Oakmont Investment Advisors Inc. Buys 3,040 Shares of Caterpillar Inc. $CAT

Key Points

• Oakmont Investment Advisors increased its Caterpillar stake by 251.7% in the third quarter, acquiring 3,040 additional shares for a total of 4,248 shares valued at approximately $3.45 million. Institutional investors collectively own 70.98% of CAT.
• Analysts maintain a generally positive outlook, with 15 Buy ratings and 12 Holds producing a “Moderate Buy” consensus and an average price target of $967.83. Caterpillar also recently exceeded earnings and revenue expectations, reporting $8.17 in quarterly EPS versus a $6.22 consensus estimate.
• Caterpillar declared a quarterly dividend of $1.63, equivalent to an annualized $6.52 payout and a 0.9% yield. However, CEO Joseph Creed sold 32,401 shares worth about $26.2 million, and the stock’s elevated valuation may leave it exposed to a pullback if earnings momentum weakens.

Oakmont Investment Advisors Inc. increased its position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 251.7% during the 3rd quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 4,248 shares of the industrial products company's stock after acquiring an additional 3,040 shares during the quarter. Caterpillar makes up about 2.3% of Oakmont Investment Advisors Inc.'s portfolio, making the stock its 7th biggest holding. Oakmont Investment Advisors Inc.'s holdings in Caterpillar were worth $3,445,000 at the end of the most recent reporting period.

A number of other hedge funds have also recently modified their holdings of the company. Lam Group Inc. purchased a new position in Caterpillar during the first quarter worth about $26,000. Decker Retirement Planning Inc. boosted its holdings in Caterpillar by 440.0% in the 2nd quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company's stock valued at $29,000 after purchasing an additional 22 shares during the last quarter. PFS Partners LLC boosted its holdings in Caterpillar by 1,750.0% in the 3rd quarter. PFS Partners LLC now owns 37 shares of the industrial products company's stock valued at $30,000 after purchasing an additional 35 shares during the last quarter. Matrix Trust Co grew its stake in shares of Caterpillar by 93.8% in the 2nd quarter. Matrix Trust Co now owns 31 shares of the industrial products company's stock valued at $33,000 after buying an additional 15 shares during the period. Finally, Cedar Mountain Advisors LLC increased its holdings in shares of Caterpillar by 82.1% during the 1st quarter. Cedar Mountain Advisors LLC now owns 51 shares of the industrial products company's stock worth $36,000 after buying an additional 23 shares during the last quarter. Hedge funds and other institutional investors own 70.98% of the company's stock.

Analyst Ratings Changes

Several analysts recently issued reports on CAT shares. Erste Group Bank lowered shares of Caterpillar from a "buy" rating to a "hold" rating in a report on Monday, July 27th. Sanford C. Bernstein restated a "market perform" rating and set a $749.00 price target on shares of Caterpillar in a research report on Wednesday, October 14th. Citigroup dropped their price objective on Caterpillar from $1,100.00 to $950.00 and set a "buy" rating for the company in a research note on Monday, October 12th. Robert W. Baird set a $970.00 price objective on Caterpillar in a report on Wednesday, August 5th. Finally, Barclays increased their target price on Caterpillar from $800.00 to $900.00 and gave the stock an "equal weight" rating in a research note on Thursday, August 6th. Fifteen research analysts have rated the stock with a Buy rating and twelve have issued a Hold rating to the company's stock. According to data from MarketBeat, Caterpillar presently has an average rating of "Moderate Buy" and an average target price of $967.83.

Caterpillar News Summary

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Improving earnings outlook: Caterpillar has a strong history of exceeding quarterly estimates, and analysts see the company as having favorable conditions for another earnings beat. Its latest reported quarter also substantially exceeded consensus expectations for earnings and revenue. Will Caterpillar Beat Estimates Again
• Positive Sentiment: Strong backlog and raised outlook: Caterpillar is supported by a record $72 billion backlog, strong cash flow and an increased 2026 sales-growth outlook. Although the dividend was held steady, these factors could support future dividend growth and capital returns. CAT Keeps Dividend Unchanged
• Positive Sentiment: Rating and analyst support: Caterpillar was upgraded to Zacks Rank #2 (Buy), reflecting greater optimism about its earnings prospects. The average brokerage price target of approximately $967.83 is well above the recent trading level, although targets are not guarantees. Caterpillar Rating Upgrade
• Neutral Sentiment: Dealer technology partnership: IronSight AI and Fast Iron announced a platform that helps Caterpillar, Komatsu and Volvo equipment dealers identify and sell used parts using smartphone images. The development may improve dealer efficiency, but it is not expected to have a material near-term effect on Caterpillar’s financial results. IronSight AI and Fast Iron Partnership
• Negative Sentiment: Valuation and trading risks: Caterpillar’s elevated valuation leaves the stock vulnerable to a pullback if earnings momentum slows. ETFs were also reported as net sellers, while commentary cautioned that analyst optimism may already be reflected in the share price. Caterpillar Stock Pullback Risk

Insider Activity at Caterpillar

In other Caterpillar news, CEO Joseph E. Creed sold 32,401 shares of the business's stock in a transaction on Friday, August 28th. The shares were sold at an average price of $808.98, for a total value of $26,211,760.98. Following the completion of the transaction, the chief executive officer owned 34,555 shares in the company, valued at $27,954,303.90. The trade was a 48.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at the SEC website. 0.33% of the stock is currently owned by company insiders.

Caterpillar Trading Up 2.1%

Shares of CAT stock opened at $740.20 on Thursday. The company has a debt-to-equity ratio of 1.65, a quick ratio of 0.85 and a current ratio of 1.37. The stock has a market capitalization of $340.25 billion, a P/E ratio of 31.85, a price-to-earnings-growth ratio of 1.24 and a beta of 1.58. The company has a 50 day moving average price of $805.28 and a 200 day moving average price of $856.93. Caterpillar Inc. has a fifty-two week low of $510.21 and a fifty-two week high of $1,073.46.

Caterpillar (NYSE:CAT - Get Free Report) last announced its earnings results on Tuesday, August 4th. The industrial products company reported $8.17 earnings per share for the quarter, topping the consensus estimate of $6.22 by $1.95. The firm 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 firm's revenue for the quarter was up 23.7% on a year-over-year basis. During the same period in the prior year, the firm earned $4.72 EPS. Equities research analysts predict that Caterpillar Inc. will post 27.74 EPS for the current fiscal year.

Caterpillar Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, November 19th. Shareholders of record on Monday, October 26th will be paid a $1.63 dividend. The ex-dividend date is Monday, October 26th. This represents a $6.52 annualized dividend and a dividend yield of 0.9%. Caterpillar's payout ratio is 28.06%.

Caterpillar Company Profile

Caterpillar Inc is a manufacturer of construction, mining, and industrial equipment. Its product portfolio includes excavators, bulldozers, wheel loaders, motor graders, articulated trucks, and other machinery used in construction, infrastructure development, mining, quarrying, forestry, and related industries. The company also produces diesel and natural gas engines, industrial gas turbines, generator sets, and other power-generation and transportation equipment.

Caterpillar operates through businesses focused on construction industries, resource industries, and energy and transportation.

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