Q3 EPS Estimates for Caterpillar Raised by Zacks Research

Caterpillar Inc. (NYSE:CAT) – Equities researchers at Zacks Research upped their Q3 2026 earnings estimates for Caterpillar in a note issued to investors on Friday, June 26th. Zacks Research analyst Team now anticipates that the industrial products company will post earnings of $6.29 per share for the quarter, up from their previous forecast of $6.28. Zacks Research currently has a “Strong-Buy” rating on the stock. The consensus estimate for Caterpillar’s current full-year earnings is $24.66 per share. Zacks Research also issued estimates for Caterpillar’s Q4 2026 earnings at $6.52 EPS, FY2026 earnings at $24.36 EPS, Q1 2027 earnings at $6.13 EPS, Q2 2027 earnings at $7.13 EPS, Q3 2027 earnings at $7.33 EPS, Q4 2027 earnings at $8.04 EPS, FY2027 earnings at $28.63 EPS, Q1 2028 earnings at $7.56 EPS and FY2028 earnings at $33.74 EPS.

Caterpillar (NYSE:CAT) last released its quarterly earnings data 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. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The company had revenue of $17.41 billion during the quarter, compared to the consensus estimate of $16.53 billion. During the same period last year, the firm earned $4.25 EPS. Caterpillar’s revenue for the quarter was up 22.2% on a year-over-year basis.

Other equities analysts have also issued reports about the company. Argus raised their price target on Caterpillar from $820.00 to $990.00 and gave the stock a “buy” rating in a report on Tuesday, May 5th. Rothschild & Co Redburn increased their price objective on Caterpillar from $700.00 to $950.00 and gave the stock a “neutral” rating in a report on Thursday, May 14th. DA Davidson raised their target price on Caterpillar from $650.00 to $845.00 and gave the stock a “neutral” rating in a research note on Monday, May 4th. Evercore reaffirmed an “outperform” rating and set a $1,103.00 target price on shares of Caterpillar in a report on Monday, May 11th. Finally, Robert W. Baird upped their price target on Caterpillar from $1,165.00 to $1,200.00 and gave the company an “outperform” rating in a research report on Friday. One equities research analyst has rated the stock with a Strong Buy rating, sixteen have issued a Buy rating and nine have assigned a Hold rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $941.45.

Caterpillar Trading Down 0.1%

Shares of CAT stock opened at $996.73 on Monday. The stock has a market capitalization of $459.08 billion, a price-to-earnings ratio of 49.61, a PEG ratio of 1.97 and a beta of 1.59. The company’s fifty day simple moving average is $897.41 and its two-hundred day simple moving average is $756.21. Caterpillar has a 1 year low of $382.75 and a 1 year high of $1,057.07. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.35 and a quick ratio of 0.81.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, August 19th. Investors of record on Monday, July 20th will be paid a $1.63 dividend. This is a boost from Caterpillar’s previous quarterly dividend of $1.51. This represents a $6.52 dividend on an annualized basis and a yield of 0.7%. The ex-dividend date of this dividend is Monday, July 20th. Caterpillar’s payout ratio is currently 30.06%.

Insider Buying and Selling at Caterpillar

In other Caterpillar news, insider Anthony D. Fassino sold 16,283 shares of Caterpillar stock in a transaction dated Monday, May 11th. The stock was sold at an average price of $916.80, for a total transaction of $14,928,254.40. Following the completion of the sale, the insider owned 46,041 shares of the company’s stock, valued at $42,210,388.80. The trade was a 26.13% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, insider Denise C. Johnson sold 12,605 shares of the company’s stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $907.91, for a total value of $11,444,205.55. Following the completion of the transaction, the insider owned 49,825 shares of the company’s stock, valued at $45,236,615.75. The trade was a 20.19% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders have sold 95,773 shares of company stock valued at $87,642,635. 0.33% of the stock is currently owned by company insiders.

Institutional Trading of Caterpillar

Several hedge funds and other institutional investors have recently bought and sold shares of CAT. Lam Group Inc. purchased a new position in shares of Caterpillar during the first quarter worth approximately $26,000. Torren Management LLC purchased a new stake in shares of Caterpillar in the 4th quarter valued at $27,000. Frazier Financial Advisors LLC grew its holdings in shares of Caterpillar by 220.0% during the 4th quarter. Frazier Financial Advisors LLC now owns 48 shares of the industrial products company’s stock valued at $28,000 after purchasing an additional 33 shares during the last quarter. IFS Advisors LLC purchased a new position in Caterpillar in the 4th quarter worth $31,000. Finally, Rialto Wealth Management LLC raised its position in Caterpillar by 47.4% in the 4th quarter. Rialto Wealth Management LLC now owns 56 shares of the industrial products company’s stock worth $32,000 after purchasing an additional 18 shares during the period. Hedge funds and other institutional investors own 70.98% of the company’s stock.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Robert W. Baird raised its price target on Caterpillar to $1,200 from $1,165 and reiterated an outperform rating, signaling continued upside confidence. MarketScreener
• Positive Sentiment: Caterpillar’s earnings backdrop remains strong: the company recently beat estimates with higher-than-expected revenue and EPS, supported by robust demand and a record backlog theme that has helped the stock outperform this year.
• Neutral Sentiment: Caterpillar Foundation announced a $2.5 million initiative tied to America’s 250th anniversary, which is positive for corporate image but likely limited direct impact on shares. Caterpillar Foundation Announces $2.5 Million Initiative in Celebration of America’s 250th Anniversary
• Negative Sentiment: Investor sentiment is being weighed down by margin pressure: a Zacks note said Q1 2026 operating margin slipped to 18% as tariff-related costs rose, and management expects $2.2 billion to $2.4 billion of tariff impact for 2026. Caterpillar’s Operating Margins Remain Under Pressure: Rebound Ahead?
• Negative Sentiment: Broad market coverage said Caterpillar was one of the main drags on the Dow in Friday trading, suggesting weakness in the stock was large enough to influence the index. Nasdaq Rises. Caterpillar and Goldman Are Dragging on the Dow.
• Negative Sentiment: Recent economic data showed advance trade in goods falling in May, which can be read as a softer trade backdrop for industrial-demand names like Caterpillar. Advance Trade in Goods fall in May

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.