Convergence Financial LLC Acquires 409 Shares of Caterpillar Inc. $CAT

Convergence Financial LLC boosted its position in shares of Caterpillar Inc. (NYSE:CAT) by 45.3% in the 2nd quarter, Holdings Channel.com reports. The fund owned 1,312 shares of the industrial products company’s stock after purchasing an additional 409 shares during the period. Convergence Financial LLC’s holdings in Caterpillar were worth $509,000 at the end of the most recent reporting period.

Several other large investors have also recently bought and sold shares of the company. Mid American Wealth Advisory Group Inc. purchased a new position in Caterpillar during the second quarter worth about $28,000. Compass Financial Services Inc increased its position in shares of Caterpillar by 49.2% in the first quarter. Compass Financial Services Inc now owns 94 shares of the industrial products company’s stock worth $31,000 after purchasing an additional 31 shares during the last quarter. Family Legacy Financial Solutions LLC purchased a new stake in Caterpillar in the second quarter valued at approximately $32,000. Harbor Asset Planning Inc. bought a new stake in Caterpillar during the second quarter valued at approximately $34,000. Finally, Total Wealth Planning & Management Inc. purchased a new position in Caterpillar in the 2nd quarter worth approximately $38,000. 70.98% of the stock is owned by institutional investors.

Caterpillar Price Performance

CAT stock opened at $547.38 on Wednesday. The company has a current ratio of 1.38, a quick ratio of 0.81 and a debt-to-equity ratio of 1.34. The firm’s 50-day moving average price is $483.50 and its two-hundred day moving average price is $413.75. The stock has a market capitalization of $256.44 billion, a price-to-earnings ratio of 28.10, a PEG ratio of 3.33 and a beta of 1.51. Caterpillar Inc. has a 12-month low of $267.30 and a 12-month high of $596.21.

Caterpillar (NYSE:CAT) last announced its quarterly earnings results on Wednesday, October 29th. The industrial products company reported $4.95 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.52 by $0.43. The company had revenue of $17.64 billion for the quarter, compared to the consensus estimate of $16.72 billion. Caterpillar had a return on equity of 47.16% and a net margin of 14.34%.During the same quarter in the previous year, the business earned $5.17 EPS. Caterpillar’s revenue was up 9.5% compared to the same quarter last year. As a group, equities analysts predict that Caterpillar Inc. will post 19.86 earnings per share for the current year.

Caterpillar Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, November 20th. Shareholders of record on Monday, October 20th will be given a dividend of $1.51 per share. This represents a $6.04 annualized dividend and a yield of 1.1%. The ex-dividend date of this dividend is Monday, October 20th. Caterpillar’s payout ratio is presently 31.01%.

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the stock. Oppenheimer upped their target price on shares of Caterpillar from $513.00 to $645.00 and gave the stock an “outperform” rating in a research report on Thursday, October 30th. JPMorgan Chase & Co. increased their price objective on Caterpillar from $650.00 to $730.00 and gave the company an “overweight” rating in a research report on Thursday, October 30th. Erste Group Bank raised Caterpillar from a “hold” rating to a “buy” rating in a research note on Friday, October 3rd. Weiss Ratings restated a “buy (b)” rating on shares of Caterpillar in a report on Tuesday, October 14th. Finally, Bank of America boosted their price target on shares of Caterpillar from $594.00 to $650.00 and gave the stock a “buy” rating in a research note on Thursday, October 30th. Two research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating, five have assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $584.50.

Insider Activity

In related news, Director Susan C. Schwab sold 2,324 shares of the company’s stock in a transaction on Friday, August 15th. The stock was sold at an average price of $410.00, for a total value of $952,840.00. Following the sale, the director directly owned 6,917 shares of the company’s stock, valued at $2,835,970. This represents a 25.15% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Jason Kaiser sold 2,161 shares of the firm’s stock in a transaction on Monday, August 11th. The shares were sold at an average price of $417.70, for a total value of $902,649.70. Following the transaction, the insider directly owned 8,632 shares of the company’s stock, valued at $3,605,586.40. This represents a 20.02% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 55,985 shares of company stock worth $25,559,300 in the last quarter. 0.33% of the stock is owned by company insiders.

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.