Sun Financial Inc Makes New Investment in Caterpillar Inc. $CAT

Key Points

• Sun Financial opened a new position in Caterpillar (NYSE:CAT) in Q4, buying 2,455 shares valued at about $1.41 million.
• Caterpillar beat Q1 estimates with non‑GAAP EPS of $5.54 (vs. $4.65 expected) and revenue of $17.42B, spurring multiple analyst price‑target increases and bullish commentary tied to data‑center/AI and power‑generation demand.
• Institutional ownership is high at 70.98% with large additions from firms like Wellington, MFS, BNY Mellon, Amundi and Vanguard, while insiders have sold roughly 60,164 shares (~$43.7M) in the past three months.

Sun Financial Inc bought a new position in shares of Caterpillar Inc. (NYSE:CAT - Free Report) during the 4th quarter, according to the company in its most recent disclosure with the SEC. The fund bought 2,455 shares of the industrial products company's stock, valued at approximately $1,406,000.

A number of other hedge funds have also recently modified their holdings of CAT. Wellington Management Group LLP grew its holdings in shares of Caterpillar by 3,949.8% in the third quarter. Wellington Management Group LLP now owns 5,228,058 shares of the industrial products company's stock valued at $2,494,568,000 after purchasing an additional 5,098,964 shares during the period. Massachusetts Financial Services Co. MA grew its holdings in shares of Caterpillar by 1,851.8% in the third quarter. Massachusetts Financial Services Co. MA now owns 1,830,414 shares of the industrial products company's stock valued at $873,382,000 after purchasing an additional 1,736,631 shares during the period. Bank of New York Mellon Corp grew its holdings in shares of Caterpillar by 20.7% in the third 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 purchasing an additional 609,023 shares during the period. Amundi grew its holdings in shares of Caterpillar by 24.3% in the third quarter. Amundi now owns 2,375,710 shares of the industrial products company's stock valued at $1,176,870,000 after purchasing an additional 464,036 shares during the period. Finally, Vanguard Group Inc. grew its holdings in shares of Caterpillar by 1.0% in 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 purchasing an additional 442,164 shares during the period. Hedge funds and other institutional investors own 70.98% of the company's stock.

More Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Q1 beat — Caterpillar reported Q1 revenue of $17.42B and non‑GAAP EPS of $5.54, topping estimates; management cited strong data‑center demand and capacity expansion that helped drive backlog and margins. CAT Q1 Deep Dive: Data Center Demand and Capacity Expansion Drive Strong Results
• Positive Sentiment: BofA hike — Bank of America raised its price target (most recently to $989) and kept a Buy rating, citing power-generation and energy tailwinds, record backlog and parts recovery as drivers of further upside. BofA Securities adjusts Caterpillar price target to $989
• Positive Sentiment: Jefferies raises target — Jefferies increased its price target to $1,045, signaling conviction in continued demand across CAT’s end markets and supporting analyst momentum behind the stock. Jefferies Financial Group Increases Caterpillar Price Target to $1,045.00
• Positive Sentiment: Wave of analyst bullishness — Additional broker notes (JPMorgan, Robert W. Baird, Wells Fargo, Daiwa, Sanford Bernstein, Citigroup) either raised targets or flagged CAT as a buy/overweight, reinforcing the buy-side narrative. Caterpillar Stock Price Expected to Rise, Robert W. Baird Analyst Says
• Positive Sentiment: Quality TV endorsement — Jim Cramer highlighted Caterpillar as a beneficiary of the massive data‑center/AI infrastructure build‑out, which reinforces investor focus on CAT’s exposure to power, cooling and on-site generation demand. Jim Cramer on Caterpillar: “It’s Got a Ton of Business From the Data Center Build-Out”
• Neutral Sentiment: Talent pipeline/newsflow — Caterpillar signed 16 local high‑school seniors to manufacturing roles (hiring/PR positive but not material to near‑term earnings). Caterpillar signs 16 high school seniors to manufacturing roles

Wall Street Analysts Forecast Growth

A number of equities research analysts recently issued reports on CAT shares. Truist Financial set a $1,043.00 price objective on shares of Caterpillar in a report on Friday. Williams Trading set a $825.00 target price on shares of Caterpillar in a research report on Tuesday, March 10th. Morgan Stanley set a $915.00 target price on shares of Caterpillar and gave the stock an "equal weight" rating in a research note on Friday. Sanford C. Bernstein increased their target price on shares of Caterpillar from $769.00 to $879.00 and gave the stock a "market perform" rating in a research note on Friday. Finally, Oppenheimer set a $980.00 target price on shares of Caterpillar and gave the stock an "outperform" rating in a research note on Friday. Sixteen analysts have rated the stock with a Buy rating and nine have assigned a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $862.32.

Insider Buying and Selling at Caterpillar

In other news, CEO Joseph E. Creed sold 2,500 shares of the stock in a transaction dated Thursday, March 5th. The shares were sold at an average price of $718.93, for a total transaction of $1,797,325.00. Following the sale, the chief executive officer owned 35,083 shares of the company's stock, valued at approximately $25,222,221.19. This represents a 6.65% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Anthony D. Fassino sold 7,891 shares of the stock in a transaction dated Friday, February 13th. The stock was sold at an average price of $776.90, for a total transaction of $6,130,517.90. Following the sale, the insider directly owned 46,643 shares in the company, valued at $36,236,946.70. This represents a 14.47% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 60,164 shares of company stock valued at $43,748,068. Corporate insiders own 0.33% of the company's stock.

Caterpillar Trading Up 0.1%

Shares of CAT stock opened at $890.15 on Monday. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.35 and a quick ratio of 0.81. The firm has a market cap of $414.17 billion, a PE ratio of 44.31, a price-to-earnings-growth ratio of 2.04 and a beta of 1.63. The company has a 50-day moving average of $746.86 and a two-hundred day moving average of $656.99. Caterpillar Inc. has a 1-year low of $318.11 and a 1-year high of $905.00.

Caterpillar (NYSE:CAT - Get Free Report) last issued its quarterly earnings results on Thursday, April 30th. The industrial products company reported $5.54 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.65 by $0.89. The business had revenue of $17.42 billion for the quarter, compared to analysts' expectations of $16.53 billion. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The business's quarterly revenue was up 22.2% on a year-over-year basis. During the same quarter in the prior year, the company earned $4.25 earnings per share. On average, analysts predict that Caterpillar Inc. will post 23.08 EPS for the current year.

Caterpillar Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, May 19th. Stockholders of record on Monday, April 20th will be given a dividend of $1.51 per share. This represents a $6.04 annualized dividend and a dividend yield of 0.7%. The ex-dividend date of this dividend is Monday, April 20th. Caterpillar's dividend payout ratio is currently 30.06%.

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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