Morse Asset Management Inc Boosts Stake in Caterpillar Inc. (NYSE:CAT)

Morse Asset Management Inc lifted its holdings in Caterpillar Inc. (NYSE:CAT) by 4.4% during the 1st quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor owned 2,974 shares of the industrial products company’s stock after buying an additional 125 shares during the period. Morse Asset Management Inc’s holdings in Caterpillar were worth $1,090,000 as of its most recent filing with the Securities and Exchange Commission.

Several other hedge funds and other institutional investors have also recently modified their holdings of CAT. Partnership Wealth Management LLC purchased a new position in shares of Caterpillar in the fourth quarter worth about $26,000. Richardson Financial Services Inc. purchased a new position in Caterpillar during the fourth quarter worth about $27,000. Thompson Investment Management Inc. purchased a new position in Caterpillar during the first quarter worth about $27,000. Fairman Group LLC purchased a new position in Caterpillar during the first quarter worth about $29,000. Finally, Gilfoyle & Co LLC purchased a new position in Caterpillar during the fourth quarter worth about $30,000. 70.98% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

A number of equities analysts have commented on the stock. Oppenheimer reaffirmed a “market perform” rating on shares of Caterpillar in a research note on Thursday, April 18th. HSBC lifted their target price on shares of Caterpillar from $330.00 to $360.00 and gave the stock a “hold” rating in a research note on Tuesday, April 30th. Citigroup assumed coverage on shares of Caterpillar in a research note on Wednesday, June 26th. They set a “buy” rating and a $380.00 target price on the stock. JPMorgan Chase & Co. boosted their price target on shares of Caterpillar from $385.00 to $435.00 and gave the company an “overweight” rating in a research note on Tuesday, April 16th. Finally, The Goldman Sachs Group boosted their price target on shares of Caterpillar from $357.00 to $408.00 and gave the company a “buy” rating in a research note on Tuesday, April 16th. One research analyst has rated the stock with a sell rating, nine have assigned a hold rating and nine have given a buy rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus target price of $329.63.

Caterpillar Stock Up 1.8 %

Shares of CAT stock traded up $6.18 during trading on Friday, reaching $350.48. The company’s stock had a trading volume of 1,894,930 shares, compared to its average volume of 2,951,150. The company has a debt-to-equity ratio of 1.41, a current ratio of 1.35 and a quick ratio of 0.83. The company has a market capitalization of $171.40 billion, a price-to-earnings ratio of 15.82, a P/E/G ratio of 1.82 and a beta of 1.12. The stock’s 50-day moving average price is $336.58 and its 200 day moving average price is $336.27. Caterpillar Inc. has a 1-year low of $223.76 and a 1-year high of $382.01.

Caterpillar (NYSE:CAT) last announced its quarterly earnings data on Thursday, April 25th. The industrial products company reported $5.60 earnings per share for the quarter, beating analysts’ consensus estimates of $5.12 by $0.48. Caterpillar had a net margin of 16.79% and a return on equity of 58.61%. The firm had revenue of $15.80 billion during the quarter, compared to analysts’ expectations of $16.07 billion. On average, research analysts anticipate that Caterpillar Inc. will post 21.61 EPS for the current year.

Caterpillar Increases Dividend

The company also recently declared a quarterly dividend, which will be paid on Tuesday, August 20th. Shareholders of record on Monday, July 22nd will be issued a dividend of $1.41 per share. This represents a $5.64 annualized dividend and a yield of 1.61%. The ex-dividend date is Monday, July 22nd. This is a boost from Caterpillar’s previous quarterly dividend of $1.30. Caterpillar’s payout ratio is 25.46%.

Caterpillar announced that its Board of Directors has authorized a stock repurchase program on Wednesday, June 12th that authorizes the company to buyback $20.00 billion in shares. This buyback authorization authorizes the industrial products company to buy up to 12.7% of its stock through open market purchases. Stock buyback programs are generally a sign that the company’s management believes its shares are undervalued.

Insiders Place Their Bets

In other Caterpillar news, insider Cheryl H. Johnson sold 1,508 shares of the business’s stock in a transaction that occurred on Tuesday, July 16th. The shares were sold at an average price of $350.00, for a total transaction of $527,800.00. Following the completion of the transaction, the insider now owns 18,515 shares in the company, valued at approximately $6,480,250. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. In other news, Director David Maclennan purchased 500 shares of the stock in a transaction on Friday, May 3rd. The stock was bought at an average price of $337.39 per share, for a total transaction of $168,695.00. Following the acquisition, the director now directly owns 5,738 shares of the company’s stock, valued at approximately $1,935,943.82. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, insider Cheryl H. Johnson sold 1,508 shares of the business’s stock in a transaction that occurred on Tuesday, July 16th. The stock was sold at an average price of $350.00, for a total transaction of $527,800.00. Following the transaction, the insider now owns 18,515 shares of the company’s stock, valued at approximately $6,480,250. The disclosure for this sale can be found here. Insiders sold 24,863 shares of company stock worth $8,837,714 in the last 90 days. Corporate insiders own 0.33% of the company’s stock.

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.