Los Angeles Capital Management LLC Cuts Stock Position in Caterpillar Inc. (NYSE:CAT)

Los Angeles Capital Management LLC trimmed its position in Caterpillar Inc. (NYSE:CAT) by 32.2% during the 2nd quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 483,306 shares of the industrial products company’s stock after selling 229,383 shares during the period. Los Angeles Capital Management LLC’s holdings in Caterpillar were worth $160,989,000 at the end of the most recent reporting period.

Several other large investors also recently bought and sold shares of CAT. Norges Bank acquired a new stake in Caterpillar in the 4th quarter valued at about $1,660,560,000. Capital Wealth Planning LLC raised its position in Caterpillar by 27,495.2% in the fourth quarter. Capital Wealth Planning LLC now owns 1,182,453 shares of the industrial products company’s stock valued at $349,616,000 after purchasing an additional 1,178,168 shares during the period. Canada Pension Plan Investment Board raised its holdings in shares of Caterpillar by 306.9% in the 1st quarter. Canada Pension Plan Investment Board now owns 407,677 shares of the industrial products company’s stock valued at $149,385,000 after buying an additional 307,479 shares during the period. Swedbank AB acquired a new position in Caterpillar during the 1st quarter worth about $97,042,000. Finally, Capital International Investors grew its position in Caterpillar by 99.9% in the 1st quarter. Capital International Investors now owns 488,660 shares of the industrial products company’s stock valued at $179,060,000 after acquiring an additional 244,253 shares in the last quarter. 70.98% of the stock is currently owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

CAT has been the subject of several recent research reports. Citigroup began coverage on shares of Caterpillar in a research note on Wednesday, June 26th. They issued a “buy” rating and a $380.00 price objective for the company. Bank of America cut their price objective on Caterpillar from $385.00 to $376.00 and set a “buy” rating on the stock in a research report on Wednesday, August 7th. UBS Group lifted their target price on Caterpillar from $270.00 to $285.00 and gave the company a “sell” rating in a report on Wednesday, August 7th. StockNews.com downgraded Caterpillar from a “buy” rating to a “hold” rating in a research report on Thursday. Finally, Raymond James initiated coverage on shares of Caterpillar in a report on Friday, June 28th. They issued a “market perform” rating on the stock. Two investment analysts have rated the stock with a sell rating, ten have given a hold rating and seven have given a buy rating to the company. Based on data from MarketBeat, Caterpillar has an average rating of “Hold” and a consensus price target of $336.31.

Caterpillar Stock Performance

NYSE CAT traded down $4.20 during trading on Friday, reaching $329.36. The company’s stock had a trading volume of 2,676,623 shares, compared to its average volume of 2,680,938. Caterpillar Inc. has a twelve month low of $223.76 and a twelve month high of $382.01. The firm has a market cap of $161.07 billion, a price-to-earnings ratio of 14.87, a P/E/G ratio of 1.66 and a beta of 1.12. The business’s fifty day moving average price is $339.86 and its 200-day moving average price is $343.24. The company has a debt-to-equity ratio of 1.39, a quick ratio of 0.78 and a current ratio of 1.28.

Caterpillar (NYSE:CAT) last announced its earnings results on Tuesday, August 6th. The industrial products company reported $5.99 earnings per share for the quarter, beating the consensus estimate of $5.53 by $0.46. Caterpillar had a return on equity of 59.88% and a net margin of 16.58%. The company had revenue of $16.69 billion for the quarter, compared to the consensus estimate of $16.91 billion. During the same period last year, the business posted $5.55 EPS. The company’s revenue was down 3.6% on a year-over-year basis. As a group, analysts anticipate that Caterpillar Inc. will post 21.87 EPS for the current fiscal year.

Caterpillar Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, August 20th. Investors of record on Monday, July 22nd were paid a $1.41 dividend. The ex-dividend date of this dividend was Monday, July 22nd. This is an increase from Caterpillar’s previous quarterly dividend of $1.30. This represents a $5.64 dividend on an annualized basis and a dividend yield of 1.71%. Caterpillar’s payout ratio is 25.46%.

Caterpillar announced that its board has approved a share repurchase program on Wednesday, June 12th that authorizes the company to buyback $20.00 billion in shares. This buyback authorization authorizes the industrial products company to buy up to 12.7% of its stock through open market purchases. Stock buyback programs are generally an indication that the company’s management believes its stock is undervalued.

Insider Buying and Selling at Caterpillar

In related news, Director Gerald Johnson acquired 100 shares of the firm’s stock in a transaction that occurred on Wednesday, September 4th. The shares were purchased at an average price of $338.59 per share, with a total value of $33,859.00. Following the completion of the acquisition, the director now owns 2,842 shares in the company, valued at $962,272.78. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. In other Caterpillar news, insider Anthony D. Fassino sold 3,185 shares of Caterpillar stock in a transaction dated Friday, August 30th. The shares were sold at an average price of $351.36, for a total transaction of $1,119,081.60. Following the completion of the transaction, the insider now owns 33,442 shares in the company, valued at $11,750,181.12. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Gerald Johnson bought 100 shares of the stock in a transaction on Wednesday, September 4th. The shares were bought at an average price of $338.59 per share, for a total transaction of $33,859.00. Following the acquisition, the director now owns 2,842 shares in the company, valued at approximately $962,272.78. The disclosure for this purchase can be found here. Over the last quarter, insiders sold 7,668 shares of company stock valued at $2,665,760. 0.33% of the stock is owned by company insiders.

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.