Q4 EPS Estimates for Caterpillar Boosted by Zacks Research

Caterpillar Inc. (NYSE:CAT) – Stock analysts at Zacks Research upped their Q4 2025 EPS estimates for shares of Caterpillar in a research note issued on Thursday, January 8th. Zacks Research analyst Team now expects that the industrial products company will earn $4.32 per share for the quarter, up from their previous forecast of $4.31. The consensus estimate for Caterpillar’s current full-year earnings is $19.86 per share. Zacks Research also issued estimates for Caterpillar’s Q2 2026 earnings at $5.27 EPS, Q3 2026 earnings at $6.06 EPS, FY2026 earnings at $21.01 EPS, Q1 2027 earnings at $5.30 EPS, Q2 2027 earnings at $6.60 EPS and Q3 2027 earnings at $6.65 EPS.

Other research analysts also recently issued research reports about the company. HSBC raised Caterpillar from a “hold” rating to a “buy” rating and upped their price objective for the stock from $405.00 to $660.00 in a report on Wednesday, November 5th. Erste Group Bank raised Caterpillar from a “hold” rating to a “buy” rating in a research note on Friday, October 3rd. Morgan Stanley lifted their price objective on Caterpillar from $380.00 to $395.00 and gave the stock an “underweight” rating in a research report on Wednesday, December 10th. Hsbc Global Res upgraded shares of Caterpillar from a “hold” rating to a “strong-buy” rating in a research report on Thursday, November 6th. Finally, Barclays lifted their price target on shares of Caterpillar from $485.00 to $555.00 and gave the stock an “equal weight” rating in a research report on Thursday, October 30th. Three investment analysts have rated the stock with a Strong Buy rating, fifteen have assigned a Buy rating, six have given a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $618.70.

Caterpillar Price Performance

CAT opened at $608.82 on Friday. The company has a debt-to-equity ratio of 1.34, a current ratio of 1.38 and a quick ratio of 0.86. The stock has a market capitalization of $284.91 billion, a P/E ratio of 31.25, a price-to-earnings-growth ratio of 2.32 and a beta of 1.57. The company’s 50 day simple moving average is $578.52 and its 200-day simple moving average is $491.35. Caterpillar has a one year low of $267.30 and a one year high of $627.50.

Caterpillar (NYSE:CAT) last posted its quarterly earnings data on Monday, November 3rd. The industrial products company reported $4.95 earnings per share for the quarter, beating the consensus estimate of $4.52 by $0.43. Caterpillar had a net margin of 14.34% and a return on equity of 47.16%. The firm had revenue of $17.64 billion during the quarter, compared to analysts’ expectations of $16.72 billion. During the same quarter last year, the company posted $5.17 EPS. The company’s quarterly revenue was up 9.5% compared to the same quarter last year.

Caterpillar Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Thursday, February 19th. Investors of record on Tuesday, January 20th will be issued a dividend of $1.51 per share. The ex-dividend date is Tuesday, January 20th. This represents a $6.04 dividend on an annualized basis and a yield of 1.0%. Caterpillar’s payout ratio is currently 31.01%.

Insider Transactions at Caterpillar

In other news, CFO Andrew R. J. Bonfield sold 10,000 shares of Caterpillar stock in a transaction on Wednesday, December 31st. The shares were sold at an average price of $575.06, for a total transaction of $5,750,600.00. Following the transaction, the chief financial officer directly owned 45,460 shares of the company’s stock, valued at $26,142,227.60. This trade represents a 18.03% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, insider Jason Kaiser sold 10,707 shares of the business’s stock in a transaction on Tuesday, November 11th. The shares were sold at an average price of $563.60, for a total transaction of $6,034,465.20. Following the completion of the transaction, the insider directly owned 8,649 shares of the company’s stock, valued at $4,874,576.40. This trade represents a 55.32% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders have sold 54,729 shares of company stock valued at $31,084,308. Corporate insiders own 0.33% of the company’s stock.

Hedge Funds Weigh In On Caterpillar

Several institutional investors and hedge funds have recently modified their holdings of the business. Pacific Point Advisors LLC acquired a new stake in shares of Caterpillar during the fourth quarter worth $579,000. Brighton Jones LLC increased its holdings in Caterpillar by 51.5% during the 4th quarter. Brighton Jones LLC now owns 7,409 shares of the industrial products company’s stock worth $2,688,000 after purchasing an additional 2,519 shares in the last quarter. Caxton Associates LLP acquired a new stake in shares of Caterpillar in the 1st quarter valued at about $483,000. MBB Public Markets I LLC bought a new stake in shares of Caterpillar in the first quarter valued at about $309,000. Finally, Woodline Partners LP boosted its position in shares of Caterpillar by 39.3% during the first quarter. Woodline Partners LP now owns 40,378 shares of the industrial products company’s stock worth $13,317,000 after buying an additional 11,384 shares during the period. 70.98% of the stock is currently owned by institutional investors and hedge funds.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar announced a major expanded collaboration with NVIDIA to add AI, voice and robotics across machines, factories and supply chains — positioning CAT to sell higher‑margin software, services and autonomous solutions. Caterpillar Teams With NVIDIA to Revolutionize Heavy Industry with Physical AI and Robotics
• Positive Sentiment: Caterpillar unveiled the Cat AI assistant and previewed multiple autonomous construction machines at CES — a clear product roadmap toward autonomy that could increase equipment utilization, reduce operator costs and create recurring software/service revenue. Caterpillar Unveils the Next Era of Autonomy in Construction
• Positive Sentiment: Company committed $25M to workforce development tied to its AI push and highlighted early autonomous deployments beyond mining (quarry), supporting faster commercial adoption and dealer/service network expansion. Caterpillar Unveils AI-Powered Future and Invests in the Workforce Building It
• Neutral Sentiment: Broad media coverage (TechCrunch, Equipment World, eWeek, DatacenterDynamics) amplifies the AI/autonomy message — useful for brand positioning though timing of revenue impact is multi‑year. Caterpillar taps Nvidia to bring AI to its construction equipment
• Neutral Sentiment: Unusually large options volume was reported — signals elevated trader interest/volatility but not a directional fundamental change. Caterpillar Sees Unusually Large Options Volume (NYSE:CAT)
• Neutral Sentiment: Coverage noting Caterpillar among stocks attracting investor attention and mentions in dividend‑focused lists support income investors’ interest, but these are background items rather than catalysts. Caterpillar Inc. (CAT) is Attracting Investor Attention
• Negative Sentiment: An article flags political/legal risk around potential tariff rollbacks — removal of tariffs that have supported domestic demand could weigh on equipment demand if sustained. Trump Tariff Takedown Threat: 2 Stocks Facing Supreme Court Doom
• Negative Sentiment: Insider selling reported (Andrew Bonfield sold 10,000 shares) — small in isolation but worth noting as a potential short‑term negative signal to some investors. Andrew Bonfield Sells 10,000 Shares of Caterpillar (NYSE:CAT) Stock

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.