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NYSE:CAT

Caterpillar (CAT)

815.09
+4.07 (0.50%)
as of Aug 25, 2026, 1:55:59 pm Market Open.
184 watching
0
Investor Insights
star iconAug 25, 2026, 12:00 am

This summary was created by AI, based on 38 opinions in the last 12 months.

Caterpillar (CAT) is viewed positively by many experts, highlighting its strong position in construction, mining, power generation, and its growing connection to data center buildouts driven by AI demands. The company has reported impressive earnings and a significant backlog of orders, supporting its potential for earnings growth. However, there are concerns regarding its current valuation, with some expert opinions describing it as overvalued given its high P/E ratio compared to its historical averages and the cyclical nature of its business. While some experts advocate for purchasing during pullbacks, others believe that the stock's performance has already priced in a lot of positivity, making them cautious. Overall, CAT represents a multi-year play benefiting from infrastructure modernization, electrification, and global industrial expansion.

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Consensus
Mixed
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Valuation
Overvalued
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Similar
Deere, DE
SELL
There are not only difficulties in North America and Europe, but also in Asia. The jury is out as to whether this is a cyclical problem that Asia is having or a longer-term problem. There are new Chinese competitors that are coming in.
WAIT
It’s the kind of stock people are cautious about due to the degree of economic uncertainty out there. Market things guidance is perhaps a little robust. But they have a history of being able to grow their business. He is not big on technical analysis but the fact that it is below the moving averages, there is no rush to buy the stock but if it comes back up, through them then perhaps there is.
BUY
Very good value at these levels. China is slowing but the stock trades at about 10X earnings. Extremely well-managed. Even with China slowing, there is still a lot of work to be done and there is a little bit more work being done in North America as well.
DON'T BUY
From a stability and dividend perspective, it is fine. Great balance sheet. Pretty decent track record of increasing dividends. A cyclical stock and you are seeing governments having to rein in their spending. You are likely to see infrastructure spending wear off in North America. There is definitely a moderation of economic activity in China, India and Brazil. They have exposure in countries like Argentina which are in the process of expropriating assets. Competition on similar machinery is coming out of China. The company he would watch would be Cummins Engines (CMI-N).
WAIT
World leader in capital equipment. Stock might face challenges in that it trades with commodities. Mining activity may decline because of China. This could be sensitive short term. Long term it will do well. We had a good run so put in a stop loss. If Chinese data surprises to the upside, CAT will be a beneficiary. Prefers other industrials like 3M, SGS group.
BUY
Has gone sideways for a little while as the construction industry has not picked up to the degree that they had hoped. Need for heavy equipment is going to be very important. Excellently managed company. Good fundamentals.
TOP PICK
Thinks we are in a secular bull market. There will be periods of time when emerging markets will soften but over the long term they will do well.
BUY
Companies operating around the world will have some headwinds. Slowdown in Europe is definitely a headwind. But there are benefits to being a global player and they are taking advantage of that.
PAST TOP PICK
(A Top Pick Jan 25/11. Up 3.23%.) Sold his holdings last spring when the market started to roll over. Still not time to be focused on the machinery stocks.
DON'T BUY
Has a model price of $76.87 a negative 20%. He would be a buyer at $65-$67.
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.
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