Red Door Wealth Management LLC Cuts Position in Caterpillar Inc. (NYSE:CAT)

Red Door Wealth Management LLC cut its stake in Caterpillar Inc. (NYSE:CAT) by 1.8% during the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The firm owned 1,751 shares of the industrial products company’s stock after selling 33 shares during the quarter. Red Door Wealth Management LLC’s holdings in Caterpillar were worth $642,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also made changes to their positions in CAT. Norges Bank purchased a new position in shares of Caterpillar in the 4th quarter valued at $1,660,560,000. International Assets Investment Management LLC increased its position in Caterpillar by 28,603.5% during the 4th quarter. International Assets Investment Management LLC now owns 1,494,018 shares of the industrial products company’s stock valued at $4,417,360,000 after buying an additional 1,488,813 shares in the last quarter. Capital Wealth Planning LLC increased its position in Caterpillar by 27,495.2% during the 4th quarter. Capital Wealth Planning LLC now owns 1,182,453 shares of the industrial products company’s stock valued at $349,616,000 after buying an additional 1,178,168 shares in the last quarter. Charles Schwab Investment Management Inc. increased its position in Caterpillar by 19.4% during the 4th quarter. Charles Schwab Investment Management Inc. now owns 3,264,635 shares of the industrial products company’s stock valued at $947,875,000 after buying an additional 529,420 shares in the last quarter. Finally, Bank Julius Baer & Co. Ltd Zurich increased its position in Caterpillar by 5,293.1% during the 4th quarter. Bank Julius Baer & Co. Ltd Zurich now owns 482,360 shares of the industrial products company’s stock valued at $142,620,000 after buying an additional 473,416 shares in the last quarter. 70.98% of the stock is currently owned by hedge funds and other institutional investors.

Insiders Place Their Bets

In other Caterpillar news, Director David Maclennan purchased 500 shares of the stock in a transaction on Friday, May 3rd. The shares were bought at an average price of $337.39 per share, for a total transaction of $168,695.00. Following the completion of the transaction, the director now owns 5,738 shares of the company’s stock, valued at approximately $1,935,943.82. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. In other news, Director David Maclennan bought 500 shares of Caterpillar stock in a transaction on Friday, May 3rd. The stock was acquired at an average price of $337.39 per share, with a total value of $168,695.00. Following the completion of the acquisition, the director now directly owns 5,738 shares of the company’s stock, valued at $1,935,943.82. The purchase was disclosed in a legal filing with the SEC, which can be accessed through this hyperlink. Also, insider Cheryl H. Johnson sold 1,508 shares of the stock in a transaction that occurred on Thursday, May 30th. The shares were sold at an average price of $340.00, for a total value of $512,720.00. Following the transaction, the insider now directly owns 20,023 shares of the company’s stock, valued at approximately $6,807,820. The disclosure for this sale can be found here. 0.33% of the stock is currently owned by company insiders.

Analysts Set New Price Targets

CAT has been the topic of several recent analyst reports. Citigroup initiated coverage on Caterpillar in a research report on Wednesday. They set a “buy” rating and a $380.00 target price on the stock. Truist Financial started coverage on Caterpillar in a research report on Thursday, March 14th. They set a “buy” rating and a $390.00 target price on the stock. Stifel Nicolaus downgraded Caterpillar from a “buy” rating to a “hold” rating and boosted their price target for the company from $293.00 to $350.00 in a research note on Friday, April 26th. Raymond James started coverage on Caterpillar in a research note on Friday. They set a “market perform” rating on the stock. Finally, Oppenheimer reiterated a “market perform” rating on shares of Caterpillar in a research note on Thursday, April 18th. One investment analyst has rated the stock with a sell rating, nine have issued a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Hold” and a consensus target price of $329.63.

Caterpillar Stock Performance

Shares of CAT traded up $5.64 during mid-day trading on Friday, reaching $333.10. The company had a trading volume of 8,891,479 shares, compared to its average volume of 3,519,845. Caterpillar Inc. has a 52-week low of $223.76 and a 52-week high of $382.01. The company has a quick ratio of 0.83, a current ratio of 1.35 and a debt-to-equity ratio of 1.41. The stock has a market capitalization of $162.90 billion, a P/E ratio of 15.04, a PEG ratio of 1.71 and a beta of 1.14. The stock has a 50 day moving average of $340.31 and a two-hundred day moving average of $329.04.

Caterpillar (NYSE:CAT) last issued its quarterly earnings results on Thursday, April 25th. The industrial products company reported $5.60 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $5.12 by $0.48. The company had revenue of $15.80 billion for the quarter, compared to the consensus estimate of $16.07 billion. Caterpillar had a return on equity of 58.61% and a net margin of 16.79%. On average, analysts expect that Caterpillar Inc. will post 21.84 earnings per share for the current year.

Caterpillar declared that its Board of Directors has approved a share repurchase plan on Wednesday, June 12th that permits the company to buyback $20.00 billion in shares. This buyback authorization permits the industrial products company to buy up to 12.7% of its shares through open market purchases. Shares buyback plans are usually a sign that the company’s board of directors believes its shares are undervalued.

Caterpillar Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, August 20th. Shareholders of record on Monday, July 22nd will be given a dividend of $1.41 per share. The ex-dividend date of this dividend is Monday, July 22nd. This represents a $5.64 dividend on an annualized basis and a yield of 1.69%. This is an increase from Caterpillar’s previous quarterly dividend of $1.30. Caterpillar’s dividend payout ratio is currently 25.46%.

Caterpillar Company Profile

Caterpillar Inc manufactures and sells construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives in worldwide. Its Construction Industries segment offers asphalt pavers, compactors, road reclaimers, forestry machines, cold planers, material handlers, track-type tractors, excavators, telehandlers, motor graders, and pipelayers; compact track, wheel, track-type, backhoe, and skid steer loaders; and related parts and tools.