Q3 EPS Estimates for Caterpillar Boosted by Zacks Research

Key Points

• Zacks Research raised its Q3 2026 EPS estimate for Caterpillar to $5.70 (from $5.66) and provided forward estimates up to FY2028 EPS of $29.74, while consensus full‑year EPS sits at $22.89.
• Analyst sentiment is broadly positive: Wells Fargo lifted its price target to $960 (overweight), and across the Street there are 16 Buys, 7 Holds and 1 Sell with an average price target of $767.77 (MarketBeat: "Moderate Buy").
• Fundamentals and activity: CAT opened around $829.84 with a market cap of ~$386B and a P/E of ~44.1; the company pays a quarterly dividend of $1.51 (0.7% yield) and insiders sold roughly 125,950 shares (~$88.6M) over the last 90 days.

Caterpillar Inc. (NYSE:CAT - Free Report) - Investment analysts at Zacks Research upped their Q3 2026 earnings per share estimates for Caterpillar in a research report issued on Friday, April 24th. Zacks Research analyst Team now expects that the industrial products company will post earnings of $5.70 per share for the quarter, up from their previous estimate of $5.66. The consensus estimate for Caterpillar's current full-year earnings is $22.89 per share. Zacks Research also issued estimates for Caterpillar's Q4 2026 earnings at $6.16 EPS, Q3 2027 earnings at $6.02 EPS, Q4 2027 earnings at $7.40 EPS and FY2028 earnings at $29.74 EPS.

A number of other analysts have also recently weighed in on CAT. Raymond James Financial reaffirmed a "market perform" rating on shares of Caterpillar in a research note on Wednesday, January 7th. Wells Fargo & Company increased their price target on Caterpillar from $870.00 to $960.00 and gave the company an "overweight" rating in a research note on Tuesday, April 21st. Daiwa Securities Group raised their price objective on Caterpillar from $640.00 to $790.00 in a report on Wednesday, February 25th. CICC Research assumed coverage on Caterpillar in a research report on Friday, February 6th. They set an "outperform" rating on the stock. Finally, Wolfe Research increased their target price on Caterpillar from $670.00 to $750.00 and gave the company an "outperform" rating in a research report on Tuesday, March 31st. Sixteen research analysts have rated the stock with a Buy rating, seven have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the stock currently has an average rating of "Moderate Buy" and an average price target of $767.77.

Caterpillar Price Performance

CAT stock opened at $829.84 on Tuesday. The stock has a market cap of $386.12 billion, a price-to-earnings ratio of 44.09, a P/E/G ratio of 1.95 and a beta of 1.52. The company has a debt-to-equity ratio of 1.44, a current ratio of 1.44 and a quick ratio of 0.94. The company has a 50 day simple moving average of $742.02 and a 200 day simple moving average of $649.99. Caterpillar has a 1 year low of $302.17 and a 1 year high of $845.27.

Caterpillar (NYSE:CAT - Get Free Report) last posted its quarterly earnings results on Thursday, January 29th. The industrial products company reported $5.16 earnings per share for the quarter, beating analysts' consensus estimates of $4.67 by $0.49. The company 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 firm's quarterly revenue was up 17.9% compared to the same quarter last year. During the same period last year, the company posted $5.14 EPS.

Institutional Trading of Caterpillar

A number of institutional investors and hedge funds have recently added to or reduced their stakes in CAT. V Square Quantitative Management LLC raised its holdings in Caterpillar by 1.9% during the 1st quarter. V Square Quantitative Management LLC now owns 8,606 shares of the industrial products company's stock worth $6,097,000 after purchasing an additional 164 shares during the last quarter. Evolution Wealth Management Inc. lifted its position in shares of Caterpillar by 268.4% in the 1st quarter. Evolution Wealth Management Inc. now owns 70 shares of the industrial products company's stock worth $50,000 after purchasing an additional 51 shares during the period. QRG Capital Management Inc. boosted its stake in shares of Caterpillar by 4.7% in the 1st quarter. QRG Capital Management Inc. now owns 95,917 shares of the industrial products company's stock valued at $67,953,000 after purchasing an additional 4,313 shares during the last quarter. Burford Brothers Inc. increased its position in shares of Caterpillar by 0.8% during the first quarter. Burford Brothers Inc. now owns 4,025 shares of the industrial products company's stock worth $2,851,000 after buying an additional 33 shares during the period. Finally, Simplify Asset Management Inc. acquired a new stake in shares of Caterpillar during the first quarter worth $407,000. Institutional investors and hedge funds own 70.98% of the company's stock.

Insiders Place Their Bets

In related news, insider Anthony D. Fassino sold 7,891 shares of the firm's stock in a transaction on 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 completion of the transaction, the insider directly owned 46,643 shares of the company's stock, valued at $36,236,946.70. This trade represents a 14.47% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Joseph E. Creed sold 2,500 shares of Caterpillar stock in a transaction dated Thursday, March 5th. The stock was sold at an average price of $718.93, for a total value of $1,797,325.00. Following the transaction, the chief executive officer directly owned 35,083 shares in the company, valued at $25,222,221.19. The trade was a 6.65% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 125,950 shares of company stock valued at $88,577,390 over the last ninety days. 0.33% of the stock is currently owned by corporate insiders.

Caterpillar Dividend Announcement

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

More Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Wells Fargo raised its price target to $960 and boosted 2026–2028 EPS estimates, citing the scale-up of the Solar Turbines project and stronger forward outlook that underpins earnings upside. Wells Fargo Lifts PT on Caterpillar Inc. (CAT) And Raises 2026-2028 EPS
• Positive Sentiment: Jim Cramer publicly said he "expects a huge number" for Caterpillar, noting the company's meaningful exposure to data‑center demand — a high‑visibility endorsement that can boost short‑term retail/institutional interest. Jim Cramer on Caterpillar: “I Actually Expect a Huge Number”
• Positive Sentiment: Zacks highlights Caterpillar alongside other industrials for strong demand and backlog dynamics, reinforcing a research-based bullish view that order strength could sustain revenue and pricing power. The Zacks Analyst Blog Highlights Caterpillar, Texas Instruments, Boeing, Kewaunee Scientific and Vaso
• Neutral Sentiment: Preview pieces are setting expectations for Q1 results and key metrics beyond revenue/EPS; analysts are watching margins, dealer inventory flows and services exposure — these previews shape near‑term volatility but don’t change fundamentals by themselves. Ahead of Caterpillar (CAT) Q1 Earnings: Get Ready With Wall Street Estimates for Key Metrics
• Neutral Sentiment: Caterpillar’s recent acquisition of Monarch Tractor and a planned CFO transition (Andrew Bonfield retiring, Kyle Epley to succeed) highlight the push into automation/electric ag equipment — strategic for long term but raises integration and execution questions near term. Does Caterpillar’s Monarch Deal and CFO Shift Redraw the Bull Case for CAT’s Automation Future?
• Neutral Sentiment: Cycle analysis comparing Caterpillar and Deere frames CAT as riding momentum vs. value at Deere; useful context for relative positioning but mixed implications for CAT’s near‑term multiple. Caterpillar and Deere Hit Opposite Cycle Peaks: One Rides Momentum, One Hunts Value
• Negative Sentiment: A Seeking Alpha piece warns Caterpillar’s high P/E (cited ~43x) could reflect a “data center trap,” arguing the stock may be overpaying for anticipated growth from data‑center and services exposure — a bearish take that pressures valuation multiples. Caterpillar: The 43x P/E Data Center Trap

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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