Corebridge Financial Inc. Cuts Position in Caterpillar Inc. $CAT

Key Points

• Corebridge Financial Inc. reduced its stake in Caterpillar Inc. by 7% in Q1, owning 123,298 shares valued at approximately $40.66 million.
• Caterpillar reported earnings per share of $4.72, missing estimates, while revenue for the quarter was $16.57 billion, surpassing expectations.
• The company recently increased its quarterly dividend from $1.41 to $1.51 per share, leading to an annual yield of 1.4%.

Corebridge Financial Inc. decreased its position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 7.0% in the 1st quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The institutional investor owned 123,298 shares of the industrial products company's stock after selling 9,316 shares during the quarter. Corebridge Financial Inc.'s holdings in Caterpillar were worth $40,664,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors have also recently modified their holdings of the company. Investment Management Corp VA ADV bought a new stake in Caterpillar during the fourth quarter worth $33,000. Curat Global LLC bought a new position in Caterpillar in the 1st quarter valued at $33,000. Redmont Wealth Advisors LLC purchased a new position in shares of Caterpillar during the 1st quarter valued at $33,000. Quarry LP purchased a new position in shares of Caterpillar during the 4th quarter valued at $35,000. Finally, Mpwm Advisory Solutions LLC purchased a new position in shares of Caterpillar during the 4th quarter valued at $36,000. Institutional investors own 70.98% of the company's stock.

Caterpillar Trading Up 0.4%

Shares of CAT traded up $1.91 during mid-day trading on Wednesday, reaching $433.17. 1,970,924 shares of the company's stock traded hands, compared to its average volume of 3,433,062. The stock has a market cap of $202.93 billion, a P/E ratio of 22.03, a P/E/G ratio of 2.57 and a beta of 1.40. The stock's 50-day moving average is $410.05 and its two-hundred day moving average is $359.24. Caterpillar Inc. has a 12 month low of $267.30 and a 12 month high of $441.15. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.34 and a quick ratio of 0.81.

Caterpillar (NYSE:CAT - Get Free Report) last announced its quarterly earnings results on Tuesday, August 5th. The industrial products company reported $4.72 earnings per share (EPS) for the quarter, missing analysts' consensus estimates of $4.88 by ($0.16). The firm had revenue of $16.57 billion during the quarter, compared to analysts' expectations of $16.14 billion. Caterpillar had a net margin of 14.95% and a return on equity of 48.95%. The firm's revenue for the quarter was down .7% on a year-over-year basis. During the same quarter in the previous year, the firm posted $5.99 EPS. Research analysts forecast that Caterpillar Inc. will post 19.86 earnings per share for the current fiscal year.

Caterpillar Increases Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Wednesday, August 20th. Stockholders of record on Monday, July 21st were issued a dividend of $1.51 per share. The ex-dividend date was Monday, July 21st. This represents a $6.04 annualized dividend and a dividend yield of 1.4%. This is a boost from Caterpillar's previous quarterly dividend of $1.41. Caterpillar's dividend payout ratio (DPR) is currently 30.72%.

Insider Buying and Selling at Caterpillar

In other news, Director Susan C. Schwab sold 2,324 shares of the firm's stock in a transaction dated Friday, August 15th. The stock was sold at an average price of $410.00, for a total transaction of $952,840.00. Following the sale, the director directly owned 6,917 shares in the company, valued at $2,835,970. This trade represents a 25.15% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Jason Kaiser sold 2,161 shares of the firm's stock in a transaction dated Monday, August 11th. The shares were sold at an average price of $417.70, for a total value of $902,649.70. Following the sale, the insider owned 8,632 shares in the company, valued at $3,605,586.40. This trade represents a 20.02% decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.33% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on CAT shares. Melius Research upgraded Caterpillar from a "hold" rating to a "strong-buy" rating and set a $500.00 price objective on the stock in a research report on Wednesday, July 9th. DA Davidson raised their target price on Caterpillar from $331.00 to $388.00 and gave the company a "neutral" rating in a research note on Tuesday, July 22nd. Truist Financial raised their price objective on Caterpillar from $414.00 to $507.00 and gave the company a "buy" rating in a research report on Wednesday, August 6th. Oppenheimer lifted their price objective on Caterpillar from $395.00 to $483.00 and gave the stock an "outperform" rating in a report on Thursday, July 17th. Finally, Evercore ISI upgraded Caterpillar from an "in-line" rating to an "outperform" rating and set a $476.00 target price on the stock in a research report on Tuesday, August 19th. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and five have issued a Hold rating to the company's stock. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $450.87.

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.