Zacks Research Predicts Reduced Earnings for Caterpillar

Caterpillar Inc. (NYSE:CAT) – Research analysts at Zacks Research decreased their Q1 2026 earnings per share estimates for Caterpillar in a report issued on Monday, May 19th. Zacks Research analyst M. Das now anticipates that the industrial products company will post earnings per share of $4.58 for the quarter, down from their previous forecast of $4.60. The consensus estimate for Caterpillar’s current full-year earnings is $19.86 per share.

Caterpillar (NYSE:CAT) last announced its earnings results on Wednesday, April 30th. The industrial products company reported $4.25 earnings per share for the quarter, missing the consensus estimate of $4.35 by ($0.10). Caterpillar had a net margin of 16.65% and a return on equity of 58.18%. The firm had revenue of $14.25 billion for the quarter, compared to the consensus estimate of $14.64 billion. During the same period in the prior year, the business earned $5.60 EPS. The company’s quarterly revenue was down 9.8% compared to the same quarter last year.

A number of other equities analysts have also weighed in on CAT. StockNews.com lowered Caterpillar from a “buy” rating to a “hold” rating in a research report on Tuesday, February 25th. JPMorgan Chase & Co. decreased their price target on Caterpillar from $490.00 to $380.00 and set an “overweight” rating for the company in a research report on Monday, April 14th. UBS Group upgraded Caterpillar from a “sell” rating to a “neutral” rating and increased their price target for the company from $272.00 to $357.00 in a research report on Friday, May 16th. Wedbush raised Caterpillar to an “outperform” rating in a research note on Monday, February 3rd. Finally, Robert W. Baird raised Caterpillar from a “neutral” rating to an “outperform” rating and increased their price objective for the stock from $309.00 to $395.00 in a research note on Tuesday, May 13th. Six investment analysts have rated the stock with a hold rating, nine have assigned a buy rating and one has issued a strong buy rating to the stock. According to MarketBeat, Caterpillar has an average rating of “Moderate Buy” and an average target price of $375.33.

Caterpillar Trading Down 2.0%

NYSE:CAT opened at $342.67 on Wednesday. The company has a quick ratio of 0.89, a current ratio of 1.42 and a debt-to-equity ratio of 1.40. Caterpillar has a 1-year low of $267.30 and a 1-year high of $418.50. The firm has a market capitalization of $161.41 billion, a price-to-earnings ratio of 15.53, a price-to-earnings-growth ratio of 1.87 and a beta of 1.35. The stock has a fifty day simple moving average of $318.06 and a 200 day simple moving average of $353.46.

Caterpillar Dividend Announcement

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, May 20th. Investors of record on Monday, April 21st were paid a $1.41 dividend. This represents a $5.64 dividend on an annualized basis and a dividend yield of 1.65%. The ex-dividend date was Monday, April 21st. Caterpillar’s payout ratio is 27.49%.

Insider Activity at Caterpillar

In related news, Director David Maclennan acquired 375 shares of the business’s stock in a transaction that occurred on Wednesday, May 7th. The shares were acquired at an average cost of $320.70 per share, with a total value of $120,262.50. Following the purchase, the director now owns 6,653 shares of the company’s stock, valued at approximately $2,133,617.10. The trade was a 5.97% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. 0.33% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the stock. Flagship Wealth Advisors LLC acquired a new stake in Caterpillar in the 4th quarter valued at approximately $26,000. Halbert Hargrove Global Advisors LLC acquired a new stake in Caterpillar in the 4th quarter valued at approximately $27,000. Cyrus J. Lawrence LLC acquired a new stake in Caterpillar in the 4th quarter valued at approximately $27,000. Noble Wealth Management PBC acquired a new stake in Caterpillar in the 4th quarter valued at approximately $31,000. Finally, Investment Management Corp VA ADV acquired a new stake in Caterpillar in the 4th quarter valued at approximately $33,000. 70.98% of the stock is owned by institutional investors.

About Caterpillar

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.