Traders Sell Shares of Caterpillar (CAT) on Strength (CAT)

Traders sold shares of Caterpillar Inc. (NYSE:CAT) on strength during trading hours on Friday. $219.88 million flowed into the stock on the tick-up and $248.10 million flowed out of the stock on the tick-down, for a money net flow of $28.22 million out of the stock. Of all companies tracked, Caterpillar had the 0th highest net out-flow for the day. Caterpillar traded up $1.09 for the day and closed at $125.79

Several brokerages have weighed in on CAT. Daiwa Capital Markets set a $120.00 price objective on Caterpillar and gave the stock a “hold” rating in a research note on Thursday, October 25th. Stifel Nicolaus reduced their price objective on Caterpillar from $168.00 to $142.00 and set a “hold” rating on the stock in a research note on Monday, October 29th. ValuEngine raised Caterpillar from a “strong sell” rating to a “sell” rating in a research note on Thursday. Credit Suisse Group reduced their price objective on Caterpillar from $210.00 to $183.00 and set an “outperform” rating on the stock in a research note on Wednesday, October 24th. Finally, DZ Bank raised Caterpillar to a “hold” rating and reduced their price objective for the stock from $127.00 to $119.00 in a research note on Wednesday, October 24th. Two equities research analysts have rated the stock with a sell rating, twelve have assigned a hold rating, fifteen have assigned a buy rating and two have given a strong buy rating to the company’s stock. Caterpillar currently has a consensus rating of “Buy” and a consensus price target of $158.55.

The company has a market cap of $74.23 billion, a P/E ratio of 18.28, a P/E/G ratio of 0.69 and a beta of 1.58. The company has a quick ratio of 1.02, a current ratio of 1.48 and a debt-to-equity ratio of 1.60.

Caterpillar (NYSE:CAT) last released its earnings results on Tuesday, October 23rd. The industrial products company reported $2.86 EPS for the quarter, beating analysts’ consensus estimates of $2.83 by $0.03. The firm had revenue of $13.51 billion for the quarter, compared to analysts’ expectations of $13.28 billion. Caterpillar had a return on equity of 44.13% and a net margin of 7.13%. The company’s quarterly revenue was up 18.4% on a year-over-year basis. During the same quarter in the prior year, the firm posted $1.95 earnings per share. As a group, equities analysts predict that Caterpillar Inc. will post 11.64 earnings per share for the current fiscal year.

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, November 20th. Stockholders of record on Monday, October 22nd will be paid a dividend of $0.86 per share. The ex-dividend date is Friday, October 19th. This represents a $3.44 dividend on an annualized basis and a dividend yield of 2.73%. Caterpillar’s dividend payout ratio is 50.00%.

In related news, insider Denise C. Johnson sold 35,051 shares of the business’s stock in a transaction that occurred on Tuesday, October 2nd. The stock was sold at an average price of $154.18, for a total value of $5,404,163.18. Following the completion of the sale, the insider now owns 22,826 shares in the company, valued at $3,519,312.68. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Lange Bob De purchased 1,080 shares of the stock in a transaction that occurred on Friday, October 26th. The stock was purchased at an average price of $115.58 per share, with a total value of $124,826.40. Following the acquisition, the insider now directly owns 11,310 shares of the company’s stock, valued at approximately $1,307,209.80. The disclosure for this purchase can be found here. Corporate insiders own 0.36% of the company’s stock.

Several hedge funds and other institutional investors have recently made changes to their positions in CAT. Cerebellum GP LLC purchased a new stake in shares of Caterpillar in the second quarter valued at approximately $168,000. DnB Asset Management AS boosted its holdings in shares of Caterpillar by 9.4% in the second quarter. DnB Asset Management AS now owns 96,697 shares of the industrial products company’s stock valued at $13,119,000 after purchasing an additional 8,300 shares during the period. IFM Investors Pty Ltd boosted its holdings in shares of Caterpillar by 47.1% in the second quarter. IFM Investors Pty Ltd now owns 27,067 shares of the industrial products company’s stock valued at $3,672,000 after purchasing an additional 8,661 shares during the period. CENTRAL TRUST Co boosted its holdings in shares of Caterpillar by 2.6% in the second quarter. CENTRAL TRUST Co now owns 63,617 shares of the industrial products company’s stock valued at $8,631,000 after purchasing an additional 1,610 shares during the period. Finally, Fisher Asset Management LLC boosted its holdings in shares of Caterpillar by 11.1% in the second quarter. Fisher Asset Management LLC now owns 7,501 shares of the industrial products company’s stock valued at $1,018,000 after purchasing an additional 752 shares during the period. Hedge funds and other institutional investors own 66.54% of the company’s stock.

About Caterpillar (NYSE:CAT)

Caterpillar Inc manufactures and sells construction and mining equipment, diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives for construction, resource, and energy and transportation industries. Its Construction Industries segment offers asphalt pavers, backhoe loaders, compactors, cold planers, compact truck and multi-terrain loaders, forestry excavators, feller bunchers, harvesters, knuckleboom loaders, motorgraders, pipelayers, road reclaimers, site prep tractors, skidders, skid steer loaders, telehandlers, track-type loaders, wheel excavators, and track-type tractors.

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