Caterpillar (NYSE:CAT) Shares Down 0.1%

Caterpillar Inc. (NYSE:CAT) dropped 0.1% during mid-day trading on Friday . The stock traded as low as $326.18 and last traded at $328.77. Approximately 1,306,605 shares traded hands during mid-day trading, a decline of 50% from the average daily volume of 2,620,407 shares. The stock had previously closed at $329.13.

Analyst Ratings Changes

CAT has been the topic of several analyst reports. TD Cowen increased their price objective on Caterpillar from $338.00 to $340.00 and gave the company a “buy” rating in a research note on Friday, April 26th. Oppenheimer reiterated a “market perform” rating on shares of Caterpillar in a research note on Thursday, April 18th. Stifel Nicolaus cut Caterpillar from a “buy” rating to a “hold” rating and raised their price target for the company from $293.00 to $350.00 in a research note on Friday, April 26th. Truist Financial initiated coverage on Caterpillar in a research note on Thursday, March 14th. They issued a “buy” rating and a $390.00 price target on the stock. Finally, The Goldman Sachs Group raised their price target on Caterpillar from $357.00 to $408.00 and gave the company a “buy” rating in a research note on Tuesday, April 16th. One equities research analyst has rated the stock with a sell rating, nine have assigned a hold rating and eight have assigned a buy rating to the stock. According to MarketBeat.com, Caterpillar presently has an average rating of “Hold” and an average target price of $327.13.

Caterpillar Stock Performance

The company has a quick ratio of 0.83, a current ratio of 1.35 and a debt-to-equity ratio of 1.41. The stock has a fifty day moving average of $343.31 and a 200-day moving average of $326.60. The stock has a market cap of $160.33 billion, a PE ratio of 14.80, a price-to-earnings-growth ratio of 1.69 and a beta of 1.14.

Caterpillar (NYSE:CAT) last released its quarterly earnings results on Thursday, April 25th. The industrial products company reported $5.60 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.12 by $0.48. Caterpillar had a return on equity of 58.61% and a net margin of 16.79%. The firm had revenue of $15.80 billion for the quarter, compared to analyst estimates of $16.07 billion. On average, equities analysts forecast that Caterpillar Inc. will post 21.84 EPS for the current year.

Caterpillar Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, August 20th. Shareholders of record on Monday, July 22nd will be issued a $1.41 dividend. This represents a $5.64 dividend on an annualized basis and a yield of 1.72%. The ex-dividend date is Monday, July 22nd. This is a positive change from Caterpillar’s previous quarterly dividend of $1.30. Caterpillar’s payout ratio is currently 23.48%.

Caterpillar announced that its Board of Directors has authorized a share buyback plan on Wednesday, June 12th that allows the company to repurchase $20.00 billion in outstanding shares. This repurchase authorization allows the industrial products company to reacquire up to 12.7% of its shares through open market purchases. Shares repurchase plans are often a sign that the company’s management believes its shares are undervalued.

Insider Buying and Selling at Caterpillar

In other Caterpillar news, Director David Maclennan acquired 500 shares of the stock in a transaction on Friday, May 3rd. The shares were bought at an average price of $337.39 per share, with a total value of $168,695.00. Following the acquisition, the director now owns 5,738 shares of the company’s stock, valued at $1,935,943.82. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. In related news, Director David Maclennan purchased 500 shares of Caterpillar stock in a transaction dated Friday, May 3rd. The stock was bought at an average cost of $337.39 per share, for a total transaction of $168,695.00. Following the transaction, the director now owns 5,738 shares in the company, valued at $1,935,943.82. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Cheryl H. Johnson sold 1,508 shares of Caterpillar stock in a transaction that occurred on Thursday, May 30th. The shares were sold at an average price of $340.00, for a total transaction of $512,720.00. Following the sale, the insider now owns 20,023 shares of the company’s stock, valued at $6,807,820. The disclosure for this sale can be found here. 0.33% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Vanguard Group Inc. raised its position in shares of Caterpillar by 0.3% during the 4th quarter. Vanguard Group Inc. now owns 48,353,370 shares of the industrial products company’s stock worth $14,296,641,000 after purchasing an additional 129,216 shares during the last quarter. Capital World Investors raised its position in shares of Caterpillar by 0.3% during the 4th quarter. Capital World Investors now owns 29,029,953 shares of the industrial products company’s stock worth $8,583,372,000 after purchasing an additional 96,479 shares during the last quarter. Fisher Asset Management LLC grew its stake in Caterpillar by 2.3% in the 4th quarter. Fisher Asset Management LLC now owns 8,145,840 shares of the industrial products company’s stock worth $2,408,481,000 after acquiring an additional 179,908 shares during the period. Morgan Stanley grew its stake in Caterpillar by 0.7% in the 3rd quarter. Morgan Stanley now owns 6,830,849 shares of the industrial products company’s stock worth $1,864,823,000 after acquiring an additional 47,258 shares during the period. Finally, Norges Bank purchased a new stake in Caterpillar in the 4th quarter worth approximately $1,660,560,000. 70.98% of the stock is currently owned by institutional investors and hedge funds.

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.