Q3 EPS Estimates for Caterpillar Boosted by Zacks Research

Key Points

• Zacks Research has increased its Q3 2025 earnings per share estimate for Caterpillar from $4.45 to $4.47, while the consensus estimate for the full year is $19.86 per share.
• Multiple analysts have updated their ratings and price targets for Caterpillar, with JPMorgan raising it to $520 and Bank of America to $495, signaling a strong outlook for the stock.
• Caterpillar's quarterly dividend was raised to $1.51 per share, reflecting a commitment to return value to shareholders, with an annualized yield of 1.4%.

Caterpillar Inc. (NYSE:CAT - Free Report) - Zacks Research upped their Q3 2025 earnings per share (EPS) estimates for shares of Caterpillar in a research note issued on Tuesday, August 19th. Zacks Research analyst Team now anticipates that the industrial products company will earn $4.47 per share for the quarter, up from their prior estimate of $4.45. The consensus estimate for Caterpillar's current full-year earnings is $19.86 per share. Zacks Research also issued estimates for Caterpillar's FY2025 earnings at $17.91 EPS, Q2 2026 earnings at $5.10 EPS and Q4 2026 earnings at $5.31 EPS.

CAT has been the topic of a number of other reports. Baird R W upgraded Caterpillar from a "hold" rating to a "strong-buy" rating in a research note on Tuesday, May 13th. Barclays boosted their price objective on Caterpillar from $383.00 to $425.00 and gave the company an "equal weight" rating in a research note on Wednesday, August 6th. JPMorgan Chase & Co. lifted their target price on Caterpillar from $475.00 to $520.00 and gave the company an "overweight" rating in a report on Wednesday, August 6th. Robert W. Baird lifted their target price on Caterpillar from $395.00 to $422.00 and gave the company an "outperform" rating in a report on Friday, June 20th. Finally, Sanford C. Bernstein reaffirmed a "market perform" rating on shares of Caterpillar in a report on Monday, July 14th. Two research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating and five have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and a consensus target price of $450.87.

Caterpillar Stock Performance

Shares of NYSE CAT traded up $17.1140 during mid-day trading on Thursday, reaching $435.0040. 3,784,363 shares of the company's stock were exchanged, compared to its average volume of 3,368,960. The firm has a market capitalization of $203.79 billion, a price-to-earnings ratio of 22.13, a price-to-earnings-growth ratio of 2.60 and a beta of 1.40. Caterpillar has a 52 week low of $267.30 and a 52 week high of $441.15. The company has a debt-to-equity ratio of 1.50, a current ratio of 1.34 and a quick ratio of 0.81. The firm has a 50-day moving average price of $405.71 and a two-hundred day moving average price of $357.80.

Caterpillar (NYSE:CAT - Get Free Report) last released its earnings results on Tuesday, August 5th. The industrial products company reported $4.72 EPS for the quarter, missing analysts' consensus estimates of $4.88 by ($0.16). The business had revenue of $16.57 billion for the quarter, compared to the consensus estimate of $16.14 billion. Caterpillar had a return on equity of 48.95% and a net margin of 14.95%.The company's revenue for the quarter was down .7% on a year-over-year basis. During the same quarter in the previous year, the firm earned $5.99 earnings per share.

Institutional Investors Weigh In On Caterpillar

Several hedge funds and other institutional investors have recently added to or reduced their stakes in CAT. Kilter Group LLC purchased a new stake in shares of Caterpillar during the second quarter valued at $27,000. Mid American Wealth Advisory Group Inc. purchased a new stake in shares of Caterpillar during the second quarter worth about $28,000. Compass Financial Services Inc grew its position in shares of Caterpillar by 49.2% during the first quarter. Compass Financial Services Inc now owns 94 shares of the industrial products company's stock worth $31,000 after purchasing an additional 31 shares in the last quarter. Family Legacy Financial Solutions LLC purchased a new stake in shares of Caterpillar during the second quarter worth about $32,000. Finally, RiverPark Advisors LLC purchased a new stake in shares of Caterpillar during the second quarter worth about $32,000. 70.98% of the stock is owned by hedge funds and other institutional investors.

Insider Activity at Caterpillar

In other Caterpillar news, Director Susan C. Schwab sold 2,324 shares of the business's stock in a transaction that occurred on Friday, August 15th. The stock was sold at an average price of $410.00, for a total value of $952,840.00. Following the completion of the sale, the director owned 6,917 shares in the company, valued at approximately $2,835,970. The trade was a 25.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Jason Kaiser sold 2,161 shares of the company's stock in a transaction that occurred on Monday, August 11th. The shares were sold at an average price of $417.70, for a total value of $902,649.70. Following the transaction, the insider owned 8,632 shares of the company's stock, valued at approximately $3,605,586.40. This represents a 20.02% decrease in their position. The disclosure for this sale can be found here. 0.33% of the stock is owned by corporate insiders.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 20th. Shareholders of record on Monday, July 21st were paid a $1.51 dividend. This is an increase from Caterpillar's previous quarterly dividend of $1.41. This represents a $6.04 annualized dividend and a yield of 1.4%. The ex-dividend date of this dividend was Monday, July 21st. Caterpillar's payout ratio is currently 30.72%.

Caterpillar Company 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.