00 to $388.00 and gave the company a "neutral" rating in a report on Tuesday, July 22nd. Finally, Truist Financial lifted their price target on shares of Caterpillar from $414.00 to $507.00 and gave the stock a "buy" rating in a research note on Wednesday, August 6th. Two investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and a consensus target price of $464.33.

Insider Buying and Selling at Caterpillar

In related news, Director Susan C. Schwab sold 2,324 shares of Caterpillar stock in a transaction on Friday, August 15th. The shares were 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 in the company, valued at approximately $2,835,970. The trade was a 25.15% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Chairman Donald J. Umpleby III sold 17,168 shares of the business's stock in a transaction dated Tuesday, September 2nd. The shares were 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 owned 482,505 shares in the company, valued at $199,211,839.35. The trade was a 3.44% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 21,653 shares of company stock valued at $8,943,642 over the last 90 days. 0.33% of the stock is currently owned by corporate insiders.

Caterpillar Stock Performance

Shares of Caterpillar stock traded down $0.55 on Tuesday, hitting $471.55. 2,661,260 shares of the company's stock were exchanged, compared to its average volume of 2,760,104. The company has a 50-day simple moving average of $426.53 and a 200-day simple moving average of $370.38. The stock has a market capitalization of $220.91 billion, a PE ratio of 23.94, a PEG ratio of 2.84 and a beta of 1.41. Caterpillar Inc. has a 1 year low of $267.30 and a 1 year high of $485.34. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.81 and a current ratio of 1.34.

Caterpillar (NYSE:CAT - Get Free Report) last released its earnings results on Tuesday, August 5th. The industrial products company reported $4.72 earnings per share 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 analysts' expectations of $16.14 billion. During the same quarter last year, the firm posted $5.99 earnings per share. Caterpillar's revenue for the quarter was down .7% on a year-over-year basis. As a group, equities analysts anticipate that Caterpillar Inc. will post 19.86 EPS for the current year.

About Caterpillar

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.