Caterpillar (NYSE:CAT) Downgraded by Morgan Stanley to Underweight

Morgan Stanley cut shares of Caterpillar (NYSE:CAT) from an equal weight rating to an underweight rating in a report published on Monday, Marketbeat.com reports. The brokerage currently has $332.00 price objective on the industrial products company’s stock, down from their previous price objective of $349.00.

Several other analysts also recently weighed in on the stock. Citigroup lifted their price target on shares of Caterpillar from $380.00 to $445.00 and gave the company a buy rating in a research note on Wednesday, October 9th. UBS Group lifted their price target on shares of Caterpillar from $270.00 to $285.00 and gave the stock a sell rating in a report on Wednesday, August 7th. StockNews.com lowered shares of Caterpillar from a buy rating to a hold rating in a report on Tuesday, September 24th. Bank of America boosted their price objective on shares of Caterpillar from $376.00 to $434.00 and gave the company a buy rating in a report on Monday, September 30th. Finally, Truist Financial boosted their target price on shares of Caterpillar from $399.00 to $456.00 and gave the company a buy rating in a research report on Wednesday, October 9th. Three investment analysts have rated the stock with a sell rating, nine have assigned a hold rating and seven have given a buy rating to the company. According to data from MarketBeat, the stock presently has an average rating of Hold and a consensus price target of $355.50.

Caterpillar Stock Down 2.0 %

CAT stock opened at $393.95 on Monday. The company has a debt-to-equity ratio of 1.39, a quick ratio of 0.78 and a current ratio of 1.28. The company has a market capitalization of $192.66 billion, a price-to-earnings ratio of 17.79, a price-to-earnings-growth ratio of 1.85 and a beta of 1.10. The business’s 50 day moving average price is $358.99 and its two-hundred day moving average price is $349.46. Caterpillar has a fifty-two week low of $223.76 and a fifty-two week high of $403.60.

Caterpillar (NYSE:CAT) last announced its earnings results on Tuesday, August 6th. The industrial products company reported $5.99 EPS for the quarter, topping analysts’ consensus estimates of $5.53 by $0.46. Caterpillar had a return on equity of 59.88% and a net margin of 16.58%. The company had revenue of $16.69 billion for the quarter, compared to analysts’ expectations of $16.91 billion. During the same period last year, the firm earned $5.55 EPS. Caterpillar’s revenue for the quarter was down 3.6% compared to the same quarter last year. As a group, analysts forecast that Caterpillar will post 21.91 earnings per share for the current fiscal year.

Caterpillar Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, November 20th. Shareholders of record on Monday, October 21st will be paid a dividend of $1.41 per share. The ex-dividend date is Monday, October 21st. This represents a $5.64 annualized dividend and a yield of 1.43%. Caterpillar’s dividend payout ratio is currently 25.46%.

Insiders Place Their Bets

In related news, insider Anthony D. Fassino sold 3,185 shares of the company’s stock in a transaction that occurred on Friday, August 30th. The stock was sold at an average price of $351.36, for a total transaction of $1,119,081.60. Following the sale, the insider now directly owns 33,442 shares of the company’s stock, valued at approximately $11,750,181.12. This represents a 0.00 % decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is accessible through this hyperlink. In other news, insider Cheryl H. Johnson sold 2,975 shares of the firm’s stock in a transaction dated Thursday, August 22nd. The stock was sold at an average price of $342.48, for a total transaction of $1,018,878.00. Following the completion of the sale, the insider now directly owns 15,615 shares of the company’s stock, valued at $5,347,825.20. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Anthony D. Fassino sold 3,185 shares of the firm’s stock in a transaction that occurred on Friday, August 30th. The shares were sold at an average price of $351.36, for a total value of $1,119,081.60. Following the completion of the transaction, the insider now directly owns 33,442 shares in the company, valued at $11,750,181.12. The trade was a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. 0.33% of the stock is owned by insiders.

Hedge Funds Weigh In On Caterpillar

Institutional investors have recently bought and sold shares of the business. Acadian Asset Management LLC grew its stake in Caterpillar by 17.2% in the first quarter. Acadian Asset Management LLC now owns 9,037 shares of the industrial products company’s stock valued at $3,308,000 after acquiring an additional 1,327 shares during the period. Alpha Cubed Investments LLC grew its position in shares of Caterpillar by 5.6% in the third quarter. Alpha Cubed Investments LLC now owns 116,566 shares of the industrial products company’s stock valued at $45,591,000 after purchasing an additional 6,212 shares during the last quarter. Diversify Advisory Services LLC acquired a new stake in Caterpillar during the first quarter worth approximately $926,000. First Affirmative Financial Network acquired a new stake in Caterpillar during the third quarter worth approximately $204,000. Finally, Natixis Advisors LLC grew its position in Caterpillar by 3.5% during the second quarter. Natixis Advisors LLC now owns 278,259 shares of the industrial products company’s stock worth $92,688,000 after buying an additional 9,321 shares in the last quarter. Institutional investors own 70.98% of the company’s stock.

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.