Caterpillar Inc. (NYSE:CAT) Sees Large Decline in Short Interest

Caterpillar Inc. (NYSE:CAT) was the target of a large drop in short interest in the month of October. As of October 31st, there was short interest totalling 10,590,000 shares, a drop of 10.3% from the October 15th total of 11,810,000 shares. Currently, 2.2% of the company’s shares are sold short. Based on an average trading volume of 2,340,000 shares, the short-interest ratio is currently 4.5 days.

Insider Activity at Caterpillar

In related news, insider Lange Bob De sold 12,657 shares of the firm’s stock in a transaction on Thursday, November 7th. The shares were sold at an average price of $410.25, for a total value of $5,192,534.25. Following the completion of the transaction, the insider now owns 71,107 shares of the company’s stock, valued at approximately $29,171,646.75. This trade represents a 15.11 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, insider Anthony D. Fassino sold 3,185 shares of the stock in a transaction dated Friday, August 30th. The stock was sold at an average price of $351.36, for a total transaction of $1,119,081.60. Following the transaction, the insider now owns 33,442 shares of the company’s stock, valued at approximately $11,750,181.12. This represents a 8.70 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 23,749 shares of company stock worth $9,251,912 in the last ninety days. Company insiders own 0.29% of the company’s stock.

Hedge Funds Weigh In On Caterpillar

Hedge funds have recently bought and sold shares of the company. International Assets Investment Management LLC raised its holdings in shares of Caterpillar by 39,534.0% during the third quarter. International Assets Investment Management LLC now owns 2,136,667 shares of the industrial products company’s stock valued at $8,356,930,000 after purchasing an additional 2,131,276 shares during the last quarter. Canada Pension Plan Investment Board increased its stake in Caterpillar by 306.9% in the 1st quarter. Canada Pension Plan Investment Board now owns 407,677 shares of the industrial products company’s stock worth $149,385,000 after buying an additional 307,479 shares in the last quarter. Altshuler Shaham Ltd boosted its stake in shares of Caterpillar by 3,319.7% in the second quarter. Altshuler Shaham Ltd now owns 275,011 shares of the industrial products company’s stock worth $91,606,000 after acquiring an additional 266,969 shares during the period. Swedbank AB bought a new stake in Caterpillar during the 1st quarter valued at approximately $97,042,000. Finally, Zurich Insurance Group Ltd FI boosted its position in shares of Caterpillar by 4,018.6% during the third quarter. Zurich Insurance Group Ltd FI now owns 255,355 shares of the industrial products company’s stock worth $99,874,000 after acquiring an additional 249,155 shares during the last quarter. Institutional investors own 70.98% of the company’s stock.

Caterpillar Price Performance

Shares of NYSE CAT traded down $2.13 during midday trading on Tuesday, hitting $382.33. 1,772,256 shares of the company’s stock were exchanged, compared to its average volume of 2,605,664. Caterpillar has a 12-month low of $241.81 and a 12-month high of $418.50. The company has a market cap of $184.59 billion, a price-to-earnings ratio of 17.83, a PEG ratio of 1.90 and a beta of 1.10. The company has a current ratio of 1.40, a quick ratio of 0.86 and a debt-to-equity ratio of 1.33. The business’s fifty day moving average price is $382.87 and its two-hundred day moving average price is $354.71.

Caterpillar (NYSE:CAT) last announced its quarterly earnings data on Wednesday, October 30th. The industrial products company reported $5.17 EPS for the quarter, missing the consensus estimate of $5.33 by ($0.16). The firm had revenue of $16.11 billion for the quarter, compared to the consensus estimate of $16.37 billion. Caterpillar had a net margin of 16.26% and a return on equity of 59.09%. Caterpillar’s revenue for the quarter was down 4.2% compared to the same quarter last year. During the same quarter last year, the company posted $5.52 earnings per share. As a group, research analysts forecast that Caterpillar will post 21.68 EPS for the current fiscal year.

Caterpillar Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Wednesday, November 20th. Investors of record on Monday, October 21st will be paid a $1.41 dividend. The ex-dividend date of this dividend is Monday, October 21st. This represents a $5.64 annualized dividend and a yield of 1.48%. Caterpillar’s payout ratio is 26.15%.

Analyst Upgrades and Downgrades

Several equities analysts have recently commented on the company. Robert W. Baird upped their target price on Caterpillar from $299.00 to $300.00 and gave the company an “underperform” rating in a research report on Thursday, October 31st. Bank of America upped their price target on shares of Caterpillar from $376.00 to $434.00 and gave the company a “buy” rating in a research note on Monday, September 30th. Evercore ISI cut shares of Caterpillar from an “in-line” rating to an “underperform” rating and lifted their price objective for the stock from $321.00 to $365.00 in a research note on Wednesday, November 13th. Barclays increased their target price on shares of Caterpillar from $315.00 to $335.00 and gave the stock an “equal weight” rating in a research report on Wednesday, August 7th. Finally, Truist Financial lifted their price target on shares of Caterpillar from $399.00 to $456.00 and gave the company a “buy” rating in a research report on Wednesday, October 9th. Four equities research analysts have rated the stock with a sell rating, eight have issued a hold rating and six have assigned a buy rating to the stock. According to data from MarketBeat, the stock currently has an average rating of “Hold” and an average price target of $365.33.

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.