Caterpillar (NYSE:CAT) Stock Price Down 1.1%

Caterpillar Inc. (NYSE:CAT)’s share price traded down 1.1% during mid-day trading on Tuesday . The company traded as low as $325.79 and last traded at $326.43. 420,174 shares changed hands during mid-day trading, a decline of 84% from the average session volume of 2,658,302 shares. The stock had previously closed at $330.00.

Analyst Upgrades and Downgrades

A number of equities research analysts recently issued reports on the stock. HSBC boosted their target price on shares of Caterpillar from $330.00 to $360.00 and gave the company a “hold” rating in a report on Tuesday, April 30th. TD Cowen boosted their target price on shares of Caterpillar from $338.00 to $340.00 and gave the stock a “buy” rating in a research report on Friday, April 26th. Citigroup assumed coverage on shares of Caterpillar in a research report on Wednesday. They set a “buy” rating and a $380.00 target price on the stock. Oppenheimer reissued a “market perform” rating on shares of Caterpillar in a research report on Thursday, April 18th. Finally, Truist Financial initiated coverage on shares of Caterpillar in a research report on Thursday, March 14th. They set a “buy” rating and a $390.00 target price on the stock. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating and nine have assigned a buy rating to the company. According to MarketBeat.com, the company presently has an average rating of “Hold” and an average price target of $329.63.

Caterpillar Stock Down 0.2 %

The firm’s 50-day moving average price is $341.98 and its 200 day moving average price is $328.08. The firm has a market cap of $159.79 billion, a P/E ratio of 14.75, a price-to-earnings-growth ratio of 1.68 and a beta of 1.14. The company has a quick ratio of 0.83, a current ratio of 1.35 and a debt-to-equity ratio of 1.41.

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

Caterpillar Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, August 20th. Stockholders of record on Monday, July 22nd will be given a dividend of $1.41 per share. The ex-dividend date of this dividend is Monday, July 22nd. This represents a $5.64 annualized dividend and a dividend yield of 1.73%. This is a positive change from Caterpillar’s previous quarterly dividend of $1.30. Caterpillar’s dividend payout ratio is currently 23.48%.

Caterpillar declared that its Board of Directors has initiated a share buyback plan on Wednesday, June 12th that authorizes the company to repurchase $20.00 billion in shares. This repurchase authorization authorizes the industrial products company to reacquire up to 12.7% of its stock through open market purchases. Stock repurchase plans are often a sign that the company’s leadership believes its stock is undervalued.

Insider Activity at Caterpillar

In related news, Director David Maclennan bought 500 shares of the firm’s stock in a transaction that occurred on Friday, May 3rd. The stock was purchased at an average price of $337.39 per share, for a total transaction of $168,695.00. Following the transaction, the director now directly owns 5,738 shares of the company’s stock, valued at approximately $1,935,943.82. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. In related news, Director David Maclennan purchased 500 shares of the firm’s stock in a transaction that occurred on Friday, May 3rd. The stock was acquired at an average cost of $337.39 per share, for a total transaction of $168,695.00. Following the completion of the acquisition, the director now owns 5,738 shares in the company, valued at approximately $1,935,943.82. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, insider Cheryl H. Johnson sold 1,508 shares of the firm’s stock in a transaction that occurred on Thursday, May 30th. The stock was 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 currently owned by insiders.

Institutional Trading of Caterpillar

A number of institutional investors have recently added to or reduced their stakes in CAT. Partnership Wealth Management LLC acquired a new stake in Caterpillar in the fourth quarter valued at approximately $26,000. Richardson Financial Services Inc. acquired a new stake in Caterpillar in the fourth quarter valued at approximately $27,000. Thompson Investment Management Inc. acquired a new stake in Caterpillar in the first quarter valued at approximately $27,000. Fairman Group LLC acquired a new stake in Caterpillar in the first quarter valued at approximately $29,000. Finally, Gilfoyle & Co LLC acquired a new stake in Caterpillar in the fourth quarter valued at approximately $30,000. 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.