Diversified Trust Co. Grows Stock Holdings in Caterpillar Inc. $CAT

Key Points

• Diversified Trust Co. increased its Caterpillar stake by 25.4% in the second quarter, bringing its holdings to 14,725 shares valued at approximately $15.7 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. The company also raised its quarterly dividend to $1.63 per share, or $6.52 annually.
• Despite a consensus “Moderate Buy” rating and an average analyst price target of $995.52, CAT shares recently traded down 3.1% to $814.68. Investors remain focused on elevated valuation and whether weaker industrial activity could pressure future equipment demand.

Diversified Trust Co. lifted its stake in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 25.4% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 14,725 shares of the industrial products company's stock after purchasing an additional 2,986 shares during the period. Diversified Trust Co.'s holdings in Caterpillar were worth $15,681,000 as of its most recent SEC filing.

Several other hedge funds and other institutional investors have also recently made changes to their positions in CAT. Lam Group Inc. acquired a new position in Caterpillar during the first quarter worth $26,000. Torren Management LLC acquired a new stake in shares of Caterpillar in the 4th quarter worth $27,000. Frazier Financial Advisors LLC increased its stake in shares of Caterpillar by 220.0% in the 4th quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company's stock worth $28,000 after acquiring an additional 33 shares during the last quarter. Decker Retirement Planning Inc. raised its holdings in shares of Caterpillar by 440.0% during the 2nd quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company's stock worth $29,000 after acquiring an additional 22 shares during the period. Finally, Cornerstone Financial Management LLC acquired a new position in shares of Caterpillar during the 4th quarter valued at about $32,000. Institutional investors and hedge funds own 70.98% of the company's stock.

Caterpillar Trading Down 3.1%

Shares of CAT stock opened at $814.68 on Thursday. Caterpillar Inc. has a 1-year low of $410.52 and a 1-year high of $1,073.46. The firm has a market cap of $374.49 billion, a PE ratio of 35.06, a price-to-earnings-growth ratio of 1.48 and a beta of 1.60. The company has a 50-day moving average of $912.19 and a two-hundred day moving average of $832.06. 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 (NYSE:CAT - Get Free Report) last released 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. The business had revenue of $20.54 billion for the quarter, compared to the consensus estimate of $19.34 billion. Caterpillar had a net margin of 14.51% and a return on equity of 55.53%. The business's revenue was up 23.7% on a year-over-year basis. During the same period in the previous year, the firm earned $4.72 EPS. On average, analysts predict that Caterpillar Inc. will post 26.98 EPS for the current year.

Caterpillar Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Wednesday, August 19th. Shareholders of record on Monday, July 20th were paid a dividend of $1.63 per share. This represents a $6.52 dividend on an annualized basis and a yield of 0.8%. This is a positive change from Caterpillar's previous quarterly dividend of $1.51. The ex-dividend date was Monday, July 20th. Caterpillar's payout ratio is currently 28.06%.

Analysts Set New Price Targets

Several research firms recently issued reports on CAT. Robert W. Baird set a $970.00 price objective on shares of Caterpillar in a research report on Wednesday, August 5th. Bank of America boosted their target price on shares of Caterpillar from $930.00 to $989.00 and gave the company a "buy" rating in a report on Friday, May 1st. Evercore reissued an "outperform" rating and issued a $1,103.00 price target on shares of Caterpillar in a research note on Monday, May 11th. DA Davidson raised their price target on shares of Caterpillar from $845.00 to $882.00 and gave the stock a "neutral" rating in a report on Thursday, August 6th. Finally, Oppenheimer reaffirmed an "outperform" rating and set a $1,118.00 price target on shares of Caterpillar in a research report on Tuesday, August 4th. One analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eleven have assigned a Hold rating to the company's stock. Based on data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus target price of $995.52.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Analysts raised earnings forecasts. Zacks Research increased its EPS projections across several periods, including FY2027 to $30.14 from $29.01 and FY2028 to $35.97 from $34.31. The firm maintained a “Strong-Buy” rating, signaling improved confidence in Caterpillar’s long-term earnings outlook. Zacks Research estimates
• Positive Sentiment: Growth momentum remains a supporting factor. A Zacks analysis said volume-driven growth is accelerating across Caterpillar’s three segments and prompted a sharp increase in its 2026 sales outlook. The company also announced a $3 million workforce investment in Arkansas, supporting local hiring and operations. Caterpillar volume gains analysis Caterpillar workforce initiative
• Neutral Sentiment: Recent gains may be prompting profit-taking. Commentary highlighted that CAT has risen sharply over the past year, increasing attention to valuation and how much future growth is already reflected in the stock. CAT stock performance analysis
• Negative Sentiment: Weak industrial data raised demand concerns. U.S. industrial production was weaker than expected in July, prompting investors to question whether Caterpillar’s record backlog can withstand a slowdown in industrial activity and equipment demand. Weaker U.S. industrial output analysis
• Negative Sentiment: Market-wide selling pressured CAT. Caterpillar and Goldman Sachs were cited as major drags on the Dow amid a pullback in AI-related and technology-linked trades. This appears to reflect broader risk reduction and sector rotation rather than a new company-specific operational setback. Dow market pressure

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.

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