StockNews.com Upgrades Caterpillar (NYSE:CAT) to “Buy”

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

Several other research firms also recently weighed in on CAT. JPMorgan Chase & Co. boosted their target price on shares of Caterpillar from $500.00 to $515.00 and gave the stock an “overweight” rating in a research report on Monday, December 9th. Jefferies Financial Group boosted their price objective on shares of Caterpillar from $455.00 to $475.00 and gave the company a “buy” rating in a report on Friday, December 6th. UBS Group raised their target price on Caterpillar from $285.00 to $295.00 and gave the stock a “sell” rating in a research note on Monday, November 4th. Evercore ISI downgraded Caterpillar from an “in-line” rating to an “underperform” rating and boosted their price target for the company from $321.00 to $365.00 in a research note on Wednesday, November 13th. Finally, Robert W. Baird lifted their target price on Caterpillar from $299.00 to $300.00 and gave the stock an “underperform” rating in a report on Thursday, October 31st. Four research analysts have rated the stock with a sell rating, six have issued a hold rating and eight have assigned a buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average target price of $384.33.

Caterpillar Stock Performance

Shares of CAT stock opened at $362.76 on Wednesday. Caterpillar has a 12-month low of $276.94 and a 12-month high of $418.50. The business’s fifty day simple moving average is $385.88 and its 200-day simple moving average is $363.77. The company has a current ratio of 1.40, a quick ratio of 0.86 and a debt-to-equity ratio of 1.33. The company has a market cap of $175.14 billion, a PE ratio of 16.82, a PEG ratio of 1.92 and a beta of 1.10.

Caterpillar (NYSE:CAT) last announced its earnings results on Wednesday, October 30th. The industrial products company reported $5.17 earnings per share (EPS) for the quarter, missing the consensus estimate of $5.33 by ($0.16). Caterpillar had a net margin of 16.26% and a return on equity of 59.09%. The business had revenue of $16.11 billion for the quarter, compared to analyst estimates of $16.37 billion. During the same period in the prior year, the company earned $5.52 earnings per share. The company’s quarterly revenue was down 4.2% on a year-over-year basis. Analysts expect that Caterpillar will post 21.68 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Anthony D. Fassino sold 6,279 shares of the company’s stock in a transaction dated Friday, November 29th. The shares were sold at an average price of $408.59, for a total transaction of $2,565,536.61. Following the completion of the transaction, the insider now owns 33,565 shares in the company, valued at $13,714,323.35. This represents a 15.76 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Also, Director Gerald Johnson acquired 100 shares of the stock in a transaction that occurred on Wednesday, December 4th. The stock was purchased at an average price of $398.57 per share, for a total transaction of $39,857.00. Following the completion of the acquisition, the director now owns 2,953 shares in the company, valued at $1,176,977.21. The trade was a 3.51 % increase in their position. The disclosure for this purchase can be found here. Insiders have sold 23,868 shares of company stock worth $9,679,489 in the last ninety days. Company insiders own 0.29% of the company’s stock.

Hedge Funds Weigh In On Caterpillar

A number of hedge funds have recently made changes to their positions in CAT. Smallwood Wealth Investment Management LLC lifted its stake in shares of Caterpillar by 2.6% in the third quarter. Smallwood Wealth Investment Management LLC now owns 1,037 shares of the industrial products company’s stock worth $405,000 after buying an additional 26 shares in the last quarter. First Bank & Trust lifted its stake in Caterpillar by 4.0% in the 3rd quarter. First Bank & Trust now owns 709 shares of the industrial products company’s stock worth $277,000 after purchasing an additional 27 shares in the last quarter. Washington Trust Bank boosted its holdings in shares of Caterpillar by 1.2% during the 3rd quarter. Washington Trust Bank now owns 2,349 shares of the industrial products company’s stock worth $919,000 after purchasing an additional 27 shares during the last quarter. Pacifica Partners Inc. grew its position in shares of Caterpillar by 1.6% in the third quarter. Pacifica Partners Inc. now owns 1,807 shares of the industrial products company’s stock valued at $707,000 after purchasing an additional 28 shares in the last quarter. Finally, Vanguard Capital Wealth Advisors lifted its position in Caterpillar by 0.8% during the third quarter. Vanguard Capital Wealth Advisors now owns 3,466 shares of the industrial products company’s stock worth $1,356,000 after buying an additional 28 shares in the last quarter. Institutional investors and hedge funds 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.