Gould Capital LLC Has $3.48 Million Stake in Caterpillar Inc. $CAT

Gould Capital LLC reduced its holdings in shares of Caterpillar Inc. (NYSE:CAT) by 37.7% in the first quarter, HoldingsChannel.com reports. The fund owned 4,919 shares of the industrial products company’s stock after selling 2,972 shares during the quarter. Caterpillar accounts for 2.1% of Gould Capital LLC’s holdings, making the stock its 13th biggest position. Gould Capital LLC’s holdings in Caterpillar were worth $3,485,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds have also recently made changes to their positions in the business. Lam Group Inc. acquired a new stake in Caterpillar during the first quarter worth approximately $26,000. Torren Management LLC acquired a new position in Caterpillar in the fourth quarter valued at approximately $27,000. Frazier Financial Advisors LLC lifted its stake in Caterpillar by 220.0% in the fourth quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company’s stock valued at $28,000 after buying an additional 33 shares during the period. Cornerstone Financial Management LLC bought a new position in shares of Caterpillar during the 4th quarter worth approximately $32,000. Finally, Monetary Solutions Ltd acquired a new stake in shares of Caterpillar during the 4th quarter worth approximately $35,000. 70.98% of the stock is owned by institutional investors.

Caterpillar Trading Down 3.6%

CAT opened at $841.67 on Wednesday. Caterpillar Inc. has a fifty-two week low of $405.46 and a fifty-two week high of $1,073.46. The firm has a market capitalization of $387.66 billion, a PE ratio of 41.89, a P/E/G ratio of 1.71 and a beta of 1.57. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.35 and a quick ratio of 0.81. The company’s 50-day moving average is $928.73 and its 200 day moving average is $808.93.

Caterpillar (NYSE:CAT) last released its quarterly earnings results on Thursday, April 30th. The industrial products company reported $5.54 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.65 by $0.89. The business had revenue of $17.41 billion during the quarter, compared to the consensus estimate of $16.53 billion. Caterpillar had a return on equity of 48.21% and a net margin of 13.33%.The company’s quarterly revenue was up 22.2% on a year-over-year basis. During the same quarter in the previous year, the business earned $4.25 EPS. As a group, research analysts predict that Caterpillar Inc. will post 24.87 earnings per share for the current fiscal year.

Caterpillar Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Investors of record on Monday, July 20th will be given a dividend of $1.63 per share. The ex-dividend date of this dividend is Monday, July 20th. This is a positive change from Caterpillar’s previous quarterly dividend of $1.51. This represents a $6.52 annualized dividend and a dividend yield of 0.8%. Caterpillar’s payout ratio is presently 32.45%.

Wall Street Analyst Weigh In

A number of research firms recently issued reports on CAT. JPMorgan Chase & Co. boosted their target price on shares of Caterpillar from $1,125.00 to $1,165.00 and gave the company an “overweight” rating in a research report on Wednesday, June 17th. Truist Financial raised their price target on shares of Caterpillar from $1,043.00 to $1,218.00 and gave the stock a “buy” rating in a report on Thursday, July 2nd. Weiss Ratings reaffirmed a “buy (b-)” rating on shares of Caterpillar in a research note on Friday, May 8th. Wells Fargo & Company upped their price objective on shares of Caterpillar from $1,050.00 to $1,155.00 and gave the company an “overweight” rating in a report on Tuesday, June 23rd. Finally, Argus raised their target price on Caterpillar from $820.00 to $990.00 and gave the company a “buy” rating in a research note on Tuesday, May 5th. Fourteen equities research analysts have rated the stock with a Buy rating and eleven have given a Hold rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $966.29.

Insider Buying and Selling at Caterpillar

In related news, insider Anthony D. Fassino sold 16,283 shares of the stock in a transaction on Monday, May 11th. The stock was sold at an average price of $916.80, for a total value of $14,928,254.40. Following the completion of the sale, the insider directly owned 46,041 shares of the company’s stock, valued at approximately $42,210,388.80. This represents a 26.13% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, insider Denise C. Johnson sold 12,605 shares of the firm’s stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $907.91, for a total value of $11,444,205.55. Following the transaction, the insider owned 49,825 shares in the company, valued at approximately $45,236,615.75. This trade represents a 20.19% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 95,773 shares of company stock valued at $87,642,635 in the last three months. Insiders own 0.33% of the company’s stock.

Caterpillar News Summary

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Earnings expectations are supportive. Zacks upgraded Caterpillar to Rank #2 (Buy), citing improving earnings prospects. The company is also viewed as having two factors that could support a quarterly earnings beat ahead of next week’s report. Caterpillar Earnings Expected to Grow
• Positive Sentiment: Strong recent fundamentals provide a cushion. Caterpillar’s latest reported quarter exceeded consensus estimates, with revenue rising 22.2% year over year and earnings per share reaching $5.54 versus the expected $4.65. Investors may be looking for this momentum to continue in the upcoming release.
• Neutral Sentiment: Investor attention remains high. Caterpillar is a heavily watched industrial stock, and analysts and investors are debating whether its powerful multiyear rally can continue. The company’s shares have gained substantially over five years, raising the importance of future earnings and cash-flow growth.
• Negative Sentiment: Valuation may be limiting further upside. Fair-value analysis is mixed: earnings multiples appear relatively reasonable, while a discounted-cash-flow estimate suggests the stock is approximately fairly valued. After its extended rally, the shares face a higher hurdle to justify additional gains. Caterpillar Stock Looks Slightly Above Fair Value
• Negative Sentiment: Analyst sentiment has softened. Erste Group Bank AG downgraded Caterpillar from “buy” to “hold,” adding pressure to the stock’s near-term outlook.
• Negative Sentiment: Rare-earth supply risks could increase costs or disrupt production. China’s tighter export controls on rare-earth materials used in motors, sensors and control systems may affect Caterpillar’s advanced equipment and force manufacturers to secure more expensive alternative supplies. Caterpillar Faces Rare Earth Squeeze

Caterpillar Company Profile

Caterpillar Inc is a global manufacturer of construction and mining equipment, diesel and natural gas engines, industrial gas turbines and locomotives. The company’s product portfolio includes earthmoving machines such as excavators, bulldozers, wheel loaders and off‑highway trucks, as well as a range of power generation products including generator sets and power systems for industrial and commercial use. Caterpillar serves customers across heavy construction, mining, energy, transportation and related industries with both equipment and integrated technology solutions.

In addition to manufacturing, Caterpillar provides a broad range of aftermarket parts and support services, including maintenance, repair, remanufacturing and fleet management tools.