Caterpillar Inc. $CAT Stake Reduced by JT Stratford LLC

Key Points

• JT Stratford LLC has significantly reduced its stake in Caterpillar Inc. by 81.0% this quarter, leaving it with 1,187 shares valued at approximately $391,000.
• Caterpillar announced a quarterly dividend increase to $1.51, up from $1.41, reflecting confidence in its financial stability.
• Wall Street analysts have shown optimism about Caterpillar's growth, with several firms raising their price targets, which now average around $450.87 with an overall consensus rating of "Moderate Buy".

JT Stratford LLC trimmed its holdings in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 81.0% during the first quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 1,187 shares of the industrial products company's stock after selling 5,057 shares during the quarter. JT Stratford LLC's holdings in Caterpillar were worth $391,000 as of its most recent filing with the SEC.

Other hedge funds and other institutional investors have also modified their holdings of the company. McIlrath & Eck LLC increased its holdings in Caterpillar by 3.2% during the 4th quarter. McIlrath & Eck LLC now owns 962 shares of the industrial products company's stock worth $349,000 after purchasing an additional 30 shares during the last quarter. Allen Wealth Management LLC increased its holdings in Caterpillar by 0.8% during the 1st quarter. Allen Wealth Management LLC now owns 4,010 shares of the industrial products company's stock worth $1,322,000 after purchasing an additional 30 shares during the last quarter. Asset Management Group Inc. increased its holdings in Caterpillar by 0.3% during the 4th quarter. Asset Management Group Inc. now owns 10,771 shares of the industrial products company's stock worth $3,907,000 after purchasing an additional 32 shares during the last quarter. Summit X LLC increased its holdings in Caterpillar by 3.2% during the 1st quarter. Summit X LLC now owns 1,025 shares of the industrial products company's stock worth $338,000 after purchasing an additional 32 shares during the last quarter. Finally, Menard Financial Group LLC increased its holdings in Caterpillar by 1.0% during the 1st quarter. Menard Financial Group LLC now owns 3,174 shares of the industrial products company's stock worth $1,019,000 after purchasing an additional 32 shares during the last quarter. 70.98% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several brokerages have recently commented on CAT. Baird R W raised shares of Caterpillar from a "hold" rating to a "strong-buy" rating in a research report on Tuesday, May 13th. Melius Research raised shares of Caterpillar from a "hold" rating to a "strong-buy" rating and set a $500.00 price target on the stock in a research report on Wednesday, July 9th. Barclays increased their price target on shares of Caterpillar from $383.00 to $425.00 and gave the stock an "equal weight" rating in a research report on Wednesday, August 6th. DA Davidson increased their price target on shares of Caterpillar from $331.00 to $388.00 and gave the stock a "neutral" rating in a research report on Tuesday, July 22nd. Finally, Oppenheimer increased their price target on shares of Caterpillar from $395.00 to $483.00 and gave the stock an "outperform" rating in a research report on Thursday, July 17th. Two 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. Based on data from MarketBeat.com, Caterpillar presently has an average rating of "Moderate Buy" and a consensus price target of $450.87.

Caterpillar Stock Performance

NYSE:CAT traded up $17.1140 during mid-day trading on Friday, hitting $435.0040. The stock had a trading volume of 3,784,363 shares, compared to its average volume of 3,368,960. The stock has a market capitalization of $203.79 billion, a price-to-earnings ratio of 22.13, a P/E/G ratio of 2.60 and a beta of 1.40. The company has a 50 day simple moving average of $405.71 and a 200-day simple moving average of $357.80. Caterpillar Inc. has a 52 week low of $267.30 and a 52 week high of $441.15. The company has a current ratio of 1.34, a quick ratio of 0.81 and a debt-to-equity ratio of 1.50.

Caterpillar (NYSE:CAT - Get Free Report) last issued its quarterly earnings data on Tuesday, August 5th. The industrial products company reported $4.72 earnings per share for the quarter, missing the consensus estimate of $4.88 by ($0.16). The firm had revenue of $16.57 billion during the quarter, compared to the consensus estimate of $16.14 billion. Caterpillar had a net margin of 14.95% and a return on equity of 48.95%. The company's revenue for the quarter was down .7% compared to the same quarter last year. During the same quarter in the prior year, the business earned $5.99 earnings per share. On average, research analysts expect that Caterpillar Inc. will post 19.86 earnings per share for the current fiscal year.

Caterpillar Increases Dividend

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

Insider Activity

In related news, insider Jason Kaiser sold 2,161 shares of the 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 completion of the transaction, the insider owned 8,632 shares in the company, valued at $3,605,586.40. This represents a 20.02% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, Director Susan C. Schwab sold 2,324 shares of the stock in a transaction dated Friday, August 15th. The shares were sold at an average price of $410.00, for a total transaction of $952,840.00. Following the completion of the transaction, the director owned 6,917 shares of the company's stock, valued at $2,835,970. This represents a 25.15% decrease in their position. The disclosure for this sale can be found here. Company insiders own 0.33% of the company's stock.

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.