Varma Mutual Pension Insurance Co Takes Position in Caterpillar Inc. $CAT

Varma Mutual Pension Insurance Co acquired a new position in shares of Caterpillar Inc. (NYSE:CAT) during the second quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 74,116 shares of the industrial products company’s stock, valued at approximately $78,926,000.

A number of other hedge funds and other institutional investors have also added to or reduced their stakes in the company. Decker Retirement Planning Inc. lifted its holdings in shares of Caterpillar by 440.0% in the 2nd quarter. Decker Retirement Planning Inc. now owns 27 shares of the industrial products company’s stock worth $29,000 after purchasing an additional 22 shares in the last quarter. Matrix Trust Co raised its holdings in Caterpillar by 93.8% during the second quarter. Matrix Trust Co now owns 31 shares of the industrial products company’s stock worth $33,000 after buying an additional 15 shares during the last quarter. Axiom Investment Management LLC bought a new position in shares of Caterpillar in the second quarter valued at $36,000. Lam Group Inc. acquired a new position in shares of Caterpillar during the first quarter valued at about $26,000. Finally, Tacita Capital Inc bought a new stake in shares of Caterpillar during the second quarter worth about $47,000. 70.98% of the stock is owned by institutional investors.

Key Caterpillar News

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: AI and robotics expansion: Caterpillar is collaborating with FieldAI, using physical AI, autonomy, robotics, digital twins and NVIDIA technology to improve safety, productivity and decision-making at construction sites and factories. The initiative could support higher-margin technology and services revenue over time. Caterpillar and FieldAI Advance AI-Powered Industrial Innovation
• Positive Sentiment: Data-center power demand remains a growth driver: Caterpillar’s Power & Energy business is benefiting from rising electricity needs tied to data centers and artificial-intelligence infrastructure. Retail sales to power-generation users reportedly surged 72% year over year in the second quarter, strengthening the long-term growth narrative. Can CAT Stock Compound Its Way Higher?
• Positive Sentiment: Higher earnings forecast: Erste Group Bank raised its fiscal 2026 EPS estimate to $27.50 from $24.78, modestly above consensus. Caterpillar’s latest quarter also showed strong momentum, with EPS of $8.17 and revenue of $20.54 billion exceeding estimates. Caterpillar FY2026 EPS Forecast Raised by Erste Group Bank
• Neutral Sentiment: Pullback creates a valuation debate: Analysts describe the recent decline as potentially attractive, but Caterpillar still trades at a relatively elevated earnings multiple. Investors are assessing whether expected AI, power-generation and industrial growth is already reflected in the share price. That Dip in Caterpillar Stock Looks Tempting, But Don’t Ignore the Catch
• Negative Sentiment: CEO insider sale adds pressure: Chief Executive Joseph Creed sold 32,401 shares for approximately $26.2 million, reducing his holdings by 48.39%. The transaction may weigh on sentiment, although it does not necessarily indicate deteriorating business prospects. SEC Insider Transaction Filing
• Negative Sentiment: Post-earnings weakness and technical concerns: CAT’s decline since earnings suggests investors may be taking profits after the strong report, while the stock remains below its recent moving averages. A trader has also argued that the shares may be ready to be “faded,” reinforcing near-term caution. Time to Start Fading Caterpillar Stock

Caterpillar Price Performance

Shares of NYSE CAT opened at $798.29 on Friday. The company has a market capitalization of $366.95 billion, a PE ratio of 34.35, a PEG ratio of 1.38 and a beta of 1.60. The company has a quick ratio of 0.85, a current ratio of 1.37 and a debt-to-equity ratio of 1.65. The stock’s 50 day moving average price is $876.18 and its 200-day moving average price is $838.63. Caterpillar Inc. has a twelve month low of $414.29 and a twelve month high of $1,073.46.

Caterpillar (NYSE:CAT) last issued its quarterly earnings results on Tuesday, August 4th. The industrial products company reported $8.17 EPS for the quarter, beating analysts’ consensus estimates of $6.22 by $1.95. Caterpillar had a return on equity of 55.53% and a net margin of 14.51%.The company had revenue of $20.54 billion during the quarter, compared to the consensus estimate of $19.34 billion. During the same period last year, the business posted $4.72 earnings per share. Caterpillar’s revenue was up 23.7% on a year-over-year basis. On average, equities analysts anticipate that Caterpillar Inc. will post 27.35 EPS for the current year.

Caterpillar Increases Dividend

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

Insider Transactions at Caterpillar

In related news, CEO Joseph E. Creed sold 32,401 shares of the firm’s stock in a transaction dated Friday, August 28th. The shares were sold at an average price of $808.98, for a total transaction of $26,211,760.98. Following the completion of the sale, the chief executive officer owned 34,555 shares in the company, valued at approximately $27,954,303.90. This trade represents a 48.39% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Company insiders own 0.33% of the company’s stock.

Analysts Set New Price Targets

Several equities analysts recently weighed in on the stock. Evercore reaffirmed an “outperform” rating and issued a $1,103.00 price target on shares of Caterpillar in a research report on Monday, May 11th. Oppenheimer reissued an “outperform” rating and set a $1,118.00 price objective on shares of Caterpillar in a report on Tuesday, August 4th. UBS Group raised their target price on Caterpillar from $900.00 to $925.00 and gave the company a “neutral” rating in a report on Wednesday, August 5th. DA Davidson lifted their target price on Caterpillar from $845.00 to $882.00 and gave the company a “neutral” rating in a research report on Thursday, August 6th. Finally, JPMorgan Chase & Co. upped their price target on Caterpillar from $1,125.00 to $1,165.00 and gave the stock an “overweight” rating in a report on Wednesday, June 17th. One equities research analyst has rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eleven have assigned a Hold rating to the company. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and a consensus price target of $995.52.

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.