Keebeck Wealth Management Invests $2.61 Million in Caterpillar Inc. $CAT

Key Points

• Keebeck Wealth Management initiated a Caterpillar position worth approximately $2.61 million, purchasing 2,455 shares. Institutional investors and hedge funds collectively own 70.98% of CAT.
• Caterpillar reported strong quarterly results, with EPS of $8.17 and revenue of $20.54 billion, both above estimates, while revenue increased 23.7% year over year. Growth is being supported by data-center power demand and investments in AI, robotics and industrial technology.
• The stock has a “Moderate Buy” consensus rating with a $995.52 price target, but valuation and recent weakness remain concerns. CEO Joseph Creed’s sale of roughly $26.2 million in shares may also weigh on investor sentiment.

Keebeck Wealth Management bought a new position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) during the 2nd quarter, according to its most recent 13F filing with the SEC. The firm bought 2,455 shares of the industrial products company's stock, valued at approximately $2,614,000.

Other institutional investors and hedge funds also recently made changes to their positions in the company. BlackRock Inc. bought a new stake in Caterpillar in the 2nd quarter valued at $40,457,153,000. State Street Corp increased its holdings in Caterpillar by 1.1% during the 4th quarter. State Street Corp now owns 35,388,550 shares of the industrial products company's stock worth $20,273,039,000 after purchasing an additional 385,204 shares in the last quarter. Geode Capital Management LLC raised its stake in shares of Caterpillar by 0.9% in the 4th quarter. Geode Capital Management LLC now owns 10,610,182 shares of the industrial products company's stock valued at $6,072,572,000 after purchasing an additional 94,524 shares during the period. Fisher Asset Management LLC boosted its position in shares of Caterpillar by 0.6% during the fourth quarter. Fisher Asset Management LLC now owns 9,493,266 shares of the industrial products company's stock worth $5,438,408,000 after buying an additional 54,069 shares during the period. Finally, Bank of America Corp DE grew its holdings in shares of Caterpillar by 16.0% during the fourth quarter. Bank of America Corp DE now owns 6,738,802 shares of the industrial products company's stock worth $3,860,457,000 after buying an additional 928,974 shares in the last quarter. Institutional investors and hedge funds own 70.98% of the company's stock.

Key Stories Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: AI and robotics expansion: Caterpillar is collaborating with FieldAI, using physical AI, autonomy, robotics, digital twins and NVIDIA technology to improve safety, productivity and decision-making at construction sites and factories. The initiative could support higher-margin technology and services revenue over time. Caterpillar and FieldAI Advance AI-Powered Industrial Innovation
• Positive Sentiment: Data-center power demand remains a growth driver: Caterpillar’s Power & Energy business is benefiting from rising electricity needs tied to data centers and artificial-intelligence infrastructure. Retail sales to power-generation users reportedly surged 72% year over year in the second quarter, strengthening the long-term growth narrative. Can CAT Stock Compound Its Way Higher?
• Positive Sentiment: Higher earnings forecast: Erste Group Bank raised its fiscal 2026 EPS estimate to $27.50 from $24.78, modestly above consensus. Caterpillar’s latest quarter also showed strong momentum, with EPS of $8.17 and revenue of $20.54 billion exceeding estimates. Caterpillar FY2026 EPS Forecast Raised by Erste Group Bank
• Neutral Sentiment: Pullback creates a valuation debate: Analysts describe the recent decline as potentially attractive, but Caterpillar still trades at a relatively elevated earnings multiple. Investors are assessing whether expected AI, power-generation and industrial growth is already reflected in the share price. That Dip in Caterpillar Stock Looks Tempting, But Don't Ignore the Catch
• Negative Sentiment: CEO insider sale adds pressure: Chief Executive Joseph Creed sold 32,401 shares for approximately $26.2 million, reducing his holdings by 48.39%. The transaction may weigh on sentiment, although it does not necessarily indicate deteriorating business prospects. SEC Insider Transaction Filing
• Negative Sentiment: Post-earnings weakness and technical concerns: CAT’s decline since earnings suggests investors may be taking profits after the strong report, while the stock remains below its recent moving averages. A trader has also argued that the shares may be ready to be “faded,” reinforcing near-term caution. Time to Start Fading Caterpillar Stock

Analyst Ratings Changes

A number of research firms have weighed in on CAT. Evercore reaffirmed an "outperform" rating and set a $1,103.00 price target on shares of Caterpillar in a research report on Monday, May 11th. Zacks Research upgraded shares of Caterpillar from a "hold" rating to a "strong-buy" rating in a report on Wednesday, August 12th. JPMorgan Chase & Co. raised their target price on shares of Caterpillar from $1,125.00 to $1,165.00 and gave the company an "overweight" rating in a research report on Wednesday, June 17th. Rothschild & Co Redburn lifted their price target 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. Finally, UBS Group boosted their price target on shares of Caterpillar from $900.00 to $925.00 and gave the stock a "neutral" rating in a research report on Wednesday, August 5th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eleven have assigned a Hold rating to the company's stock. Based on data from MarketBeat, Caterpillar currently has a consensus rating of "Moderate Buy" and a consensus price target of $995.52.

Caterpillar Price Performance

NYSE:CAT opened at $798.29 on Friday. The company has a quick ratio of 0.85, a current ratio of 1.37 and a debt-to-equity ratio of 1.65. The stock's 50 day moving average price is $876.18 and its two-hundred day moving average price is $838.63. Caterpillar Inc. has a 12-month low of $414.29 and a 12-month high of $1,073.46. The firm has a market capitalization of $366.95 billion, a price-to-earnings ratio of 34.35, a P/E/G ratio of 1.38 and a beta of 1.60.

Caterpillar (NYSE:CAT - Get Free Report) last released its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $8.17 EPS for the quarter, beating the consensus estimate of $6.22 by $1.95. Caterpillar had a net margin of 14.51% and a return on equity of 55.53%. The firm had revenue of $20.54 billion for the quarter, compared to the consensus estimate of $19.34 billion. During the same period in the previous year, the company earned $4.72 earnings per share. The company's quarterly revenue was up 23.7% on a year-over-year basis. On average, analysts anticipate that Caterpillar Inc. will post 27.35 earnings per share for the current year.

Caterpillar Increases Dividend

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, August 19th. Shareholders of record on Monday, July 20th were issued a $1.63 dividend. The ex-dividend date of this dividend was Monday, July 20th. 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. Caterpillar's payout ratio is currently 28.06%.

Insider Activity at Caterpillar

In related news, CEO Joseph E. Creed sold 32,401 shares of the firm's stock in a transaction dated 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 transaction, the chief executive officer directly owned 34,555 shares of the company's stock, valued at approximately $27,954,303.90. This trade represents a 48.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Company insiders own 0.33% of the company's stock.

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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