Zacks Research Lowers Earnings Estimates for Caterpillar

Caterpillar Inc. (NYSE:CAT) – Zacks Research lowered their Q4 2025 earnings estimates for shares of Caterpillar in a note issued to investors on Tuesday, August 19th. Zacks Research analyst Team now anticipates that the industrial products company will post earnings per share of $4.47 for the quarter, down from their previous estimate of $4.54. The consensus estimate for Caterpillar’s current full-year earnings is $19.86 per share. Zacks Research also issued estimates for Caterpillar’s Q1 2026 earnings at $4.34 EPS, Q3 2026 earnings at $4.85 EPS, FY2026 earnings at $19.60 EPS, Q1 2027 earnings at $4.53 EPS, Q2 2027 earnings at $5.29 EPS and FY2027 earnings at $20.76 EPS.

CAT has been the topic of a number of other research reports. JPMorgan Chase & Co. boosted their price objective on shares of Caterpillar from $475.00 to $520.00 and gave the stock an “overweight” rating in a research report on Wednesday, August 6th. Bank of America increased their target price on shares of Caterpillar from $460.00 to $495.00 and gave the stock a “buy” rating in a report on Wednesday, August 6th. Evercore ISI upgraded shares of Caterpillar from an “in-line” rating to an “outperform” rating and set a $476.00 target price for the company in a report on Tuesday. Oppenheimer increased their target price on shares of Caterpillar from $395.00 to $483.00 and gave the stock an “outperform” rating in a report on Thursday, July 17th. Finally, Truist Financial increased their target price on shares of Caterpillar from $414.00 to $507.00 and gave the stock a “buy” rating in a report on Wednesday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and five have issued a Hold rating to the stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $450.87.

Caterpillar Stock Performance

Shares of CAT stock opened at $417.4240 on Friday. The company has a market capitalization of $195.55 billion, a P/E ratio of 21.23, a price-to-earnings-growth ratio of 2.51 and a beta of 1.40. Caterpillar has a 52 week low of $267.30 and a 52 week high of $441.15. The company’s 50 day moving average price is $404.15 and its two-hundred day moving average price is $357.31. The company has a debt-to-equity ratio of 1.50, a quick ratio of 0.81 and a current ratio of 1.34.

Caterpillar (NYSE:CAT) last announced its earnings results on Tuesday, August 5th. The industrial products company reported $4.72 EPS for the quarter, missing the consensus estimate of $4.88 by ($0.16). The company had revenue of $16.57 billion for the quarter, compared to analyst estimates of $16.14 billion. Caterpillar had a return on equity of 48.95% and a net margin of 14.95%.The business’s quarterly revenue was down .7% on a year-over-year basis. During the same quarter last year, the business posted $5.99 earnings per share.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 20th. Investors of record on Monday, July 21st were paid a $1.51 dividend. This is a boost from Caterpillar’s previous quarterly dividend of $1.41. This represents a $6.04 annualized dividend and a dividend yield of 1.4%. The ex-dividend date of this dividend was Monday, July 21st. Caterpillar’s dividend payout ratio (DPR) is 30.72%.

Insiders Place Their Bets

In other Caterpillar news, insider Jason Kaiser sold 2,161 shares of Caterpillar stock in a transaction on Monday, August 11th. The shares were sold at an average price of $417.70, for a total transaction of $902,649.70. Following the completion of the transaction, the insider directly owned 8,632 shares of the company’s stock, valued at $3,605,586.40. The trade was a 20.02% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Susan C. Schwab sold 2,324 shares of Caterpillar stock in a transaction on Friday, August 15th. The stock was sold at an average price of $410.00, for a total transaction of $952,840.00. Following the transaction, the director directly owned 6,917 shares of the company’s stock, valued at approximately $2,835,970. This trade represents a 25.15% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders own 0.33% of the company’s stock.

Institutional Investors Weigh In On Caterpillar

A number of institutional investors have recently modified their holdings of CAT. Pacific Point Advisors LLC bought a new stake in shares of Caterpillar in the fourth quarter valued at about $579,000. Brighton Jones LLC boosted its position in shares of Caterpillar by 51.5% in the fourth quarter. Brighton Jones LLC now owns 7,409 shares of the industrial products company’s stock valued at $2,688,000 after acquiring an additional 2,519 shares during the period. Adage Capital Partners GP L.L.C. bought a new stake in shares of Caterpillar in the fourth quarter valued at about $26,129,000. Evercore Wealth Management LLC boosted its position in shares of Caterpillar by 1.9% in the fourth quarter. Evercore Wealth Management LLC now owns 10,167 shares of the industrial products company’s stock valued at $3,688,000 after acquiring an additional 194 shares during the period. Finally, Burling Wealth Partners LLC bought a new stake in shares of Caterpillar in the fourth quarter valued at about $352,000. Institutional investors own 70.98% of the company’s stock.

Caterpillar Company Profile

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.