Cowen, Evercore ISI See Huge Upside In This S&P 100 Constituent

Cowen analyst Matt Elkott initiated Caterpillar Inc. CAT with an Outperform rating and a price target of $241, implying an upside of 24%.
The analyst projects the "first megacycle" for Caterpillar's financial performance in 14 years and only the second in its modern history. Elkott sees a $35 billion revenue opportunity from autonomy in the next decade.
At least 75% of Caterpillar's markets will seek improved or new power technologies, mentions Elkott. He's modeling revenue growth, gross and operating margin expansion, and earnings increases for three consecutive years.
Evercore ISI analyst David Raso lowered Caterpillar's price target to $257 from $291 (suggesting an upside of 32%) and maintained an Outperform rating on the shares.
Raso continues with his "estimate reduction parade as supply chain disruptions are winning the battle." He calls CNH Industrial NV CNHI the "latest supply chain victim" after announcing last night that it will temporarily close several of its European ag, truck, and engine factories due to a shortage of core components, especially semiconductors.
Also Read: Morgan Stanley Lowers Price Target For Several Machinery Stocks.
Price Action: CAT shares are trading higher by 2.85% at $194.32, while CNHI is higher by 1.36% at $16.36 on the last check Thursday.

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