Caterpillar (NYSE:CAT) Stock Price Expected to Rise, DA Davidson Analyst Says

Caterpillar (NYSE:CAT) had its target price upped by analysts at DA Davidson from $350.00 to $357.00 in a report released on Tuesday,Benzinga reports. The brokerage currently has a “neutral” rating on the industrial products company’s stock. DA Davidson’s target price suggests a potential downside of 1.13% from the stock’s previous close.

A number of other brokerages have also recently commented on CAT. Evercore ISI raised Caterpillar from an “underperform” rating to an “in-line” rating and set a $365.00 price target on the stock in a research note on Monday, January 13th. Bank of America lowered their price objective on shares of Caterpillar from $452.00 to $414.00 and set a “buy” rating for the company in a research note on Friday. Robert W. Baird boosted their price target on Caterpillar from $299.00 to $300.00 and gave the company an “underperform” rating in a report on Thursday, October 31st. Jefferies Financial Group lifted their price objective on Caterpillar from $455.00 to $475.00 and gave the stock a “buy” rating in a research report on Friday, December 6th. Finally, Citigroup raised their price target on Caterpillar from $420.00 to $430.00 and gave the stock a “buy” rating in a research note on Friday. Two research analysts have rated the stock with a sell rating, ten have issued a hold rating and seven have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Hold” and a consensus price target of $379.50.

Caterpillar Price Performance

Shares of CAT traded down $0.46 during mid-day trading on Tuesday, reaching $361.09. 700,795 shares of the stock traded hands, compared to its average volume of 2,290,021. The company has a market cap of $174.33 billion, a price-to-earnings ratio of 16.35, a price-to-earnings-growth ratio of 1.95 and a beta of 1.12. Caterpillar has a 1 year low of $307.05 and a 1 year high of $418.50. The firm has a fifty day moving average price of $380.88 and a 200 day moving average price of $371.17. The company has a current ratio of 1.42, a quick ratio of 0.89 and a debt-to-equity ratio of 1.40.

Caterpillar (NYSE:CAT) last announced its earnings results on Thursday, January 30th. The industrial products company reported $5.14 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.97 by $0.17. Caterpillar had a net margin of 16.65% and a return on equity of 58.18%. As a group, equities research analysts predict that Caterpillar will post 21.45 earnings per share for the current year.

Insider Activity

In other Caterpillar news, Director Gerald Johnson purchased 100 shares of Caterpillar stock in a transaction that occurred on Wednesday, December 4th. The stock was bought at an average price of $398.57 per share, with a total value of $39,857.00. Following the acquisition, the director now owns 2,953 shares of the company’s stock, valued at $1,176,977.21. This trade represents a 3.51 % increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, Director Daniel M. Dickinson sold 1,300 shares of Caterpillar stock in a transaction dated Wednesday, November 6th. The stock was sold at an average price of $418.00, for a total value of $543,400.00. Following the completion of the sale, the director now owns 4,976 shares in the company, valued at approximately $2,079,968. The trade was a 20.71 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 30,236 shares of company stock worth $12,102,371. Insiders own 0.29% of the company’s stock.

Institutional Investors Weigh In On Caterpillar

A number of institutional investors and hedge funds have recently made changes to their positions in CAT. Nordea Investment Management AB lifted its holdings in Caterpillar by 1.6% during the 4th quarter. Nordea Investment Management AB now owns 635,750 shares of the industrial products company’s stock worth $231,686,000 after buying an additional 10,212 shares during the last quarter. West Wealth Group LLC acquired a new position in Caterpillar during the fourth quarter worth approximately $230,000. Alpha Cubed Investments LLC boosted its holdings in shares of Caterpillar by 5.6% in the third quarter. Alpha Cubed Investments LLC now owns 116,566 shares of the industrial products company’s stock valued at $45,591,000 after acquiring an additional 6,212 shares during the period. Citizens Financial Group Inc. RI increased its holdings in shares of Caterpillar by 43.0% in the 3rd quarter. Citizens Financial Group Inc. RI now owns 13,902 shares of the industrial products company’s stock valued at $5,437,000 after acquiring an additional 4,181 shares during the period. Finally, Cadinha & Co. LLC acquired a new stake in Caterpillar during the 4th quarter worth $11,084,000. 70.98% of the stock is owned by hedge funds and other institutional investors.

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.