Morgan Stanley Issues Positive Forecast for Caterpillar (NYSE:CAT) Stock Price

Caterpillar (NYSE:CAT) had its price target lifted by Morgan Stanley from $395.00 to $400.00 in a research report sent to investors on Friday,Benzinga reports. Morgan Stanley currently has an underweight rating on the industrial products company’s stock.

A number of other equities analysts have also recently issued reports on CAT. Bank of America boosted their price objective on shares of Caterpillar from $650.00 to $708.00 and gave the company a “buy” rating in a research report on Wednesday, January 14th. HSBC upgraded Caterpillar from a “hold” rating to a “buy” rating and boosted their price target for the company from $405.00 to $660.00 in a report on Wednesday, November 5th. Weiss Ratings reiterated a “buy (b)” rating on shares of Caterpillar in a research report on Monday, December 29th. Truist Financial reaffirmed a “buy” rating and issued a $729.00 price target (up previously from $582.00) on shares of Caterpillar in a research note on Thursday, October 30th. Finally, Citigroup lifted their price objective on Caterpillar from $690.00 to $710.00 and gave the company a “buy” rating in a research report on Tuesday, January 13th. One research analyst has rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, seven have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock has a consensus rating of “Moderate Buy” and a consensus target price of $637.70.

Caterpillar Stock Down 3.3%

CAT opened at $626.71 on Friday. Caterpillar has a 12 month low of $267.30 and a 12 month high of $655.78. The company has a current ratio of 1.38, a quick ratio of 0.86 and a debt-to-equity ratio of 1.34. The business’s 50-day moving average price is $594.45 and its 200-day moving average price is $510.56. The company has a market cap of $293.29 billion, a P/E ratio of 32.17, a P/E/G ratio of 2.50 and a beta of 1.57.

Caterpillar (NYSE:CAT) last announced its quarterly earnings data on Monday, November 3rd. The industrial products company reported $4.95 earnings per share for the quarter, beating the consensus estimate of $4.52 by $0.43. Caterpillar had a return on equity of 47.16% and a net margin of 14.34%.The firm had revenue of $17.64 billion during the quarter, compared to the consensus estimate of $16.72 billion. During the same quarter in the previous year, the company posted $5.17 earnings per share. The business’s revenue was up 9.5% on a year-over-year basis. On average, equities analysts expect that Caterpillar will post 19.86 EPS for the current year.

Caterpillar Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, February 19th. Investors of record on Tuesday, January 20th will be given a dividend of $1.51 per share. The ex-dividend date of this dividend is Tuesday, January 20th. This represents a $6.04 annualized dividend and a dividend yield of 1.0%. Caterpillar’s dividend payout ratio (DPR) is 31.01%.

Insiders Place Their Bets

In other news, CAO William E. Schaupp sold 1,200 shares of Caterpillar stock in a transaction that occurred on Wednesday, November 5th. The shares were sold at an average price of $572.22, for a total value of $686,664.00. Following the completion of the sale, the chief accounting officer directly owned 1,323 shares in the company, valued at $757,047.06. The trade was a 47.56% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Also, insider Anthony D. Fassino sold 8,184 shares of the firm’s stock in a transaction that occurred on Monday, November 10th. The stock was sold at an average price of $570.18, for a total transaction of $4,666,353.12. Following the completion of the sale, the insider owned 41,512 shares in the company, valued at $23,669,312.16. This represents a 16.47% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 54,729 shares of company stock worth $31,084,308 in the last quarter. Insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Caterpillar

Several institutional investors have recently made changes to their positions in the business. Norges Bank bought a new stake in shares of Caterpillar in the 2nd quarter worth about $2,165,899,000. Groupe la Francaise boosted its position in Caterpillar by 82.0% in the 2nd quarter. Groupe la Francaise now owns 27,246 shares of the industrial products company’s stock valued at $10,820,000 after buying an additional 12,278 shares during the period. Trivium Point Advisory LLC increased its position in shares of Caterpillar by 132.9% during the second quarter. Trivium Point Advisory LLC now owns 1,926 shares of the industrial products company’s stock worth $748,000 after acquiring an additional 1,099 shares during the period. Union Bancaire Privee UBP SA grew its stake in Caterpillar by 155.9% in the third quarter. Union Bancaire Privee UBP SA now owns 47,231 shares of the industrial products company’s stock worth $21,014,000 after purchasing an additional 28,773 shares in the last quarter. Finally, Palmer Knight Co bought a new position in shares of Caterpillar during the 2nd quarter worth $5,884,000. Institutional investors own 70.98% of the company’s stock.

More Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar expanded its AI partnership with Nvidia to modernize machines and manufacturing — this supports long-term efficiency and product differentiation. Caterpillar, Nvidia Team Up to Transform Machines and Manufacturing
• Positive Sentiment: Rothschild & Co Redburn raised its price target to $650, signaling upside from some sell-side analysts who see more room to run. Rothschild & Co Redburn Increases Caterpillar Price Target to $650.00
• Positive Sentiment: Oppenheimer flagged positive expectations for CAT shares, adding a supportive analyst view that can buoy sentiment. Caterpillar Stock Price Expected to Rise, Oppenheimer Analyst Says
• Neutral Sentiment: Barclays raised its price target to $610 and kept an equal-weight rating — a modest tweak that acknowledges momentum but stops short of a buy call. Barclays Adjusts Caterpillar Price Target to $610
• Neutral Sentiment: Feature pieces highlight Caterpillar’s push into technology and AI-driven equipment, supporting long-term strategy but not guaranteed near-term revenue shifts. Building The World Through Technology At Caterpillar
• Neutral Sentiment: Recent valuation commentary examines whether recent share gains are justified — useful for investors weighing multiple analyst targets and high P/E multiple. Assessing Caterpillar (CAT) Valuation After Strong Recent Share Price Momentum
• Neutral Sentiment: Caterpillar is scheduled to release quarterly earnings this week; guidance and parts/services commentary will be key catalysts. Caterpillar to Release Quarterly Earnings on Thursday
• Negative Sentiment: Two market headlines note that Caterpillar’s share losses were a major contributor to a multi-hundred-point Dow decline, pressuring sentiment intraday. Goldman Sachs, Caterpillar share losses contribute to Dow’s 411-point drop
• Negative Sentiment: Analysts at Zacks caution CAT may report a decline in earnings next quarter, which raises risk around the upcoming print. Analysts Estimate Caterpillar to Report a Decline in Earnings
• Negative Sentiment: Morgan Stanley raised its price target to $400 but left an underweight rating — the low target implies significant downside in that shop’s view and may temper bullish momentum. Benzinga
• Negative Sentiment: A worker has sued, alleging wrongful firing after reporting racial harassment — a legal/HR risk that can create headline volatility. Caterpillar worker sues, claims firing came after racial harassment report

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.