Zacks Research Increases Earnings Estimates for Caterpillar

Caterpillar Inc. (NYSE:CAT) – Research analysts at Zacks Research upped their Q1 2026 EPS estimates for shares of Caterpillar in a report issued on Friday, March 20th. Zacks Research analyst Team now forecasts that the industrial products company will post earnings of $4.46 per share for the quarter, up from their previous estimate of $4.38. The consensus estimate for Caterpillar’s current full-year earnings is $19.86 per share. Zacks Research also issued estimates for Caterpillar’s FY2026 earnings at $21.46 EPS, Q2 2027 earnings at $5.99 EPS, Q4 2027 earnings at $7.12 EPS, FY2027 earnings at $24.17 EPS and FY2028 earnings at $28.88 EPS.

Several other equities research analysts have also commented on CAT. Robert W. Baird set a $805.00 price objective on Caterpillar in a research note on Friday, January 30th. Argus boosted their price target on Caterpillar from $625.00 to $820.00 and gave the stock a “buy” rating in a research report on Wednesday, February 11th. Citigroup raised their price objective on Caterpillar from $760.00 to $785.00 and gave the company a “buy” rating in a report on Monday, March 9th. Royal Bank Of Canada upped their target price on shares of Caterpillar from $587.00 to $658.00 and gave the stock a “sector perform” rating in a report on Friday, January 30th. Finally, HSBC increased their target price on shares of Caterpillar from $660.00 to $850.00 and gave the company a “buy” rating in a research report on Thursday, February 5th. Sixteen research analysts have rated the stock with a Buy rating, seven have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $730.50.

Caterpillar Stock Down 1.2%

CAT opened at $680.15 on Monday. The company has a market cap of $316.47 billion, a PE ratio of 36.14, a price-to-earnings-growth ratio of 1.61 and a beta of 1.53. Caterpillar has a twelve month low of $267.30 and a twelve month high of $789.81. The company has a 50-day moving average price of $701.95 and a 200 day moving average price of $595.65. The company has a quick ratio of 0.94, a current ratio of 1.44 and a debt-to-equity ratio of 1.44.

Caterpillar (NYSE:CAT) last posted its quarterly earnings data on Thursday, January 29th. The industrial products company reported $5.16 earnings per share for the quarter, topping analysts’ consensus estimates of $4.67 by $0.49. Caterpillar had a net margin of 13.14% and a return on equity of 45.76%. The company had revenue of $19.13 billion during the quarter, compared to analysts’ expectations of $17.81 billion. During the same period in the prior year, the business posted $5.14 earnings per share. The firm’s revenue for the quarter was up 17.9% on a year-over-year basis.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. increased its position in shares of Caterpillar by 1.0% during the fourth quarter. Vanguard Group Inc. now owns 46,385,185 shares of the industrial products company’s stock worth $26,572,681,000 after acquiring an additional 442,164 shares during the period. State Street Corp increased its holdings in Caterpillar by 1.1% during the 4th quarter. State Street Corp now owns 35,388,550 shares of the industrial products company’s stock worth $20,273,039,000 after purchasing an additional 385,204 shares during the period. Geode Capital Management LLC raised its position in Caterpillar by 0.9% in the 4th quarter. Geode Capital Management LLC now owns 10,610,182 shares of the industrial products company’s stock valued at $6,072,572,000 after purchasing an additional 94,524 shares in the last quarter. Fisher Asset Management LLC boosted its stake in shares of Caterpillar by 0.6% in the 4th quarter. Fisher Asset Management LLC now owns 9,493,266 shares of the industrial products company’s stock valued at $5,438,408,000 after buying an additional 54,069 shares during the period. Finally, Bank of America Corp DE grew its position in shares of Caterpillar by 16.0% during the fourth quarter. Bank of America Corp DE now owns 6,738,802 shares of the industrial products company’s stock worth $3,860,457,000 after buying an additional 928,974 shares in the last quarter. Institutional investors and hedge funds own 70.98% of the company’s stock.

Insiders Place Their Bets

In other news, CFO Andrew R. J. Bonfield sold 10,000 shares of the stock in a transaction on Wednesday, December 31st. The stock was sold at an average price of $575.06, for a total transaction of $5,750,600.00. Following the completion of the transaction, the chief financial officer directly owned 45,460 shares in the company, valued at approximately $26,142,227.60. This represents a 18.03% decrease in their position. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, insider Denise C. Johnson sold 39,138 shares of Caterpillar stock in a transaction dated Monday, February 2nd. The shares were sold at an average price of $681.08, for a total transaction of $26,656,109.04. Following the sale, the insider owned 43,350 shares of the company’s stock, valued at approximately $29,524,818. This represents a 47.45% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last quarter, insiders have sold 135,950 shares of company stock worth $94,327,990. Corporate insiders own 0.33% of the company’s stock.

More Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Zacks raised multiple EPS forecasts for Caterpillar, including Q1 2026 (from $4.38 to $4.46), FY2026 (to $21.46), FY2027 (to $24.17), Q4 FY2027 (to $7.12) and FY2028 (to $28.88). Those upgrades signal modestly stronger earnings outlooks across several periods, which is supportive for the stock.
• Neutral Sentiment: Local interest/brand stories highlighting heavy‑equipment operators may support long‑term demand narratives but are unlikely to move the stock near term. Digging for gold: How a Wells man earned the title of world’s best heavy machinery operator
• Negative Sentiment: Zacks trimmed Q2 FY2027 EPS slightly (6.01 → 5.99), a small downgrade that could signal near‑term variability. Additionally, valuation concerns after a ~100% one‑year rally are being highlighted in market commentary, which can pressure the stock as investors weigh future growth vs current price levels. Is It Too Late To Consider Caterpillar (CAT) After A 105% One Year Surge?

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.