Zacks Research Expects Increased Earnings for Caterpillar

Caterpillar Inc. (NYSE:CAT) – Research analysts at Zacks Research lifted their FY2026 earnings per share (EPS) estimates for Caterpillar in a research note issued on Friday, June 5th. Zacks Research analyst Team now expects that the industrial products company will post earnings of $24.18 per share for the year, up from their previous forecast of $24.09. The consensus estimate for Caterpillar’s current full-year earnings is $24.68 per share. Zacks Research also issued estimates for Caterpillar’s Q4 2026 earnings at $6.35 EPS, Q1 2027 earnings at $6.06 EPS, Q2 2027 earnings at $7.06 EPS, Q3 2027 earnings at $7.24 EPS, Q4 2027 earnings at $7.93 EPS, FY2027 earnings at $28.28 EPS, Q1 2028 earnings at $7.42 EPS and FY2028 earnings at $33.25 EPS.

Caterpillar (NYSE:CAT) last released its quarterly earnings results on Thursday, April 30th. The industrial products company reported $5.54 EPS for the quarter, topping the consensus estimate of $4.65 by $0.89. The company had revenue of $17.42 billion for the quarter, compared to analyst estimates of $16.53 billion. Caterpillar had a return on equity of 48.21% and a net margin of 13.33%.The firm’s revenue was up 22.2% compared to the same quarter last year. During the same quarter in the previous year, the company posted $4.25 earnings per share.

Other research analysts have also issued research reports about the company. DA Davidson boosted their target price on Caterpillar from $650.00 to $845.00 and gave the company a “neutral” rating in a report on Monday, May 4th. UBS Group reissued a “neutral” rating and issued a $900.00 target price on shares of Caterpillar in a report on Tuesday, June 2nd. Weiss Ratings reissued a “buy (b-)” rating on shares of Caterpillar in a report on Friday, May 8th. Wall Street Zen raised Caterpillar from a “hold” rating to a “buy” rating in a report on Saturday, May 2nd. Finally, Wolfe Research upped their price objective on Caterpillar from $670.00 to $750.00 and gave the stock an “outperform” rating in a report on Tuesday, March 31st. Sixteen analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $933.27.

Caterpillar Trading Up 0.1%

NYSE:CAT opened at $904.89 on Monday. The firm has a market cap of $416.79 billion, a P/E ratio of 45.04, a PEG ratio of 1.78 and a beta of 1.59. The company has a current ratio of 1.35, a quick ratio of 0.81 and a debt-to-equity ratio of 1.64. The stock’s 50 day simple moving average is $831.99 and its 200-day simple moving average is $715.57. Caterpillar has a 12-month low of $352.26 and a 12-month high of $946.83.

Institutional Trading of Caterpillar

Institutional investors have recently bought and sold shares of the company. Lam Group Inc. purchased a new stake in Caterpillar during the first quarter worth $26,000. Torren Management LLC purchased a new stake in Caterpillar during the fourth quarter worth $27,000. Frazier Financial Advisors LLC boosted its position in Caterpillar by 220.0% during the fourth quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company’s stock worth $28,000 after purchasing an additional 33 shares in the last quarter. Cedar Mountain Advisors LLC boosted its position in Caterpillar by 82.1% during the first quarter. Cedar Mountain Advisors LLC now owns 51 shares of the industrial products company’s stock worth $36,000 after purchasing an additional 23 shares in the last quarter. Finally, IFS Advisors LLC purchased a new stake in Caterpillar during the fourth quarter worth $31,000. 70.98% of the stock is currently owned by hedge funds and other institutional investors.

Insider Activity

In related news, insider Jason Kaiser sold 5,642 shares of the company’s stock in a transaction on Monday, May 4th. The stock was sold at an average price of $883.03, for a total transaction of $4,982,055.26. Following the transaction, the insider owned 9,594 shares of the company’s stock, valued at $8,471,789.82. This represents a 37.03% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Andrew R. J. Bonfield sold 15,674 shares of the business’s stock in a transaction on Wednesday, May 6th. The stock was sold at an average price of $918.71, for a total value of $14,399,860.54. Following the sale, the chief financial officer owned 52,935 shares in the company, valued at approximately $48,631,913.85. The trade was a 22.85% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 95,773 shares of company stock valued at $87,642,635 over the last three months. 0.33% of the stock is currently owned by corporate insiders.

Caterpillar Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, May 19th. Investors of record on Monday, April 20th were issued a dividend of $1.51 per share. This represents a $6.04 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date of this dividend was Monday, April 20th. Caterpillar’s dividend payout ratio is currently 30.06%.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar is benefiting from strong demand tied to data center construction and rising power needs, with coverage highlighting record quarterly results and improving sentiment around its power and energy business. Data Center Power Demands Push This Dividend Aristocrat to All Time Highs
• Positive Sentiment: Analysts and commentators remain constructive on Caterpillar’s growth outlook, citing durable tailwinds from AI-related infrastructure spending and a bullish price target in the latest research note. Caterpillar Setting The Pace For Growth In Power And Energy
• Positive Sentiment: Trump administration tariff cuts on farm and construction equipment are being viewed as a margin boost for Caterpillar’s core products, which could support earnings and sentiment. Trump Just Gave Caterpillar Stock a Boost. What to Know.
• Positive Sentiment: Additional coverage framed Caterpillar as one of the stocks poised to benefit from lower equipment tariffs, reinforcing the recent bullish narrative. When Trump Cuts Tariffs on Farm and Construction Equipment, These 5 Stocks Win Big
• Neutral Sentiment: Several articles were more general or commentary-driven, including a decade-long return retrospective and broader construction-stocks roundups, so they are less likely to move the shares directly. If You Invested $1000 in Caterpillar a Decade Ago, This is How Much It’d Be Worth Now
• Neutral Sentiment: Non-fundamental items such as an unrelated garden-caterpillar story and a political donation tracker do not appear to have a direct impact on Caterpillar’s business outlook. New caterpillar that can ‘send you to A&E’ breeding rapidly in gardens

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.