Cherokee Insurance Co Decreases Stake in Caterpillar Inc. $CAT

Cherokee Insurance Co cut its stake in Caterpillar Inc. (NYSE:CAT) by 20.0% in the first quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The institutional investor owned 2,600 shares of the industrial products company’s stock after selling 650 shares during the period. Cherokee Insurance Co’s holdings in Caterpillar were worth $1,842,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds have also bought and sold shares of the company. Lam Group Inc. acquired a new position in shares of Caterpillar in the 1st quarter valued at $26,000. Torren Management LLC purchased a new stake in Caterpillar during the 4th quarter valued at about $27,000. Frazier Financial Advisors LLC increased its holdings in shares of Caterpillar by 220.0% in the fourth 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 period. IFS Advisors LLC acquired a new position in shares of Caterpillar in the fourth quarter valued at about $31,000. Finally, Rialto Wealth Management LLC raised its stake in shares of Caterpillar by 47.4% in the fourth 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 last quarter. Institutional investors and hedge funds own 70.98% of the company’s stock.

Wall Street Analyst Weigh In

A number of brokerages recently commented on CAT. Truist Financial upped their target price on Caterpillar from $1,043.00 to $1,218.00 and gave the company a “buy” rating in a research report on Thursday. Williams Trading set a $825.00 price objective on shares of Caterpillar in a research note on Tuesday, March 10th. Barclays upped their price objective on shares of Caterpillar from $700.00 to $800.00 and gave the company an “equal weight” rating in a report on Friday, May 1st. Robert W. Baird raised their target price on shares of Caterpillar from $1,165.00 to $1,200.00 and gave the stock an “outperform” rating in a report on Friday, June 26th. Finally, UBS Group reaffirmed a “neutral” rating and issued a $900.00 price target on shares of Caterpillar in a report on Tuesday, June 2nd. One investment analyst has rated the stock with a Strong Buy rating, sixteen have given a Buy rating and nine have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus target price of $949.41.

Caterpillar News Summary

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Truist raised its price target on Caterpillar to $1,218 from $1,043 and kept a buy rating, reinforcing bullish sentiment around the stock’s earnings and growth outlook. Article Link
• Positive Sentiment: Several reports highlighted Caterpillar as a momentum, long-term, and “trending” stock, suggesting investor interest remains strong and could help keep shares elevated. Article Link
• Positive Sentiment: Analysts and commentators pointed to Caterpillar’s role in powering data centers and other AI-related infrastructure, a theme that has helped explain the stock’s strong run. Article Link
• Positive Sentiment: Caterpillar also received fresh praise for strong backlog, earnings growth, and long-term expansion plans, which supports the case for continued upside. Article Link
• Neutral Sentiment: Caterpillar announced a $5 million investment in Texas workforce training and manufacturing education, a positive long-term initiative but not likely a major near-term stock driver. Article Link
• Neutral Sentiment: Wall Street analyst coverage remains broadly optimistic, with multiple articles noting favorable average brokerage recommendations, though these do not always translate into reliable signals. Article Link
• Negative Sentiment: Michael Burry disclosed a first-ever short position in Caterpillar, arguing the stock’s AI-linked rally may have stretched valuation too far; that news is likely the main source of pressure on shares today. Article Link

Caterpillar Price Performance

Shares of NYSE CAT opened at $965.44 on Friday. The company has a debt-to-equity ratio of 1.64, a current ratio of 1.35 and a quick ratio of 0.81. The stock has a market capitalization of $444.67 billion, a price-to-earnings ratio of 48.06, a PEG ratio of 1.90 and a beta of 1.57. The firm’s 50 day simple moving average is $918.32 and its 200-day simple moving average is $769.03. Caterpillar Inc. has a 12 month low of $388.09 and a 12 month high of $1,073.46.

Caterpillar (NYSE:CAT) last posted its earnings results on Thursday, April 30th. The industrial products company reported $5.54 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.65 by $0.89. The firm had revenue of $17.41 billion during the quarter, compared to analysts’ expectations of $16.53 billion. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The business’s revenue was up 22.2% compared to the same quarter last year. During the same period in the previous year, the business posted $4.25 EPS. Analysts expect that Caterpillar Inc. will post 24.71 EPS for the current year.

Caterpillar Increases Dividend

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

Insider Activity

In other Caterpillar news, CAO William E. Schaupp sold 360 shares of the stock in a transaction that occurred on Wednesday, May 13th. The stock was sold at an average price of $906.00, for a total transaction of $326,160.00. Following the transaction, the chief accounting officer owned 530 shares in the company, valued at approximately $480,180. This represents a 40.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Denise C. Johnson sold 12,605 shares of the business’s stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $907.91, for a total value of $11,444,205.55. Following the completion of the sale, the insider owned 49,825 shares of the company’s stock, valued at $45,236,615.75. This trade represents a 20.19% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last three months, insiders sold 95,773 shares of company stock worth $87,642,635. 0.33% of the stock is currently owned by corporate insiders.

Caterpillar 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.