Daiwa Securities Group Inc. Boosts Holdings in Caterpillar Inc. $CAT

Daiwa Securities Group Inc. grew its stake in shares of Caterpillar Inc. (NYSE:CAT) by 11.2% during the second quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission. The fund owned 194,149 shares of the industrial products company’s stock after buying an additional 19,564 shares during the quarter. Daiwa Securities Group Inc.’s holdings in Caterpillar were worth $206,749,000 at the end of the most recent quarter.

Several other large investors have also recently modified their holdings of CAT. Kerusso Capital Management LLC increased its stake in Caterpillar by 23.4% in the 2nd quarter. Kerusso Capital Management LLC now owns 6,705 shares of the industrial products company’s stock worth $7,140,000 after purchasing an additional 1,272 shares during the period. LCM Capital Management Inc grew its holdings in shares of Caterpillar by 16.5% in the second quarter. LCM Capital Management Inc now owns 465 shares of the industrial products company’s stock worth $495,000 after purchasing an additional 66 shares during the last quarter. WealthCare Asset Management LLC bought a new stake in Caterpillar during the 2nd quarter valued at $1,533,000. Aviance Capital Partners LLC boosted its position in Caterpillar by 17.9% during the 2nd quarter. Aviance Capital Partners LLC now owns 679 shares of the industrial products company’s stock valued at $723,000 after buying an additional 103 shares during the period. Finally, Worth Financial Advisory Group LLC bought a new stake in Caterpillar in the 2nd quarter worth $1,564,000. Hedge funds and other institutional investors own 70.98% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of research analysts have commented on CAT shares. Wells Fargo & Company upped their price target on Caterpillar from $1,050.00 to $1,155.00 and gave the company an “overweight” rating in a research report on Tuesday, June 23rd. Argus boosted 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. Truist Financial set a $980.00 price target on Caterpillar in a research note on Wednesday, August 5th. Daiwa Securities Group boosted their price objective on shares of Caterpillar from $790.00 to $900.00 and gave the company a “neutral” rating in a research report on Friday, May 1st. Finally, JPMorgan Chase & Co. upped their price objective on shares of Caterpillar from $1,125.00 to $1,165.00 and gave the stock an “overweight” rating in a report on Wednesday, June 17th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eleven have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, Caterpillar presently has a consensus rating of “Moderate Buy” and a consensus price target of $995.52.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Strong backlog points to future growth. Caterpillar’s order book reportedly expanded substantially beneath the surface, suggesting future revenue visibility even while some recent sales figures appeared soft. Before The Surge, Caterpillar Stock’s Order Book Told a Different Story
• Positive Sentiment: Margins and guidance improved. Coverage highlighted a 430-basis-point rebound in second-quarter adjusted operating margin, with higher volumes and pricing offsetting tariff costs. The improvement helped support an upgraded 2026 outlook. Caterpillar’s Q2 Adjusted Operating Margin Rebounds
• Positive Sentiment: CAT remains a preferred heavy-equipment name. Analysts cited record sales, earnings growth and backlog strength as reasons Caterpillar currently has an edge over Deere. Other market commentary included Caterpillar among stocks positioned to benefit from investment and infrastructure-related trends. Caterpillar vs. Deere: Which Heavy Equipment Stock Should You Bet On?
• Neutral Sentiment: Valuation opinions are mixed. Some analysis suggests CAT could be undervalued by roughly 20% based on margins and cash flow, while another estimate sees only about 4% upside linked partly to potential tariff refunds. This follows a substantial five-year share-price gain and leaves investors focused on whether earnings can justify the valuation. Caterpillar Could Be 20% Undervalued
• Negative Sentiment: Contrasting investor signals may limit enthusiasm. The Gates Foundation Trust disclosed a sizable CAT holding, while Michael Burry disclosed a short position. QuiverQuant also reported substantially more insider sales than purchases over the past six months, potentially adding caution despite strong fundamentals. Bill Gates’ Foundation Holds a Caterpillar Stake as Michael Burry Bets Against the Stock
• Negative Sentiment: Macro risks remain an overhang. Recent commentary linked CAT’s pullback to interest-rate concerns and weaker sentiment toward industrial stocks, showing that broader economic factors are currently overshadowing the company’s earnings and backlog strength.

Caterpillar Stock Up 0.0%

Shares of Caterpillar stock opened at $811.40 on Wednesday. The company has a 50-day simple moving average of $903.72 and a two-hundred day simple moving average of $835.74. The stock has a market capitalization of $372.98 billion, a PE ratio of 34.91, a price-to-earnings-growth ratio of 1.42 and a beta of 1.60. Caterpillar Inc. has a 52-week low of $410.52 and a 52-week high of $1,073.46. The company has a debt-to-equity ratio of 1.65, a quick ratio of 0.85 and a current ratio of 1.37.

Caterpillar (NYSE:CAT) last released its quarterly earnings data on Tuesday, August 4th. The industrial products company reported $8.17 EPS for the quarter, beating the consensus estimate of $6.22 by $1.95. Caterpillar had a return on equity of 55.53% and a net margin of 14.51%.The company had revenue of $20.54 billion for the quarter, compared to analysts’ expectations of $19.34 billion. During the same period last year, the firm posted $4.72 earnings per share. Caterpillar’s revenue was up 23.7% compared to the same quarter last year. On average, analysts anticipate that Caterpillar Inc. will post 27.14 EPS for the current fiscal year.

Caterpillar Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, August 19th. Investors of record on Monday, July 20th were given a dividend of $1.63 per share. This represents a $6.52 annualized dividend and a yield of 0.8%. This is a positive change from Caterpillar’s previous quarterly dividend of $1.51. The ex-dividend date was Monday, July 20th. Caterpillar’s dividend payout ratio (DPR) is presently 28.06%.

About Caterpillar

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.