Caterpillar (NYSE:CAT) Stock Price Down 3.4% on Insider Selling

Caterpillar Inc. (NYSE:CAT) shares dropped 3.4% on Friday following insider selling activity. The company traded as low as $880.20 and last traded at $888.8980. Approximately 2,818,093 shares traded hands during mid-day trading, an increase of 4% from the average daily volume of 2,696,898 shares. The stock had previously closed at $920.22.

Specifically, insider Denise C. Johnson sold 6,196 shares of Caterpillar stock in a transaction on Wednesday, May 13th. The shares were sold at an average price of $909.79, for a total value of $5,637,058.84. Following the completion of the transaction, the insider directly owned 49,825 shares of the company’s stock, valued at $45,330,286.75. This trade represents a 11.06% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CAO William E. Schaupp sold 360 shares of Caterpillar stock in a transaction on Wednesday, May 13th. The stock was sold at an average price of $906.00, for a total transaction of $326,160.00. Following the completion of the transaction, the chief accounting officer directly owned 530 shares of the company’s stock, valued at $480,180. The trade was a 40.45% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In other Caterpillar news, insider Anthony D. Fassino sold 16,283 shares of Caterpillar stock in a transaction on Monday, May 11th. The shares were sold at an average price of $916.80, for a total value of $14,928,254.40. Following the completion of the transaction, the insider directly owned 46,041 shares of the company’s stock, valued at $42,210,388.80. This trade represents a 26.13% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link.

Analyst Ratings Changes

CAT has been the subject of a number of recent research reports. Weiss Ratings reissued a “buy (b-)” rating on shares of Caterpillar in a research note on Friday, May 8th. Williams Trading set a $825.00 price objective on shares of Caterpillar in a research note on Tuesday, March 10th. Citigroup lifted their price objective on shares of Caterpillar from $905.00 to $1,020.00 and gave the stock a “buy” rating in a research note on Friday, May 1st. Evercore reaffirmed an “outperform” rating and set a $1,103.00 price target on shares of Caterpillar in a research note on Monday. Finally, DA Davidson lifted their price target on shares of Caterpillar from $650.00 to $845.00 and gave the stock a “neutral” rating in a research note on Monday, May 4th. Sixteen research analysts have rated the stock with a Buy rating and nine have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Caterpillar has an average rating of “Moderate Buy” and a consensus price target of $923.14.

Key Stories Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Rothschild & Co Redburn raised its price target on Caterpillar to $950 from $700, which signals continued upside expectations even though the firm kept a neutral rating. Rothschild & Co Redburn adjusts price target on Caterpillar to $950 from $700, maintains neutral rating
• Positive Sentiment: Caterpillar announced plans to add 600 jobs at its Sanford, North Carolina plant to build compact track loaders, a sign of strong production demand. Caterpillar hiring 600 workers at Sanford plant
• Positive Sentiment: Jim Cramer said Caterpillar is “a buy,” pointing to potential tailwinds from oil and gas, infrastructure spending, and AI data-center power demand. Jim Cramer Says “Caterpillar Is a Buy”
• Positive Sentiment: Industry research on Saudi Arabia’s construction equipment market highlighted Caterpillar as a key player in a market expected to grow steadily through 2030, supported by major infrastructure investment. Saudi Arabia Construction Equipment Industry Research 2026-2031 Featuring Caterpillar, Komatsu, Hitachi, Volvo, Liebherr, SANY, XCMG, LiuGong, JCB, Zoomlion, Hyundai, Kobelco
• Neutral Sentiment: Several commentary pieces reiterated Caterpillar’s strong execution and its role in AI-related power generation, but these were mostly opinion-driven rather than new company-specific developments. Caterpillar: A Masterclass In Execution Meeting An Irrationally Exuberant Valuation
• Negative Sentiment: Insider selling by executives Denise C. Johnson and William E. Schaupp may slightly pressure sentiment, though the sales were modest relative to their remaining holdings. Denise C. Johnson insider trade
• Negative Sentiment: Zacks warned that Caterpillar could face rising tariff-driven costs and margin pressure, estimating a $2.2 billion to $2.4 billion tariff impact in 2026. Can Caterpillar Sustain Margins Amid Rising Tariff Pressures?

Caterpillar Stock Performance

The company has a current ratio of 1.35, a quick ratio of 0.81 and a debt-to-equity ratio of 1.64. The business’s 50 day moving average is $772.09 and its 200 day moving average is $678.58. The stock has a market capitalization of $409.42 billion, a PE ratio of 44.25, a PEG ratio of 1.81 and a beta of 1.63.

Caterpillar (NYSE:CAT) last released its quarterly earnings results on Thursday, April 30th. The industrial products company reported $5.54 EPS for the quarter, topping analysts’ consensus estimates of $4.65 by $0.89. The firm had revenue of $17.42 billion during the quarter, compared to analysts’ expectations of $16.53 billion. Caterpillar had a net margin of 13.33% and a return on equity of 48.21%. The firm’s revenue for the quarter was up 22.2% compared to the same quarter last year. During the same period in the previous year, the company earned $4.25 EPS. On average, equities research analysts predict that Caterpillar Inc. will post 24.21 earnings per share for the current fiscal year.

Caterpillar Dividend Announcement

The business also recently disclosed a quarterly dividend, which will be paid on Tuesday, May 19th. Shareholders of record on Monday, April 20th will be given a $1.51 dividend. This represents a $6.04 annualized dividend and a yield of 0.7%. The ex-dividend date of this dividend is Monday, April 20th. Caterpillar’s payout ratio is 30.06%.

Institutional Investors Weigh In On Caterpillar

Several large investors have recently added to or reduced their stakes in CAT. Wellington Management Group LLP boosted its position in Caterpillar by 3,949.8% in the 3rd quarter. Wellington Management Group LLP now owns 5,228,058 shares of the industrial products company’s stock valued at $2,494,568,000 after buying an additional 5,098,964 shares during the period. Diamant Asset Management Inc. grew its position in Caterpillar by 68,427.2% during the 1st quarter. Diamant Asset Management Inc. now owns 3,140,603 shares of the industrial products company’s stock worth $2,224,992,000 after purchasing an additional 3,136,020 shares during the last quarter. Capital International Investors purchased a new stake in Caterpillar during the 4th quarter worth approximately $1,225,317,000. Massachusetts Financial Services Co. MA grew its position in Caterpillar by 1,851.8% during the 3rd quarter. Massachusetts Financial Services Co. MA now owns 1,830,414 shares of the industrial products company’s stock worth $873,382,000 after purchasing an additional 1,736,631 shares during the last quarter. Finally, Northwestern Mutual Wealth Management Co. grew its position in Caterpillar by 573.1% during the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 1,504,612 shares of the industrial products company’s stock worth $861,947,000 after purchasing an additional 1,281,087 shares during the last quarter. 70.98% of the stock is owned by hedge funds and other institutional investors.

Caterpillar Company Profile

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.