Welch & Forbes LLC Has $21.44 Million Position in Caterpillar Inc. $CAT

Welch & Forbes LLC lifted its stake in Caterpillar Inc. (NYSE:CAT) by 5.8% during the second quarter, HoldingsChannel reports. The fund owned 20,137 shares of the industrial products company’s stock after purchasing an additional 1,106 shares during the quarter. Welch & Forbes LLC’s holdings in Caterpillar were worth $21,444,000 as of its most recent SEC filing.

Other hedge funds and other institutional investors have also modified their holdings of the company. State Street Corp raised its stake in shares of Caterpillar by 1.1% during the 4th quarter. State Street Corp now owns 35,388,550 shares of the industrial products company’s stock worth $20,273,039,000 after purchasing an additional 385,204 shares in the last quarter. Geode Capital Management LLC grew its stake in shares of Caterpillar by 0.9% in the 4th quarter. Geode Capital Management LLC now owns 10,610,182 shares of the industrial products company’s stock valued at $6,072,572,000 after buying an additional 94,524 shares in the last quarter. Fisher Asset Management LLC increased its holdings in Caterpillar by 0.6% in the fourth quarter. Fisher Asset Management LLC now owns 9,493,266 shares of the industrial products company’s stock worth $5,438,408,000 after buying an additional 54,069 shares during the last quarter. Bank of America Corp DE raised its position in Caterpillar by 16.0% during the fourth quarter. Bank of America Corp DE now owns 6,738,802 shares of the industrial products company’s stock valued at $3,860,457,000 after acquiring an additional 928,974 shares in the last quarter. Finally, Diamant Asset Management Inc. raised its position in Caterpillar by 68,427.2% during the first quarter. Diamant Asset Management Inc. now owns 3,140,603 shares of the industrial products company’s stock valued at $2,224,992,000 after acquiring an additional 3,136,020 shares in the last quarter. 70.98% of the stock is currently owned by hedge funds and other institutional investors.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Margins and 2026 outlook improved. Caterpillar’s second-quarter adjusted operating margin increased 430 basis points as higher sales volumes and pricing more than offset tariff-related costs and other expenses. The improvement helped support an upgraded 2026 outlook. Caterpillar’s Q2 Adjusted Operating Margin Rebounds: Is the Worst Over?
• Positive Sentiment: Record performance and backlog remain supportive. Recent coverage highlighted quarterly revenue of roughly $20.5 billion, a sizable earnings beat, year-over-year revenue growth of approximately 24%, and a strong backlog. These factors suggest continued demand for Caterpillar’s construction, mining, and industrial equipment.
• Neutral Sentiment: Analyst targets imply potential upside but also a high bar. Recent price targets have a median of $990, with estimates ranging from $845 to $1,218. However, Caterpillar’s elevated forward valuation leaves the stock sensitive to any slowdown in orders, margins, or economic growth.
• Neutral Sentiment: Relative performance coverage offers limited direction. Articles comparing Caterpillar with Gorman-Rupp and the broader industrial-products sector provide context on performance but do not identify a new fundamental catalyst for CAT.
• Negative Sentiment: Macro concerns are overshadowing company-specific strength. Investor discussions point to interest-rate uncertainty and broader industrial-sector worries as reasons for selling pressure following the earnings outperformance. The stock has also pulled back notably from its recent high, increasing focus on its valuation.
• Negative Sentiment: Insider selling and bearish positioning add pressure. QuiverQuant data shows substantially more insider sales than purchases over the past six months, while Michael Burry is reportedly betting against CAT. These signals may reinforce caution, although insider transactions can reflect portfolio and compensation decisions rather than a direct view of fundamentals.

Wall Street Analysts Forecast Growth

Several analysts have commented on the stock. Royal Bank Of Canada boosted their target price on shares of Caterpillar from $877.00 to $897.00 and gave the stock a “sector perform” rating in a research report on Wednesday, August 5th. HSBC lifted their price objective on shares of Caterpillar from $850.00 to $1,100.00 in a research note on Tuesday, May 5th. Zacks Research upgraded shares of Caterpillar from a “hold” rating to a “strong-buy” rating in a report on Wednesday, August 12th. Bank of America increased their target price on shares of Caterpillar from $930.00 to $989.00 and gave the stock a “buy” rating in a research report on Friday, May 1st. Finally, Erste Group Bank cut Caterpillar from a “buy” rating to a “hold” rating in a research report on Monday, July 27th. One research analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and eleven have given a Hold rating to the stock. Based on data from MarketBeat, Caterpillar presently has an average rating of “Moderate Buy” and a consensus target price of $995.52.

Caterpillar Price Performance

Shares of Caterpillar stock opened at $812.10 on Tuesday. The company has a current ratio of 1.37, a quick ratio of 0.85 and a debt-to-equity ratio of 1.65. The firm has a fifty day simple moving average of $906.43 and a 200-day simple moving average of $834.90. The stock has a market capitalization of $373.30 billion, a price-to-earnings ratio of 34.94, a PEG ratio of 1.45 and a beta of 1.60. Caterpillar Inc. has a 1-year low of $410.52 and a 1-year high of $1,073.46.

Caterpillar (NYSE:CAT) last posted its earnings results on Tuesday, August 4th. The industrial products company reported $8.17 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $6.22 by $1.95. The business had revenue of $20.54 billion for the quarter, compared to analyst estimates of $19.34 billion. Caterpillar had a net margin of 14.51% and a return on equity of 55.53%. Caterpillar’s revenue was up 23.7% compared to the same quarter last year. During the same period last year, the business posted $4.72 EPS. On average, sell-side analysts expect that Caterpillar Inc. will post 27.14 earnings per share for the current year.

Caterpillar Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th were given a $1.63 dividend. This is an increase from Caterpillar’s previous quarterly dividend of $1.51. This represents a $6.52 annualized dividend and a dividend yield of 0.8%. The ex-dividend date of this dividend was Monday, July 20th. Caterpillar’s dividend payout ratio (DPR) is 28.06%.

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.