State of Michigan Retirement System Sells 3,400 Shares of Caterpillar Inc. $CAT

Key Points

• State of Michigan Retirement System trimmed its stake in Caterpillar by 2.5% in Q4, selling 3,400 shares and leaving it with 130,472 shares valued at $74.743 million; institutional investors now own about 70.98% of the company.
• Multiple analysts have raised price targets recently (e.g., Robert W. Baird to $940, Truist to $920, HSBC to $850), leaving Caterpillar with a consensus rating of Moderate Buy and an average price target of $767.77.
• Company insiders have been net sellers—125,950 shares sold in the last 90 days (notably Lange Bob De sold 22,656 shares for ~$16.3M)—even as Caterpillar declared a $1.51 quarterly dividend payable May 19 (yield ~0.7%).

State of Michigan Retirement System trimmed its holdings in shares of Caterpillar Inc. (NYSE:CAT - Free Report) by 2.5% during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 130,472 shares of the industrial products company's stock after selling 3,400 shares during the period. State of Michigan Retirement System's holdings in Caterpillar were worth $74,743,000 at the end of the most recent quarter.

Several other hedge funds have also recently modified their holdings of CAT. Vanguard Group Inc. boosted its position in shares of Caterpillar by 1.0% during the fourth quarter. Vanguard Group Inc. now owns 46,385,185 shares of the industrial products company's stock valued at $26,572,681,000 after buying an additional 442,164 shares during the last quarter. Wellington Management Group LLP raised its position in Caterpillar by 3,949.8% in the 3rd quarter. Wellington Management Group LLP now owns 5,228,058 shares of the industrial products company's stock worth $2,494,568,000 after buying an additional 5,098,964 shares during the last quarter. Bank of New York Mellon Corp lifted its stake in Caterpillar by 20.7% during the 3rd quarter. Bank of New York Mellon Corp now owns 3,553,930 shares of the industrial products company's stock valued at $1,695,757,000 after acquiring an additional 609,023 shares during the period. Legal & General Group Plc lifted its stake in Caterpillar by 2.2% during the 3rd quarter. Legal & General Group Plc now owns 2,802,068 shares of the industrial products company's stock valued at $1,337,007,000 after acquiring an additional 58,993 shares during the period. Finally, Amundi boosted its holdings in shares of Caterpillar by 24.3% during the 3rd quarter. Amundi now owns 2,375,710 shares of the industrial products company's stock valued at $1,176,870,000 after acquiring an additional 464,036 shares during the last quarter. Hedge funds and other institutional investors own 70.98% of the company's stock.

Analysts Set New Price Targets

Several research firms have recently weighed in on CAT. Robert W. Baird boosted their price objective on shares of Caterpillar from $805.00 to $940.00 and gave the company an "outperform" rating in a report on Wednesday, April 22nd. HSBC raised their target price on shares of Caterpillar from $660.00 to $850.00 and gave the stock a "buy" rating in a report on Thursday, February 5th. Royal Bank Of Canada boosted their target price on shares of Caterpillar from $587.00 to $658.00 and gave the company a "sector perform" rating in a research note on Friday, January 30th. Truist Financial increased their price target on Caterpillar from $786.00 to $920.00 and gave the company a "buy" rating in a report on Monday, April 20th. Finally, Sanford C. Bernstein lifted their price objective on Caterpillar from $678.00 to $769.00 and gave the stock a "market perform" rating in a report on Thursday, April 9th. Sixteen equities research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat.com, Caterpillar currently has an average rating of "Moderate Buy" and a consensus price target of $767.77.

Insider Activity at Caterpillar

In other Caterpillar news, insider Lange Bob De sold 22,656 shares of the business's stock in a transaction dated Friday, February 6th. The stock was sold at an average price of $720.11, for a total transaction of $16,314,812.16. Following the completion of the sale, the insider owned 79,953 shares of the company's stock, valued at approximately $57,574,954.83. The trade was a 22.08% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Rodney Michael Shurman sold 2,278 shares of the company's stock in a transaction dated Monday, February 23rd. The stock was sold at an average price of $759.61, for a total value of $1,730,391.58. Following the completion of the sale, the insider owned 1,443 shares of the company's stock, valued at approximately $1,096,117.23. The trade was a 61.22% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 125,950 shares of company stock valued at $88,577,390 in the last ninety days. Corporate insiders own 0.33% of the company's stock.

Key Stories Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Robert W. Baird upgraded CAT and raised its price target sharply (from $805 to $940), citing stronger fundamentals and boosting short‑term sentiment — this upgrade helped drive recent upside. Caterpillar NYSE: CAT Stock Price Up 3.3% Following Analyst Upgrade
• Positive Sentiment: Caterpillar reaffirmed its dividend (quarterly $1.51, paid May 19), supporting shareholder-return expectations and attracting income-focused investors. Caterpillar Inc. (CAT) Asserts Commitment to Shareholder Value Amid Management Change
• Positive Sentiment: Analysts and screens expect Caterpillar earnings to continue growing into the next report — that prospect of further earnings beats is a fundamental positive supporting the rally. Caterpillar (CAT) Earnings Expected to Grow: Should You Buy?
• Positive Sentiment: Longer-term thematic coverage highlights CAT’s exposure to AI/data‑center power and automation, reframing the company beyond traditional heavy equipment and supporting a higher multiple for some investors. More Than Just Dirt: Caterpillar Is the AI Stock Nobody Saw Coming
• Neutral Sentiment: CFO Andrew Bonfield announced retirement in October; internal successor Kyle Epley will take over in May — management continuity reduces disruption risk, but any leadership change bears watching. Caterpillar (CAT) CFO Andrew Bonfield to Retire
• Neutral Sentiment: Several pieces call out the very strong short‑term run (30–90 day gains) and prompt a valuation check — this fuels both bullish momentum and investor caution about stretched multiples. Caterpillar (CAT) Valuation Check After A Strong Short Term Share Price Run
• Negative Sentiment: Morgan Stanley raised its numerical target slightly but kept an Underweight rating, signaling macro and cyclical downside risk to earnings that could pressure the stock if industrial demand softens. Morgan Stanley Ups Caterpillar (CAT) Target to $430, Flags Macro Risks to Earnings
• Negative Sentiment: Critical commentary and "avoid" pieces warn that the post‑earnings rally may have priced in too much growth — these narratives can accelerate profit‑taking by momentum traders. 3 Reasons to Avoid CAT and 1 Stock to Buy Instead

Caterpillar Stock Performance

Shares of NYSE CAT opened at $830.59 on Monday. Caterpillar Inc. has a 12-month low of $302.17 and a 12-month high of $845.27. The firm has a market capitalization of $386.46 billion, a price-to-earnings ratio of 44.13, a price-to-earnings-growth ratio of 1.95 and a beta of 1.52. The company has a current ratio of 1.44, a quick ratio of 0.94 and a debt-to-equity ratio of 1.44. The firm has a 50 day moving average of $740.91 and a 200 day moving average of $647.67.

Caterpillar (NYSE:CAT - Get Free Report) last released its quarterly earnings results on Thursday, January 29th. The industrial products company reported $5.16 earnings per share for the quarter, topping the consensus estimate of $4.67 by $0.49. The business had revenue of $19.13 billion for the quarter, compared to the consensus estimate of $17.81 billion. Caterpillar had a net margin of 13.14% and a return on equity of 45.76%. The company's quarterly revenue was up 17.9% on a year-over-year basis. During the same period last year, the firm earned $5.14 earnings per share. On average, research analysts anticipate that Caterpillar Inc. will post 22.89 earnings per share for the current year.

Caterpillar Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, May 19th. Investors of record on Monday, April 20th will be issued a $1.51 dividend. This represents a $6.04 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date of this dividend is Monday, April 20th. Caterpillar's dividend payout ratio (DPR) is currently 32.09%.

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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