Deep Dive Into Caterpillar Stock: Analyst Perspectives (15 Ratings)

Ratings for Caterpillar CAT were provided by 15 analysts in the past three months, showcasing a mix of bullish and bearish perspectives.

The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.

Analysts have recently evaluated Caterpillar and provided 12-month price targets. The average target is $352.53, accompanied by a high estimate of $422.00 and a low estimate of $243.00. A decline of 2.94% from the prior average price target is evident in the current average.

Deciphering Analyst Ratings: An In-Depth Analysis

A comprehensive examination of how financial experts perceive Caterpillar is derived from recent analyst actions. The following is a detailed summary of key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Caterpillar. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Caterpillar compared to the broader market.
• Price Targets: Analysts set price targets as an estimate of a stock's future value. Comparing the current and prior price targets provides insight into how analysts' expectations have changed over time. This information can be valuable for investors seeking to understand consensus views on the stock's potential future performance.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Caterpillar's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Caterpillar analyst ratings.

About Caterpillar

Caterpillar is the world's leading manufacturer of construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines and diesel-electric locomotives. Its reporting segments are: construction industries (40% sales/47% operating profit, or OP), resource industries (20% sales/19% OP), and energy & transportation (40% sales/34% OP). Market share approaches 20% across many products. Caterpillar operates a captive finance subsidiary to facilitate sales. The firm has global reach (46% US sales/54% ex-US). Construction skews more domestic, while the other divisions are more geographically diversified. An independent network of 156 dealers operates approximately 2,800 facilities, giving Caterpillar reach into about 190 countries for sales and support services.

Key Indicators: Caterpillar's Financial Health

Market Capitalization: Surpassing industry standards, the company's market capitalization asserts its dominance in terms of size, suggesting a robust market position.

Revenue Challenges: Caterpillar's revenue growth over 3M faced difficulties. As of 31 March, 2025, the company experienced a decline of approximately -9.81%. This indicates a decrease in top-line earnings. When compared to others in the Industrials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Caterpillar's net margin excels beyond industry benchmarks, reaching 14.06%. This signifies efficient cost management and strong financial health.

Return on Equity (ROE): Caterpillar's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 10.67%, the company showcases efficient use of equity capital and strong financial health.

Return on Assets (ROA): Caterpillar's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 2.32%, the company showcases efficient use of assets and strong financial health.

Debt Management: With a high debt-to-equity ratio of 2.14, Caterpillar faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Core of Analyst Ratings: What Every Investor Should Know

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts will also offer forecasts for metrics like growth estimates, earnings, and revenue to provide further guidance on stocks. Investors who use analyst ratings should note that this specialized advice comes from humans and may be subject to error.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.