Caterpillar Inc.
NASDAQ: CATKey stats
Price chart
About Caterpillar Inc.
Machinery
Company profile
- IPO date
- Dec 2, 1929
- Website
- www.caterpillar.com
Industrials peers
How CAT compares to other large companies in the same sector.
| Company | Price | Today | Market cap | P/E |
|---|---|---|---|---|
 BA Boeing Company | $217.65 | -1.10% | $171.02B | 76.52 |
Wall Street analyst ratings
DollarScout analysis
Editorial, not advice. See our methodology.
Bull case
Caterpillar has a strong competitive moat as a leader in heavy machinery, driven by its extensive product line and innovative machinery technology. The company's global presence and robust dealer network provide a broad reach and dependable revenue stream. With the world shifting towards sustainable practices, Caterpillar's investments in electric and autonomous machinery are significant growth drivers. Additionally, the construction boom in developing countries and infrastructure upgrades in developed nations underscore demand for Caterpillar's products. Despite a high P/E ratio, analyst recommendations suggest confidence in Caterpillar's continued growth trajectory and market leadership.
Bear case
Caterpillar's valuation is a point of concern with a P/E ratio of 41.41, significantly higher than many of its peers in the industrials sector, potentially suggesting the stock is overvalued. The low dividend yield of 0.7472% may also deter income-focused investors. The firm's exposure to economic cycles and commodity price fluctuations poses risks, as these can impact the demand for heavy machinery. Competition is fierce, with companies like Komatsu and Deere & Company vying for market share. Additionally, Caterpillar's beta of 1.5753 indicates higher volatility than the market, posing a risk for risk-averse investors.
Who should buy CAT
Caterpillar is best suited for growth-oriented investors willing to accept volatility and patient enough to hold long-term to realize potential growth in infrastructure and machinery demand. It's also suitable for those confident in the company's leadership in sustainability initiatives.
Key risks
- High P/E ratio may limit future stock price appreciation. - Economic downturns can heavily impact demand for industrial machinery. - Intense competition from global machinery manufacturers. - Volatility due to beta being significantly higher than the market average.
Where to buy CAT
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Recent CAT news
Caterpillar Inc. (NYSE:CAT) is among the stocks Jim Cramer reviewed while discussing the Iran ceasefire that triggered a relief rally. Cramer highlighted the positives around the company as he said: Now, Caterpillar’s different. Caterpillar’s up there, and its presence is a reminder of how terrific this market can be. CAT represents infrastructure money, construction money, […]
In early April 2026, Atlas Energy Solutions completed an upsized private placement of US$390 million in 0.50% Convertible Senior Notes due 2031, a callable, senior unsecured bond issued under Rule 144A with several major banks added as co-lead underwriters. The company intends to use the low-coupon convertible proceeds to refinance existing lease and credit facility obligations and help fund its new power generation build-out under the Caterpillar equipment agreement, while using capped call...
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A weekly summary of dividend activity for Dividend Champions, Contenders, and Challengers. Read the full list here.
Caterpillar stock poked above a buy point on Friday. Shares are up more than 10% this week, far outpacing the market's broad recovery.
Caterpillar (NYSE: CAT) is the world’s largest manufacturer of construction and mining equipment, with growing exposure to data center power generation through its large reciprocating engines. The company posted record full-year revenues of $67.6 billion in FY2025 and so far in 2026 has had a record backlog. For income investors, the core question is whether the ... Here’s What Makes Caterpillar’s Dividend One of the Safest in Industrials
A year ago, nobody bought Caterpillar (CAT) expecting an AI story. Yet, here we are.
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