Caterpillar Inc. (NYSE:CAT) Director Buys $33,859.00 in Stock

Caterpillar Inc. (NYSE:CAT) Director Gerald Johnson purchased 100 shares of the firm’s stock in a transaction on Wednesday, September 4th. The shares were purchased at an average price of $338.59 per share, with a total value of $33,859.00. Following the completion of the acquisition, the director now directly owns 2,842 shares of the company’s stock, valued at $962,272.78. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website.

Caterpillar Price Performance

NYSE:CAT opened at $329.32 on Friday. The company has a quick ratio of 0.78, a current ratio of 1.28 and a debt-to-equity ratio of 1.39. The firm has a market cap of $161.05 billion, a PE ratio of 14.87, a price-to-earnings-growth ratio of 1.66 and a beta of 1.12. Caterpillar Inc. has a 12 month low of $223.76 and a 12 month high of $382.01. The company’s 50-day moving average price is $339.86 and its two-hundred day moving average price is $343.24.

Caterpillar (NYSE:CAT) last released its quarterly earnings results on Tuesday, August 6th. The industrial products company reported $5.99 EPS for the quarter, topping analysts’ consensus estimates of $5.53 by $0.46. Caterpillar had a return on equity of 59.88% and a net margin of 16.58%. The business had revenue of $16.69 billion for the quarter, compared to analyst estimates of $16.91 billion. During the same period in the prior year, the company earned $5.55 EPS. Caterpillar’s revenue for the quarter was down 3.6% on a year-over-year basis. On average, equities analysts anticipate that Caterpillar Inc. will post 21.87 EPS for the current fiscal year.

Caterpillar announced that its board has authorized a stock repurchase plan on Wednesday, June 12th that authorizes the company to repurchase $20.00 billion in shares. This repurchase authorization authorizes the industrial products company to reacquire up to 12.7% of its stock through open market purchases. Stock repurchase plans are generally a sign that the company’s management believes its stock is undervalued.

Caterpillar Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, August 20th. Investors of record on Monday, July 22nd were issued a $1.41 dividend. This represents a $5.64 dividend on an annualized basis and a dividend yield of 1.71%. This is a boost from Caterpillar’s previous quarterly dividend of $1.30. The ex-dividend date of this dividend was Monday, July 22nd. Caterpillar’s payout ratio is currently 25.46%.

Wall Street Analyst Weigh In

Several research analysts have commented on the company. Raymond James initiated coverage on Caterpillar in a research report on Friday, June 28th. They issued a “market perform” rating on the stock. Truist Financial reiterated a “buy” rating and set a $399.00 target price (up from $390.00) on shares of Caterpillar in a research note on Wednesday, August 7th. StockNews.com lowered shares of Caterpillar from a “buy” rating to a “hold” rating in a research report on Thursday. UBS Group upped their price target on Caterpillar from $270.00 to $285.00 and gave the company a “sell” rating in a report on Wednesday, August 7th. Finally, Citigroup started coverage on shares of Caterpillar in a report on Wednesday, June 26th. They issued a “buy” rating and a $380.00 price target on the stock. Two equities research analysts have rated the stock with a sell rating, ten have assigned a hold rating and seven have issued a buy rating to the stock. According to MarketBeat, the stock currently has an average rating of “Hold” and a consensus target price of $336.31.

Hedge Funds Weigh In On Caterpillar

A number of institutional investors have recently modified their holdings of CAT. Sanctuary Advisors LLC bought a new stake in shares of Caterpillar during the 2nd quarter valued at $39,548,000. Creekside Partners acquired a new stake in shares of Caterpillar during the second quarter worth $923,000. Centennial Bank AR increased its holdings in Caterpillar by 99.2% in the second quarter. Centennial Bank AR now owns 261 shares of the industrial products company’s stock valued at $87,000 after purchasing an additional 130 shares during the last quarter. Strategic Investment Solutions Inc. IL acquired a new position in Caterpillar in the second quarter valued at about $114,000. Finally, Souders Financial Advisors boosted its holdings in Caterpillar by 0.8% during the second quarter. Souders Financial Advisors now owns 3,657 shares of the industrial products company’s stock worth $1,218,000 after buying an additional 29 shares during the last quarter. 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.