Q1 EPS Estimates for Caterpillar Lifted by Zacks Research

Caterpillar Inc. (NYSE:CAT) – Equities researchers at Zacks Research boosted their Q1 2026 earnings per share estimates for Caterpillar in a report released on Thursday, January 8th. Zacks Research analyst Team now anticipates that the industrial products company will earn $3.97 per share for the quarter, up from their prior forecast of $3.87. The consensus estimate for Caterpillar’s current full-year earnings is $19.86 per share. Zacks Research also issued estimates for Caterpillar’s Q4 2026 earnings at $5.71 EPS, Q4 2027 earnings at $5.43 EPS and FY2027 earnings at $23.98 EPS.

Caterpillar (NYSE:CAT) last announced its earnings results on Monday, November 3rd. The industrial products company reported $4.95 EPS for the quarter, topping 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 for the quarter, compared to the consensus estimate of $16.72 billion. During the same quarter last year, the firm posted $5.17 EPS. The business’s quarterly revenue was up 9.5% on a year-over-year basis.

Several other brokerages also recently issued reports on CAT. Wolfe Research raised their price objective on shares of Caterpillar from $470.00 to $670.00 and gave the stock an “outperform” rating in a research note on Friday, January 2nd. Bank of America raised their price target on shares of Caterpillar from $594.00 to $650.00 and gave the stock a “buy” rating in a research report on Thursday, October 30th. UBS Group upped their price objective on shares of Caterpillar from $506.00 to $581.00 and gave the company a “neutral” rating in a research report on Tuesday, November 4th. Robert W. Baird lifted their target price on Caterpillar from $612.00 to $680.00 and gave the stock an “outperform” rating in a research report on Thursday, October 30th. Finally, Jefferies Financial Group upped their price target on Caterpillar from $570.00 to $700.00 and gave the company a “buy” rating in a report on Wednesday, November 5th. Three investment analysts have rated the stock with a Strong Buy rating, sixteen have assigned a Buy rating, six have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Caterpillar currently has a consensus rating of “Moderate Buy” and an average price target of $619.70.

Caterpillar Stock Performance

CAT opened at $636.39 on Monday. The company has a quick ratio of 0.86, a current ratio of 1.38 and a debt-to-equity ratio of 1.34. The stock’s 50 day moving average price is $582.28 and its two-hundred day moving average price is $498.31. The firm has a market capitalization of $297.82 billion, a P/E ratio of 32.67, a price-to-earnings-growth ratio of 2.44 and a beta of 1.57. Caterpillar has a 12-month low of $267.30 and a 12-month high of $644.59.

Caterpillar Announces Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Thursday, February 19th. Shareholders of record on Tuesday, January 20th will be issued a dividend of $1.51 per share. The ex-dividend date of this dividend is Tuesday, January 20th. This represents a $6.04 dividend on an annualized basis and a dividend yield of 0.9%. Caterpillar’s dividend payout ratio (DPR) is presently 31.01%.

Insider Buying and Selling

In related news, CFO Andrew R. J. Bonfield sold 10,000 shares of the stock in a transaction dated 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 completion of the sale, the chief financial officer owned 45,460 shares in the company, valued at $26,142,227.60. This trade represents a 18.03% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director David Maclennan acquired 300 shares of the firm’s stock in a transaction on Thursday, November 6th. The shares were purchased at an average cost of $568.86 per share, for a total transaction of $170,658.00. Following the completion of the purchase, the director directly owned 7,947 shares of the company’s stock, valued at approximately $4,520,730.42. The trade was a 3.92% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have sold 54,729 shares of company stock worth $31,084,308 in the last three months. Company insiders own 0.33% of the company’s stock.

Institutional Trading of Caterpillar

Several large investors have recently made changes to their positions in CAT. Kilter Group LLC bought a new position in shares of Caterpillar in the second quarter worth about $27,000. Mid American Wealth Advisory Group Inc. acquired a new position in Caterpillar during the 2nd quarter worth $28,000. Marquette Asset Management LLC boosted its position in Caterpillar by 1,060.0% in the 3rd quarter. Marquette Asset Management LLC now owns 58 shares of the industrial products company’s stock valued at $28,000 after buying an additional 53 shares during the last quarter. IFS Advisors LLC acquired a new stake in shares of Caterpillar in the 4th quarter valued at $31,000. Finally, Family Legacy Financial Solutions LLC bought a new stake in shares of Caterpillar during the second quarter worth $32,000. Institutional investors own 70.98% of the company’s stock.

Key Headlines Impacting Caterpillar

Here are the key news stories impacting Caterpillar this week:

• Positive Sentiment: Caterpillar’s market value topped the $300 billion mark as an AI-driven rally lifted industrial names; coverage highlights investor enthusiasm that CAT’s equipment and fleet-management technology could capture AI/autonomy demand. Caterpillar Crosses $300 Billion in Market Value on AI Rally
• Positive Sentiment: Analyst and media pieces point to Caterpillar’s ties to NVIDIA and broader AI robotics trends (autonomous fleets, on-machine AI), which investors view as a durable growth catalyst beyond cyclical construction demand. That thematic linkage is supporting multiple buy-side narratives. This NVIDIA Partnership Shows How Big AI Can Really Get (CAT)
• Positive Sentiment: Zacks and other research outlets have raised earnings estimates and highlighted short?term outperformance, reinforcing the bullish case and giving investors more confidence in near-term guidance and valuation support. Caterpillar (CAT) Laps the Stock Market: Here’s Why Zacks Research Lifts Earnings Estimates for Caterpillar
• Positive Sentiment: Short interest fell ~21% in December to ~5.6M shares (?1.2% of float), reducing immediate bearish pressure and the potential for a short?squeeze reversal dynamic to fade — a technical positive. (Internal short?interest data)
• Neutral Sentiment: High?profile bullish mentions (e.g., Jim Cramer) and broader media coverage are boosting sentiment and attention, but these are noisy catalysts whose impact depends on follow?through from fundamentals and orders. “Caterpillar (CAT)’s incredible,” Says Jim Cramer
• Negative Sentiment: Be aware of a separate small?cap miner using the ticker CAT (CAT Strategic Metals) that announced a Quebec REE deal; this is unrelated to Caterpillar Inc. and can cause ticker confusion among retail investors and news feeds. Clarify holdings to avoid misattribution. CAT Strategic Metals Enters into Binding Memorandum Of Understanding to Acquire a District-Scale Rare Earth Elements Project in Quebec

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.