NYSE:CAT

Caterpillar - CAT Stock Forecast, Price & News

$247.76

+2.86 (+1.17%)

(As of 02/3/2023 12:00 AM ET)

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Today's Range: $243.13
▼
$250.95
50-Day Range: $227.29
▼
$264.54
52-Week Range: $160.60
▼
$266.04

Volume: 4.12 million shs
Average Volume: 3.79 million shs
Market Capitalization: $128.94 billion

P/E Ratio: 19.59
Dividend Yield: 1.92%
Price Target: $243.76

Institutional Ownership

Caterpillar MarketRank™ Forecast

Analyst Rating: Hold
2.47 Rating Score
Upside/Downside: 1.6% Downside
$243.76 Price Target
Short Interest: Healthy
1.63% of Float Sold Short
Dividend Strength: Strong
Based on Four Factors
Sustainability: -3.18
Upright™ Environmental Score
News Sentiment: 0.28
Based on 37 Articles This Week
Insider Trading: Selling Shares
$13.45 M Sold Last Quarter
Proj. Earnings Growth: 6.09%
From $15.26 to $16.19 Per Share

Overall MarketRank^™

MarketRank is calculated as an average of available category scores, with extra weight given to analysis and valuation.

2.49 out of 5 stars

Industrial Products Sector

49th out of 175 stocks

Construction Machinery Industry

2nd out of 6 stocks

2.2

Analyst's Opinion

Consensus Rating
Caterpillar has received a consensus rating of Hold. The company's average rating score is 2.47, and is based on 9 buy ratings, 7 hold ratings, and 1 sell rating.
Price Target Upside/Downside
According to analysts' consensus price target of $243.76, Caterpillar has a forecasted downside of 1.6% from its current price of $247.76.
Amount of Analyst Coverage
Caterpillar has been the subject of 8 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

3.0

Short Interest

Percentage of Shares Shorted
1.63% of the float of Caterpillar has been sold short.
Short Interest Ratio / Days to Cover
Caterpillar has a short interest ratio ("days to cover") of 2.6, which is generally considered an acceptable ratio of short interest to trading volume.
Change versus previous month
Short interest in Caterpillar has recently increased by 5.47%, indicating that investor sentiment is decreasing significantly.

4.2

Dividend Strength

Dividend Yield
Caterpillar pays a meaningful dividend of 1.92%, higher than the bottom 25% of all stocks that pay dividends.
Dividend Growth
Caterpillar has been increasing its dividend for 30 years.
Dividend Coverage
The dividend payout ratio of Caterpillar is 37.94%. This payout ratio is at a healthy, sustainable level, below 75%.
Dividend Sustainability
Based on earnings estimates, Caterpillar will have a dividend payout ratio of 29.65% next year. This indicates that Caterpillar will be able to sustain or increase its dividend.

1.3

Sustainability and ESG

Overall ESG (Environmental, Social, and Governance) Score
Caterpillar has received a -36.33% net impact score from Upright. The largest negative impact of Caterpillar in category "GHG emissions" seems to be driven mostly by its "Road construction machines", "Industrial equipment rentals", "Backhoe loaders", "Loader tractors for the construction industry", "Motor graders for the construction industry", and "Oil distribution equipment" products. See details.
Environmental Sustainability
The Environmental Impact score for Caterpillar is -3.18.

3.5

News and Social Media Coverage

News Sentiment
Caterpillar has a news sentiment score of 0.28. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a lower news sentiment than the 0.58 average news sentiment score of Industrial Products companies.
News Coverage This Week
MarketBeat has tracked 37 news articles for Caterpillar this week, compared to 12 articles on an average week.
Social Mentions This Week
MarketBeat has tracked 6 reddit mentions for Caterpillar this week, compared to 1 mention on an average week.
Search Interest
221 people have searched for CAT on MarketBeat in the last 30 days. This is an increase of 97% compared to the previous 30 days.
MarketBeat Follows
64 people have added Caterpillar to their MarketBeat watchlist in the last 30 days. This is an increase of 33% compared to the previous 30 days.

2.5

Company Ownership

Insider Buying vs. Insider Selling
In the past three months, Caterpillar insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $13,452,445.00 in company stock.
Percentage Held by Insiders
Only 0.27% of the stock of Caterpillar is held by insiders.
Percentage Held by Institutions
68.02% of the stock of Caterpillar is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

1.9

Earnings and Valuation

Earnings Growth
Earnings for Caterpillar are expected to grow by 6.09% in the coming year, from $15.26 to $16.19 per share.
Price to Earnings Ratio vs. the Market
The P/E ratio of Caterpillar is 19.59, which means that it is trading at a less expensive P/E ratio than the market average P/E ratio of about 144.52.
Price to Earnings Ratio vs. Sector
The P/E ratio of Caterpillar is 19.59, which means that it is trading at a less expensive P/E ratio than the Industrial Products sector average P/E ratio of about 20.08.
Price to Earnings Growth Ratio
Caterpillar has a PEG Ratio of 1.36. PEG Ratios above 1 indicate that a company could be overvalued.
Price to Book Value per Share Ratio
Caterpillar has a P/B Ratio of 8.11. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

See Top Rated MarketRank™ Stocks Here

About Caterpillar (NYSE:CAT) Stock

Caterpillar Inc. is a U.S.-based manufacturing company specializing in construction and agricultural equipment. It is the world's largest manufacturer of this equipment by market cap and revenue. The company is a member of the Forbes Fortune 500 and ranked 73rd in 2022. It is also a member of the S&P 500, the Dow Jones Industrial Average, the Russell 1000 and the S&P 100. Its earnings topped $58 billion in 2022, and it is a Dividend Aristocrat. The company's headquarters has moved several times and currently resides in Irving, Texas.

Caterpillar Inc. traces its roots back to the Holt Manufacturing Company, which began operations in 1890. The company manufactured steam tractors and sought to develop the technology for widespread use. The tractors of the time were large and heavy and sank quickly into the mud and other soft ground conditions. The solution, first tested on Thanksgiving Day 1904, was to mount a track of boards to the wheels, which provided traction while keeping the wheels out of the mud.

The Holt Manufacturing Company made several technological advancements and acquired several patents by 1907 and 1910. The company commenced operations in a new facility in 1910, incorporating the latest designs. By 1912, it had grown from six employees to over 600. The company also acquired a key patent from a U.K. manufacturer in 1911 that helped solidify its position as the world's leading manufacturer of tractors.

World War I launched the company to global success. The Allies used the company's tractors for front-line duty in many capacities and production quickly ramped up to meet the need. The new designs were larger and incorporated heavier components that would later hurt the company's business. Sluggish sales plagued the postwar period because the war-focused tractors were unsuitable for farming and there were many of them around.

The pain was felt by more than one tractor company at the time and resulted in the merger of Holt Manufacturing Company with the C.L. Best Tractor Company. The C.L. Best Tractor Company had tractors more suitable for farming but debts it could not service on its own. Together, the company became the Caterpillar Tractor Company and the company of today. The company operated as Caterpillar Tractor Company until 1986, when it reorganized and changed its name to Caterpillar Inc.

The modern Caterpillar Inc. manufactures and sells a wide range of heavy, medium and light-duty equipment, vehicles, engines and turbines. The company operates in five segments: construction industries, resource industries, energy and transportation, financial products and an "other" segment. Its products are easily recognizable by bold yellow coloring and the Caterpillar logo. Products include heavy trucks, bulldozers, earth movers, mining equipment, skid steers and excavators, among many others.

Caterpillar Inc. began paying a quarterly dividend in 1933. The company started its latest round of distribution increases in 1992 and has increased its payment annually.

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CAT Stock News Headlines

January 31, 2023 | marketbeat.com

Will Caterpillar Dig Its Way To Another Buying Opportunity?

Caterpillar's results were hampered by FX but that headwind appears to be diminishing and capital return plans for 2023 should help support share prices.

January 12, 2023 | marketbeat.com

Deere, Catepillar, PACCAR, Machinery Stocks You Need to Know (CAT)

Farm and heavy construction machinery makers fared quite well in 2022. Several of the factors that drove the outperformance remain in place heading into 2023.

February 4, 2023 | Tradewins (Ad)

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January 10, 2023 | marketbeat.com

Mobileye Expects $17.5 Billion Future For Its Driver Assist Tech (CAT)

Mobileye Global, which was spun off from Intel in October, posted in each of the past three sessions. The company expects $17.5 billion in revenue by 2030.

January 4, 2023 | marketbeat.com

MarketBeat: Week in Review 12/19 – 12/23 (CAT)

Economic data is making investors say Bah Humbug! While you're celebrating this holiday weekend here are some of the top stories from MarketBeat analysts