SlateStone Wealth LLC Acquires 4,782 Shares of Caterpillar Inc. (NYSE:CAT)

Key Points

• SlateStone Wealth LLC increased its stake in Caterpillar Inc. by 11.9% during the first quarter, acquiring a total of 45,049 shares valued at approximately $14.9 million.
• Caterpillar's stock has seen a recent trading increase of 1.1%, with current shares priced at $434.69 and a 1-year high of $436.83.
• The company announced a quarterly dividend increase to $1.51 per share, reflecting a positive change from the previous $1.41 and a current dividend yield of 1.39%.

SlateStone Wealth LLC lifted its position in Caterpillar Inc. (NYSE:CAT - Free Report) by 11.9% in the 1st quarter, according to the company in its most recent filing with the SEC. The institutional investor owned 45,049 shares of the industrial products company's stock after acquiring an additional 4,782 shares during the quarter. Caterpillar makes up about 1.5% of SlateStone Wealth LLC's holdings, making the stock its 14th biggest holding. SlateStone Wealth LLC's holdings in Caterpillar were worth $14,857,000 at the end of the most recent reporting period.

Other hedge funds have also made changes to their positions in the company. Investment Management Corp VA ADV purchased a new position in shares of Caterpillar during the 4th quarter valued at $33,000. Curat Global LLC purchased a new position in shares of Caterpillar during 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 acquired a new position in shares of Caterpillar during the 4th quarter worth $36,000. Hedge funds and other institutional investors own 70.98% of the company's stock.

Wall Street Analyst Weigh In

Several research analysts have recently commented on CAT shares. UBS Group upgraded shares of Caterpillar from a "sell" rating to a "neutral" rating and increased their price target for the stock from $272.00 to $357.00 in a research note on Friday, May 16th. Citigroup restated a "buy" rating and set a $420.00 price target (up previously from $370.00) on shares of Caterpillar in a research note on Tuesday, June 24th. Evercore ISI dropped their price target on shares of Caterpillar from $375.00 to $373.00 and set an "in-line" rating on the stock in a research note on Monday, May 19th. 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 note on Tuesday, July 22nd. Finally, Melius Research upgraded 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 note on Wednesday, July 9th. Seven research analysts have rated the stock with a hold rating, ten have assigned a buy rating and two have issued a strong buy rating to the company's stock. According to data from MarketBeat, Caterpillar currently has a consensus rating of "Moderate Buy" and a consensus price target of $419.33.

Insiders Place Their Bets

In related news, Director David Maclennan purchased 375 shares of Caterpillar stock in a transaction on Wednesday, May 7th. The stock was purchased at an average cost of $320.70 per share, with a total value of $120,262.50. Following the acquisition, the director directly owned 6,653 shares in the company, valued at approximately $2,133,617.10. This trade represents a 5.97% increase in their ownership of the stock. The acquisition was disclosed in a filing with the SEC, which is accessible through this link. 0.33% of the stock is currently owned by company insiders.

Caterpillar Stock Performance

Caterpillar stock traded down $9.17 during mid-day trading on Friday, reaching $428.85. The company had a trading volume of 4,027,319 shares, compared to its average volume of 2,706,497. The company has a quick ratio of 0.77, a current ratio of 1.32 and a debt-to-equity ratio of 1.43. Caterpillar Inc. has a 52 week low of $267.30 and a 52 week high of $441.15. The company has a 50 day moving average of $383.95 and a 200-day moving average of $353.96. The firm has a market cap of $202.01 billion, a price-to-earnings ratio of 20.90, a PEG ratio of 2.72 and a beta of 1.38.

Caterpillar (NYSE:CAT - Get Free Report) last issued its quarterly earnings results on Wednesday, April 30th. The industrial products company reported $4.25 earnings per share for the quarter, missing analysts' consensus estimates of $4.35 by ($0.10). Caterpillar had a net margin of 15.71% and a return on equity of 53.77%. The company had revenue of $14.25 billion during the quarter, compared to the consensus estimate of $14.64 billion. During the same period last year, the company earned $5.60 earnings per share. Caterpillar's revenue for the quarter was down 9.8% on a year-over-year basis. On average, sell-side analysts expect that Caterpillar Inc. will post 19.86 EPS for the current fiscal year.

Caterpillar Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, August 20th. Shareholders of record on Monday, July 21st will be issued a $1.51 dividend. This is a boost from Caterpillar's previous quarterly dividend of $1.41. The ex-dividend date of this dividend is Monday, July 21st. This represents a $6.04 dividend on an annualized basis and a yield of 1.4%. Caterpillar's payout ratio is currently 29.43%.

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.