Caterpillar (NYSE:CAT) Downgraded by StockNews.com

Caterpillar (NYSE:CAT) was downgraded by research analysts at StockNews.com from a “buy” rating to a “hold” rating in a research note issued to investors on Tuesday.

Other equities analysts also recently issued reports about the stock. Truist Financial reiterated a “buy” rating and set a $399.00 price objective (up from $390.00) on shares of Caterpillar in a research note on Wednesday, August 7th. Raymond James assumed coverage on Caterpillar in a research report on Friday, June 28th. They set a “market perform” rating on the stock. Evercore ISI reduced their price target on Caterpillar from $338.00 to $321.00 and set an “in-line” rating for the company in a research report on Monday, August 19th. Barclays raised their price objective on Caterpillar from $315.00 to $335.00 and gave the company an “equal weight” rating in a research report on Wednesday, August 7th. Finally, UBS Group boosted their target price on shares of Caterpillar from $270.00 to $285.00 and gave the stock a “sell” rating in a report on Wednesday, August 7th. Two equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and seven have given a buy rating to the stock. According to MarketBeat.com, Caterpillar presently has an average rating of “Hold” and a consensus target price of $336.31.

Caterpillar Trading Up 4.0 %

Shares of Caterpillar stock traded up $14.83 on Tuesday, hitting $386.00. 4,023,436 shares of the company traded hands, compared to its average volume of 2,681,492. Caterpillar has a 52 week low of $223.76 and a 52 week high of $389.43. The company has a market cap of $188.77 billion, a PE ratio of 17.43, a PEG ratio of 1.56 and a beta of 1.10. The stock’s 50 day moving average price is $344.70 and its 200-day moving average price is $345.44. The company has a current ratio of 1.28, a quick ratio of 0.78 and a debt-to-equity ratio of 1.39.

Caterpillar (NYSE:CAT) last posted its quarterly earnings results on Tuesday, August 6th. The industrial products company reported $5.99 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.53 by $0.46. The business had revenue of $16.69 billion for the quarter, compared to the consensus estimate of $16.91 billion. Caterpillar had a return on equity of 59.88% and a net margin of 16.58%. The business’s revenue was down 3.6% compared to the same quarter last year. During the same quarter in the prior year, the company earned $5.55 EPS. Equities research analysts predict that Caterpillar will post 21.88 EPS for the current year.

Caterpillar announced that its Board of Directors has approved a share buyback program on Wednesday, June 12th that permits the company to buyback $20.00 billion in shares. This buyback authorization permits the industrial products company to reacquire up to 12.7% of its shares through open market purchases. Shares buyback programs are often an indication that the company’s board believes its stock is undervalued.

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 value of $1,119,081.60. Following the sale, the insider now owns 33,442 shares in the company, valued at $11,750,181.12. The sale was disclosed in a legal filing with the SEC, which is available through this link. In other news, insider Cheryl H. Johnson sold 1,508 shares of the company’s stock in a transaction dated Tuesday, July 16th. The stock was sold at an average price of $350.00, for a total value of $527,800.00. Following the sale, the insider now owns 18,515 shares in the company, valued at $6,480,250. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Anthony D. Fassino sold 3,185 shares of Caterpillar 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 transaction, the insider now owns 33,442 shares of the company’s stock, valued at $11,750,181.12. The disclosure for this sale can be found here. In the last 90 days, insiders sold 7,668 shares of company stock valued at $2,665,760. 0.33% of the stock is owned by company insiders.

Hedge Funds Weigh In On Caterpillar

Several institutional investors have recently made changes to their positions in the company. Acadian Asset Management LLC increased its position in shares of 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 buying an additional 1,327 shares in the last quarter. Diversify Advisory Services LLC purchased a new stake in Caterpillar in the 1st quarter worth $926,000. Natixis Advisors LLC raised 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 acquiring an additional 9,321 shares during the period. Bailard Inc. lifted its holdings in Caterpillar by 3.1% during the second quarter. Bailard Inc. now owns 13,435 shares of the industrial products company’s stock valued at $4,475,000 after purchasing an additional 398 shares in the last quarter. Finally, Olistico Wealth LLC grew its position in shares of Caterpillar by 3.4% in the fourth quarter. Olistico Wealth LLC now owns 2,130 shares of the industrial products company’s stock valued at $630,000 after purchasing an additional 70 shares during the period. 70.98% of the stock is owned by hedge funds and other institutional investors.

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.