Compass Capital Management Inc. Cuts Holdings in Caterpillar Inc. $CAT

Key Points

• Compass Capital Management reduced its Caterpillar stake by 25.3% in the fourth quarter, selling 6,976 shares and leaving it with 20,560 shares valued at about $11.8 million.
• Caterpillar reported a strong quarter, with EPS of $5.54 and revenue of $17.42 billion, both ahead of analyst expectations; revenue also rose 22.2% year over year.
• The company raised its quarterly dividend to $1.63 per share from $1.51, while analysts remain mostly positive with a Moderate Buy consensus and an average price target of $933.27.

Compass Capital Management Inc. cut its position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 25.3% during the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 20,560 shares of the industrial products company's stock after selling 6,976 shares during the quarter. Compass Capital Management Inc.'s holdings in Caterpillar were worth $11,778,000 as of its most recent SEC filing.

A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in the stock. Advisory Resource Group boosted its stake in Caterpillar by 0.8% in the fourth quarter. Advisory Resource Group now owns 1,632 shares of the industrial products company's stock valued at $935,000 after acquiring an additional 13 shares during the last quarter. Invst LLC boosted its stake in Caterpillar by 1.9% in the fourth quarter. Invst LLC now owns 753 shares of the industrial products company's stock valued at $431,000 after acquiring an additional 14 shares during the last quarter. Plancorp LLC boosted its stake in Caterpillar by 0.5% in the fourth quarter. Plancorp LLC now owns 2,777 shares of the industrial products company's stock valued at $1,591,000 after acquiring an additional 15 shares during the last quarter. BlueStem Wealth Partners LLC boosted its stake in Caterpillar by 1.3% in the fourth quarter. BlueStem Wealth Partners LLC now owns 1,192 shares of the industrial products company's stock valued at $683,000 after acquiring an additional 15 shares during the last quarter. Finally, KDT Advisors LLC boosted its stake in Caterpillar by 2.3% in the fourth quarter. KDT Advisors LLC now owns 657 shares of the industrial products company's stock valued at $376,000 after acquiring an additional 15 shares during the last quarter. 70.98% of the stock is currently owned by hedge funds and other institutional investors.

Caterpillar Stock Performance

Shares of CAT stock opened at $898.14 on Friday. The stock has a market capitalization of $413.68 billion, a P/E ratio of 44.71, a PEG ratio of 1.69 and a beta of 1.59. The company has a current ratio of 1.35, a quick ratio of 0.81 and a debt-to-equity ratio of 1.64. The firm's 50 day moving average is $848.24 and its 200 day moving average is $725.35. Caterpillar Inc. has a 12 month low of $355.70 and a 12 month high of $946.83.

Caterpillar (NYSE:CAT - Get Free Report) last announced its quarterly earnings results on Thursday, April 30th. The industrial products company reported $5.54 EPS for the quarter, beating analysts' consensus estimates of $4.65 by $0.89. The company had revenue of $17.42 billion for the quarter, compared to analysts' expectations of $16.53 billion. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. Caterpillar's revenue was up 22.2% compared to the same quarter last year. During the same period in the prior year, the company posted $4.25 EPS. On average, sell-side analysts anticipate that Caterpillar Inc. will post 24.69 earnings per share for the current 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. This is a boost from Caterpillar's previous quarterly dividend of $1.51. The ex-dividend date of this dividend is Monday, July 20th. This represents a $6.52 dividend on an annualized basis and a yield of 0.7%. Caterpillar's payout ratio is currently 30.06%.

Insider Buying and Selling at Caterpillar

In related news, insider Anthony D. Fassino sold 16,283 shares of the company's stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $916.80, for a total transaction of $14,928,254.40. Following the sale, the insider owned 46,041 shares of the company's stock, valued at approximately $42,210,388.80. This represents a 26.13% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. Also, insider Lange Bob De sold 24,222 shares of the company's stock in a transaction that occurred on 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 $79,397,884.68. This trade represents a 21.97% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 95,773 shares of company stock worth $87,642,635 in the last ninety days. Insiders own 0.33% of the company's stock.

Analyst Ratings Changes

A number of research analysts have weighed in on the stock. Jefferies Financial Group boosted their target price on shares of Caterpillar from $900.00 to $1,045.00 and gave the company a "buy" rating in a research note on Friday, May 1st. Weiss Ratings reiterated a "buy (b-)" rating on shares of Caterpillar in a research note on Friday, May 8th. Rothschild & Co Redburn boosted their target price 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. JPMorgan Chase & Co. upped their price target on shares of Caterpillar from $860.00 to $1,125.00 and gave the company an "overweight" rating in a research note on Friday, May 1st. Finally, Zacks Research upgraded shares of Caterpillar from a "hold" rating to a "strong-buy" rating in a research note on Monday. One investment analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating and nine have assigned a Hold rating to the company's stock. According to data from MarketBeat, Caterpillar currently has a consensus rating of "Moderate Buy" and a consensus price target of $933.27.

Trending Headlines about Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar boosted its quarterly dividend by 8% to $1.63 per share, reinforcing confidence in cash flow and shareholder returns. Caterpillar boosts quarterly dividend following shareholder meeting
• Positive Sentiment: Analysts lifted forward earnings estimates, and the stock was highlighted as a momentum name and a “strong buy,” which can attract additional buyers. Best Momentum Stocks to Buy for June 11th
• Positive Sentiment: Erste Group Bank raised FY2026 and FY2027 EPS estimates for Caterpillar, suggesting stronger profit expectations ahead. Erste Group Bank estimate update
• Neutral Sentiment: Some commentary noted Caterpillar is nearing its highs and may be richly valued after a big run, which could limit upside if growth slows. Caterpillar Stock Nearing 52-Week High: Buy, Sell or Hold?
• Negative Sentiment: One trading note said CAT had declined more than the broader market in the prior session, reflecting some short-term pressure after a sharp pullback. Caterpillar (CAT) Declines More Than Market

Caterpillar Company 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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