Caterpillar Inc. $CAT Stock Sold by Axxcess Wealth Management LLC

Key Points

• Axxcess Wealth Management reduced its Caterpillar stake by 37% in the third quarter, selling 8,069 shares and retaining 13,749 shares valued at approximately $11.15 million. Institutional investors collectively own about 70.98% of Caterpillar.
• Caterpillar reported a strong latest quarter, with earnings of $8.17 per share and revenue of $20.54 billion, exceeding analyst estimates. The company also has a record $72 billion backlog and analysts maintain a “Moderate Buy” consensus with an average price target of $967.83.
• Valuation remains a key risk: Caterpillar shares opened at $740.20, below their 50-day and 200-day moving averages, while the stock trades at a P/E ratio of 31.85. The company declared a quarterly dividend of $1.63, implying a 0.9% annualized yield.

Axxcess Wealth Management LLC cut its holdings in Caterpillar Inc. (NYSE:CAT - Free Report) by 37.0% during the 3rd quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The firm owned 13,749 shares of the industrial products company's stock after selling 8,069 shares during the period. Axxcess Wealth Management LLC's holdings in Caterpillar were worth $11,148,000 as of its most recent SEC filing.

Several other institutional investors and hedge funds have also modified their holdings of the business. Decker Retirement Planning Inc. grew its holdings in Caterpillar by 440.0% during the second quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company's stock valued at $29,000 after purchasing an additional 22 shares during the period. Matrix Trust Co lifted its holdings in 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 purchasing an additional 15 shares in the last quarter. Axiom Investment Management LLC purchased a new position in Caterpillar during the second quarter valued at approximately $36,000. Lam Group Inc. bought a new position in shares of Caterpillar in the first quarter worth approximately $26,000. Finally, Tacita Capital Inc bought a new position in shares of Caterpillar in the second quarter worth approximately $47,000. Hedge funds and other institutional investors own 70.98% of the company's stock.

Caterpillar News Roundup

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Improving earnings outlook: Caterpillar has a strong history of exceeding quarterly estimates, and analysts see the company as having favorable conditions for another earnings beat. Its latest reported quarter also substantially exceeded consensus expectations for earnings and revenue. Will Caterpillar Beat Estimates Again
• Positive Sentiment: Strong backlog and raised outlook: Caterpillar is supported by a record $72 billion backlog, strong cash flow and an increased 2026 sales-growth outlook. Although the dividend was held steady, these factors could support future dividend growth and capital returns. CAT Keeps Dividend Unchanged
• Positive Sentiment: Rating and analyst support: Caterpillar was upgraded to Zacks Rank #2 (Buy), reflecting greater optimism about its earnings prospects. The average brokerage price target of approximately $967.83 is well above the recent trading level, although targets are not guarantees. Caterpillar Rating Upgrade
• Neutral Sentiment: Dealer technology partnership: IronSight AI and Fast Iron announced a platform that helps Caterpillar, Komatsu and Volvo equipment dealers identify and sell used parts using smartphone images. The development may improve dealer efficiency, but it is not expected to have a material near-term effect on Caterpillar’s financial results. IronSight AI and Fast Iron Partnership
• Negative Sentiment: Valuation and trading risks: Caterpillar’s elevated valuation leaves the stock vulnerable to a pullback if earnings momentum slows. ETFs were also reported as net sellers, while commentary cautioned that analyst optimism may already be reflected in the share price. Caterpillar Stock Pullback Risk

Analyst Ratings Changes

A number of brokerages have recently issued reports on CAT. Freedom Broker raised shares of Caterpillar from a "hold" rating to a "buy" rating and set a $980.00 price objective for the company in a research note on Thursday, September 10th. Sanford C. Bernstein restated a "market perform" rating and set a $749.00 target price on shares of Caterpillar in a research note on Wednesday, October 14th. Citigroup dropped their target price on shares of Caterpillar from $1,100.00 to $950.00 and set a "buy" rating for the company in a report on Monday, October 12th. Zacks Research lowered Caterpillar from a "strong-buy" rating to a "hold" rating in a research note on Monday, October 5th. Finally, President Capital began coverage on Caterpillar in a research note on Friday, September 18th. They issued a "buy" rating and a $999.00 price target for the company. Fifteen investment analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the stock. According to MarketBeat, Caterpillar has a consensus rating of "Moderate Buy" and a consensus target price of $967.83.

Caterpillar Stock Up 2.1%

Shares of NYSE:CAT opened at $740.20 on Thursday. Caterpillar Inc. has a 12 month low of $510.21 and a 12 month high of $1,073.46. The company has a current ratio of 1.37, a quick ratio of 0.85 and a debt-to-equity ratio of 1.65. The company has a 50-day moving average price of $805.28 and a 200 day moving average price of $856.93. The company has a market cap of $340.25 billion, a price-to-earnings ratio of 31.85, a PEG ratio of 1.24 and a beta of 1.58.

Caterpillar (NYSE:CAT - Get Free Report) last posted its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $8.17 earnings per share (EPS) for the quarter, beating the consensus estimate of $6.22 by $1.95. The business had revenue of $20.54 billion during the quarter, compared to analyst estimates of $19.34 billion. Caterpillar had a return on equity of 55.53% and a net margin of 14.51%. The company's revenue for the quarter was up 23.7% on a year-over-year basis. During the same period last year, the company earned $4.72 EPS. As a group, equities research analysts predict that Caterpillar Inc. will post 27.74 earnings per share for the current year.

Caterpillar Announces Dividend

The business also recently declared a quarterly dividend, which will be paid on Thursday, November 19th. Investors of record on Monday, October 26th will be given a $1.63 dividend. The ex-dividend date is Monday, October 26th. This represents a $6.52 dividend on an annualized basis and a yield of 0.9%. Caterpillar's dividend payout ratio (DPR) is currently 28.06%.

Insider Buying and Selling

In other Caterpillar news, CEO Joseph E. Creed sold 32,401 shares of Caterpillar stock in a transaction on Friday, August 28th. The shares were sold at an average price of $808.98, for a total transaction of $26,211,760.98. Following the completion of the transaction, the chief executive officer directly owned 34,555 shares of the company's stock, valued at $27,954,303.90. The trade was a 48.39% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 0.33% of the stock is owned by insiders.

About Caterpillar

Caterpillar Inc is a manufacturer of construction, mining, and industrial equipment. Its product portfolio includes excavators, bulldozers, wheel loaders, motor graders, articulated trucks, and other machinery used in construction, infrastructure development, mining, quarrying, forestry, and related industries. The company also produces diesel and natural gas engines, industrial gas turbines, generator sets, and other power-generation and transportation equipment.

Caterpillar operates through businesses focused on construction industries, resource industries, and energy and transportation.

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