Caterpillar Inc. $CAT Stake Cut by Radnor Capital Management LLC

Key Points

• Radnor Capital Management cut its Caterpillar stake by 15.2% in the second quarter, selling 1,275 shares and retaining 7,091 shares valued at approximately $7.55 million. Institutional investors collectively own 70.98% of CAT.
• Caterpillar reported strong quarterly results, with EPS of $8.17 beating estimates by $1.95 and revenue rising 23.7% year over year to $20.54 billion. Analysts expect $26.56 in EPS for the current fiscal year.
• The company raised its quarterly dividend from $1.51 to $1.63 per share, equivalent to an annualized $6.52 dividend and a 0.7% yield. Analysts maintain a “Moderate Buy” consensus with an average price target of $995.52.

Radnor Capital Management LLC reduced its stake in Caterpillar Inc. (NYSE:CAT - Free Report) by 15.2% in the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 7,091 shares of the industrial products company's stock after selling 1,275 shares during the period. Caterpillar accounts for about 1.1% of Radnor Capital Management LLC's investment portfolio, making the stock its 18th biggest holding. Radnor Capital Management LLC's holdings in Caterpillar were worth $7,551,000 as of its most recent filing with the Securities & Exchange Commission.

Several other hedge funds have also made changes to their positions in CAT. Decker Retirement Planning Inc. increased its position in Caterpillar by 440.0% in the second quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company's stock worth $29,000 after buying an additional 22 shares during the period. Matrix Trust Co boosted its holdings in shares of Caterpillar by 93.8% during the second quarter. Matrix Trust Co now owns 31 shares of the industrial products company's stock valued at $33,000 after acquiring an additional 15 shares during the period. Lam Group Inc. bought a new position in shares of Caterpillar during the first quarter worth about $26,000. Ramsey Quantitative Systems acquired a new stake in shares of Caterpillar in the 2nd quarter worth about $48,000. Finally, Torren Management LLC bought a new stake in Caterpillar in the 4th quarter valued at about $27,000. Institutional investors own 70.98% of the company's stock.

Caterpillar Price Performance

Shares of NYSE:CAT opened at $883.90 on Tuesday. The stock has a market cap of $406.30 billion, a price-to-earnings ratio of 38.03, a PEG ratio of 1.53 and a beta of 1.60. The company has a debt-to-equity ratio of 1.65, a current ratio of 1.37 and a quick ratio of 0.85. Caterpillar Inc. has a 12 month low of $405.46 and a 12 month high of $1,073.46. The stock's 50 day moving average price is $914.46 and its 200 day moving average price is $829.59.

Caterpillar (NYSE:CAT - Get Free Report) last issued its quarterly earnings results on Tuesday, August 4th. The industrial products company reported $8.17 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $6.22 by $1.95. Caterpillar had a return on equity of 55.53% and a net margin of 14.51%.The firm had revenue of $20.54 billion during the quarter, compared to analyst estimates of $19.34 billion. During the same period last year, the company posted $4.72 EPS. The firm's quarterly revenue was up 23.7% on a year-over-year basis. Equities research analysts anticipate that Caterpillar Inc. will post 26.56 earnings per share for the current fiscal year.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Investors of record on Monday, July 20th will be issued a dividend of $1.63 per share. The ex-dividend date of this dividend is Monday, July 20th. This is an increase from Caterpillar's previous quarterly dividend of $1.51. This represents a $6.52 dividend on an annualized basis and a yield of 0.7%. Caterpillar's dividend payout ratio is presently 28.06%.

Analyst Ratings Changes

Several research firms have commented on CAT. Sanford C. Bernstein restated a "market perform" rating and issued a $1,002.00 target price on shares of Caterpillar in a research report on Wednesday, August 5th. Jefferies Financial Group boosted their price objective on Caterpillar from $900.00 to $1,045.00 and gave the stock a "buy" rating in a research report on Friday, May 1st. Erste Group Bank cut Caterpillar from a "buy" rating to a "hold" rating in a research report on Monday, July 27th. Rothschild & Co Redburn lifted their target price on Caterpillar from $700.00 to $950.00 and gave the company a "neutral" rating in a research note on Thursday, May 14th. Finally, Barclays boosted their price target on Caterpillar from $800.00 to $900.00 and gave the stock an "equal weight" rating in a research report on Thursday, August 6th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eleven have assigned a Hold rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $995.52.

About Caterpillar

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.

Continue following MarketBeat

Add MarketBeat as your preferred source on Google to see our latest stories in your feed.

Add As Preferred Source