NYSE:CAT

Caterpillar (CAT)

1,057.01
+62.56 (6.29%)
as of Jun 25, 2026, 8:00:00 pm Market Open.
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Investor Insights
star iconJun 25, 2026, 12:00 am

This summary was created by AI, based on 31 opinions in the last 12 months.

Caterpillar (CAT) has been a popular choice among experts, primarily due to its robust earnings growth and significant backlog of orders, reportedly exceeding $60 billion. While many express optimism regarding its potential in the infrastructure and data center segments driven by trends like AI and energy demand, concerns about its current P/E ratio, which has risen considerably to 32-36x, have led some to take profits or warn against buying at this level. The stock has seen hefty appreciation in 2023, with reports of increases around 140% for some investors, indicating both excitement and caution about its overheated status. Overall, CAT is viewed as a strong play on global infrastructure but analysts suggest caution regarding its valuation and the cyclical nature of the industrial sector.

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Consensus
Positive
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Valuation
Overvalued
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Similar
Deere,DE
PAST TOP PICK
(A Top Pick Dec 13/10. Up 1%.) Away from the equipment stocks now.
PAST TOP PICK
(A Top Pick Nov 18/10. Up 7.55%.) Largest manufacturer of construction equipment globally. Pretty cheap at 10X forward PE.
BUY
Likes it for its brand and size and where they are in the world. Lots of business from emerging markets. Near term it is getting hit by Europe and China questions.
COMMENT
Chart shows a long upward run from early 2009 to early 2011. If you own, Sell if it goes below $79. Its resistance point is going to be around $92. Today's action was good but volume wasn't great.
HOLD
It didn’t break down too far below its trend line. There are negative signals right now, though. Put in a stop loss so it doesn’t go any further down.
BUY
As your investment appreciates you have to make sure it does not overweight everything else. A great company. One of the nice things is that 2/3rds if revenue comes from outside of US. Benefit from emerging markets and China boom. They say they will grow earnings 15% this cycle.
DON'T BUY
A cyclical stock tied into resources. Will trade with resources and resource prices have come off quite a bit and this has followed. He doesn't expect resource prices to turn around.
BUY
Got hit hard in the last few weeks with the market sell off. Looking at 15%-20% earnings growth. Now trading at less than 10X next year’s earnings. Doesn't feel the global economy is going to come to a screeching hope so there is plenty of room for them in both the building and mining sides.
COMMENT
A number of Dow industrial stocks, including this one, Had an intraday reversal. (Early weakness followed by strength during the day.)
TOP PICK
(A Top Pick Aug 18/10. Up 46.78%.) In the sweet spot in terms of emerging markets. A lot of activity in the commodities space. Looking to grow earnings 15%-20% annually. Very cheap.
COMMENT
Likes it long term but would like to see it come down to the $70s or $80s.
DON'T BUY
Weaker US$ has helped them a lot. A commodity related cyclical stock. Has peaked for now and has some downside here. Commodities are in a seasonally weak period so this stock looks horrible here.
DON'T BUY
Cyclical stock, not a growth stock that has been riding the commodity boom. As long as commodities are doing well and mining companies are going to need more equipment, the stock will continue to do well. Expensive here. He would rather own Kubota (KUB-N) of Japan, which will benefit more from reconstruction in Japan.
WAIT
When you look at their numbers and guidance, they think they will grow until 2015 at 20% per year. Al lot of growth in the minding side, plus they made an acquisition. They are seeing a lot of growth in all their areas. Are expanding internationally. It’s hard to buy here, but if they meet their forecast, then they will go higher. Buy it on weakness/pull back.
TOP PICK
A great global brand that is a great global play in industries where they have money to spend. It’s also a play on new tax incentives in the US. They are sold out of product. There are drivers that could go on for some time.
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