Caterpillar (NYSE:CAT) Downgraded to “Hold” Rating by StockNews.com

StockNews.com lowered shares of Caterpillar (NYSE:CAT) from a buy rating to a hold rating in a research report report published on Friday morning.

Other research analysts also recently issued reports about the company. Bank of America lifted their target price on Caterpillar from $376.00 to $434.00 and gave the stock a “buy” rating in a report on Monday, September 30th. Morgan Stanley lowered Caterpillar from an “equal weight” rating to an “underweight” rating and cut their price objective for the stock from $349.00 to $332.00 in a research note on Monday, October 14th. Jefferies Financial Group upped their target price on Caterpillar from $455.00 to $475.00 and gave the company a “buy” rating in a report on Friday, December 6th. JPMorgan Chase & Co. raised their price target on shares of Caterpillar from $500.00 to $515.00 and gave the stock an “overweight” rating in a report on Monday, December 9th. Finally, Citigroup reduced their price objective on shares of Caterpillar from $460.00 to $420.00 and set a “buy” rating on the stock in a research note on Tuesday. Three analysts have rated the stock with a sell rating, eight have issued a hold rating and seven have given a buy rating to the company. According to MarketBeat.com, the company has a consensus rating of “Hold” and an average target price of $380.60.

Caterpillar Stock Performance

Shares of CAT stock opened at $386.03 on Friday. The business’s 50-day moving average price is $380.09 and its 200-day moving average price is $366.76. Caterpillar has a 12 month low of $277.66 and a 12 month high of $418.50. The company has a current ratio of 1.40, a quick ratio of 0.86 and a debt-to-equity ratio of 1.33. The firm has a market capitalization of $186.38 billion, a price-to-earnings ratio of 17.90, a PEG ratio of 1.72 and a beta of 1.13.

Caterpillar (NYSE:CAT) last posted its earnings results on Wednesday, October 30th. The industrial products company reported $5.17 earnings per share for the quarter, missing analysts’ consensus estimates of $5.33 by ($0.16). The business had revenue of $16.11 billion for the quarter, compared to the consensus estimate of $16.37 billion. Caterpillar had a return on equity of 59.09% and a net margin of 16.26%. The company’s revenue was down 4.2% compared to the same quarter last year. During the same period in the previous year, the firm earned $5.52 earnings per share. Equities research analysts forecast that Caterpillar will post 21.68 EPS for the current year.

Caterpillar Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, February 20th. Investors of record on Tuesday, January 21st will be paid a dividend of $1.41 per share. This represents a $5.64 dividend on an annualized basis and a yield of 1.46%. The ex-dividend date of this dividend is Tuesday, January 21st. Caterpillar’s dividend payout ratio (DPR) is currently 26.15%.

Insider Buying and Selling at Caterpillar

In other Caterpillar news, Director Daniel M. Dickinson sold 1,300 shares of Caterpillar stock in a transaction dated Wednesday, November 6th. The stock was sold at an average price of $418.00, for a total transaction of $543,400.00. Following the completion of the transaction, the director now owns 4,976 shares in the company, valued at approximately $2,079,968. The trade was a 20.71 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Gerald Johnson acquired 100 shares of the stock in a transaction dated Wednesday, December 4th. The stock was bought at an average cost of $398.57 per share, with a total value of $39,857.00. Following the completion of the purchase, the director now owns 2,953 shares of the company’s stock, valued at approximately $1,176,977.21. The trade was a 3.51 % increase in their ownership of the stock. The disclosure for this purchase can be found here. Over the last quarter, insiders sold 33,868 shares of company stock valued at $13,480,389. Company insiders own 0.29% of the company’s stock.

Institutional Investors Weigh In On Caterpillar

Institutional investors have recently bought and sold shares of the stock. Nordea Investment Management AB raised its holdings in shares of Caterpillar by 1.6% in the fourth quarter. Nordea Investment Management AB now owns 635,750 shares of the industrial products company’s stock valued at $231,686,000 after purchasing an additional 10,212 shares during the last quarter. Alpha Cubed Investments LLC increased its stake in Caterpillar by 5.6% in the 3rd quarter. Alpha Cubed Investments LLC now owns 116,566 shares of the industrial products company’s stock valued at $45,591,000 after buying an additional 6,212 shares during the last quarter. Citizens Financial Group Inc. RI lifted its position in shares of Caterpillar by 43.0% during the 3rd quarter. Citizens Financial Group Inc. RI now owns 13,902 shares of the industrial products company’s stock worth $5,437,000 after buying an additional 4,181 shares in the last quarter. First Affirmative Financial Network purchased a new position in shares of Caterpillar in the 3rd quarter worth approximately $204,000. Finally, Inspire Advisors LLC grew its holdings in shares of Caterpillar by 25.8% in the third quarter. Inspire Advisors LLC now owns 8,266 shares of the industrial products company’s stock valued at $3,233,000 after acquiring an additional 1,694 shares in the last quarter. Institutional investors own 70.98% of the company’s stock.

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.