Royal Capital Wealth Management LLC Invests $1.17 Million in Caterpillar Inc. $CAT

Royal Capital Wealth Management LLC bought a new stake in shares of Caterpillar Inc. (NYSE:CAT) in the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The institutional investor bought 1,100 shares of the industrial products company’s stock, valued at approximately $1,171,000. Caterpillar accounts for approximately 0.7% of Royal Capital Wealth Management LLC’s investment portfolio, making the stock its 26th biggest holding.

Other hedge funds and other institutional investors have also recently added to or reduced their stakes in the company. White Knight Strategic Wealth Advisors LLC bought a new position in Caterpillar in the 2nd quarter worth approximately $428,000. Legal & General Group Plc bought a new stake in Caterpillar in the 2nd quarter valued at $2,783,451,000. The Manufacturers Life Insurance Company acquired a new stake in Caterpillar in the 2nd quarter worth $325,977,000. Kelly Lawrence W & Associates Inc. CA bought a new stake in shares of Caterpillar in the second quarter valued at about $1,043,000. Finally, Trajan Wealth LLC bought a new stake in shares of Caterpillar in the second quarter valued at about $10,863,000. Institutional investors and hedge funds own 70.98% of the company’s stock.

Wall Street Analyst Weigh In

CAT has been the topic of several research reports. Weiss Ratings upgraded Caterpillar from a “buy (b-)” rating to a “buy (b)” rating in a research note on Wednesday, August 19th. JPMorgan Chase & Co. lifted their price objective on Caterpillar from $1,125.00 to $1,165.00 and gave the stock an “overweight” rating in a report on Wednesday, June 17th. Rothschild & Co Redburn boosted their price objective on Caterpillar from $700.00 to $950.00 and gave the company a “neutral” rating in a research report on Thursday, May 14th. DA Davidson upped their target price on Caterpillar from $845.00 to $882.00 and gave the company a “neutral” rating in a research note on Thursday, August 6th. Finally, Oppenheimer reaffirmed an “outperform” rating and issued a $1,118.00 target price on shares of Caterpillar in a research report on Tuesday, August 4th. One investment analyst has rated the stock with a Strong Buy rating, thirteen have given a Buy rating and eleven have issued a Hold rating to the stock. According to MarketBeat, Caterpillar presently has a consensus rating of “Moderate Buy” and a consensus price target of $995.52.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: FieldAI partnership supports the automation outlook. Caterpillar is combining its construction-equipment expertise with FieldAI’s physical-AI technology to develop autonomous capabilities for machines and improve safety, productivity and visibility at jobsites. The initiative could create longer-term revenue opportunities in equipment, software and services. Caterpillar partners with FieldAI for equipment automation
• Positive Sentiment: Analyst and quantitative sentiment has improved. Zacks upgraded CAT to Rank #1, or “Strong Buy,” citing rising optimism about earnings prospects. Erste Group Bank also raised its fiscal 2026 EPS forecast, adding to the constructive outlook. Caterpillar upgraded to Strong Buy
• Positive Sentiment: AI infrastructure is boosting Power & Energy demand. Caterpillar’s retail sales to power-generation users reportedly surged 72% year over year in the second quarter, as data centers and generative-AI infrastructure increase demand for reliable power. This gives CAT an additional growth driver beyond traditional construction and mining markets. Can CAT Stock Compound Its Way Higher?
• Neutral Sentiment: Recent earnings performance remains a strength, but expectations are elevated. Caterpillar’s latest quarterly results exceeded consensus estimates for both earnings and revenue, with revenue up 23.7% year over year. A sector review described CAT as the strongest heavy-machinery performer, though investors are increasingly pricing in continued execution.
• Negative Sentiment: Valuation and performance concerns could limit upside. Commentary notes that CAT has outperformed peers in the stock market more than in underlying business performance, leaving the shares dependent on future growth. The stock has also declined since its latest earnings report, while a report tied the recent weakness to insider selling. CAT Has Left Its Peers Behind. Or Has It?

Caterpillar Trading Up 1.7%

Shares of CAT opened at $813.51 on Friday. 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 stock has a market cap of $373.95 billion, a PE ratio of 35.00, a PEG ratio of 1.41 and a beta of 1.60. Caterpillar Inc. has a 1 year low of $416.44 and a 1 year high of $1,073.46. The stock has a 50 day simple moving average of $872.52 and a 200-day simple moving average of $838.46.

Caterpillar (NYSE:CAT) last announced its quarterly earnings results on Tuesday, August 4th. The industrial products company reported $8.17 EPS for the quarter, beating the consensus estimate of $6.22 by $1.95. Caterpillar had a return on equity of 55.53% and a net margin of 14.51%.The business had revenue of $20.54 billion for the quarter, compared to analyst estimates of $19.34 billion. During the same quarter in the previous year, the firm earned $4.72 EPS. Caterpillar’s quarterly revenue was up 23.7% on a year-over-year basis. On average, sell-side analysts predict that Caterpillar Inc. will post 27.34 EPS for the current fiscal year.

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, August 19th. Stockholders of record on Monday, July 20th were paid a $1.63 dividend. The ex-dividend date was Monday, July 20th. This represents a $6.52 annualized dividend and a dividend yield of 0.8%. This is a boost from Caterpillar’s previous quarterly dividend of $1.51. Caterpillar’s dividend payout ratio is presently 28.06%.

Insider Buying and Selling at Caterpillar

In other news, CEO Joseph E. Creed sold 32,401 shares of the company’s stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $808.98, for a total value of $26,211,760.98. Following the sale, the chief executive officer owned 34,555 shares of the company’s stock, valued at approximately $27,954,303.90. This represents a 48.39% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Insiders own 0.33% of the company’s stock.

About Caterpillar

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.