Viewpoint Capital Management LLC Boosts Stock Holdings in Caterpillar Inc. (NYSE:CAT)

Viewpoint Capital Management LLC increased its stake in Caterpillar Inc. (NYSE:CAT) by 98.7% during the first quarter, according to its most recent filing with the Securities & Exchange Commission. The fund owned 25,333 shares of the industrial products company’s stock after acquiring an additional 12,585 shares during the quarter. Caterpillar makes up 5.9% of Viewpoint Capital Management LLC’s holdings, making the stock its 2nd largest holding. Viewpoint Capital Management LLC’s holdings in Caterpillar were worth $9,283,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds have also modified their holdings of the company. Thompson Investment Management Inc. acquired a new position in Caterpillar during the first quarter valued at $27,000. Partnership Wealth Management LLC acquired a new stake in shares of Caterpillar during the fourth quarter worth approximately $26,000. Richardson Financial Services Inc. purchased a new position in Caterpillar during the fourth quarter valued at approximately $27,000. Vima LLC acquired a new position in Caterpillar in the 4th quarter valued at approximately $30,000. Finally, Gilfoyle & Co LLC acquired a new stake in shares of Caterpillar during the 4th quarter valued at $30,000. 70.98% of the stock is owned by hedge funds and other institutional investors.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on the company. Oppenheimer reiterated a “market perform” rating on shares of Caterpillar in a report on Thursday, April 18th. HSBC increased their price objective on Caterpillar from $330.00 to $360.00 and gave the stock a “hold” rating in a report on Tuesday, April 30th. Stifel Nicolaus downgraded shares of Caterpillar from a “buy” rating to a “hold” rating and boosted their target price for the stock from $293.00 to $350.00 in a research report on Friday, April 26th. Citigroup initiated coverage on shares of Caterpillar in a report on Wednesday. They set a “buy” rating and a $380.00 price target on the stock. Finally, Truist Financial initiated coverage on shares of Caterpillar in a report on Thursday, March 14th. They issued a “buy” rating and a $390.00 price objective for the company. One investment analyst has rated the stock with a sell rating, nine have given a hold rating and nine have issued a buy rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus price target of $329.63.

Insider Buying and Selling at Caterpillar

In related news, insider Cheryl H. Johnson sold 1,508 shares of the stock in a transaction that occurred on Thursday, May 30th. The stock was sold at an average price of $340.00, for a total transaction of $512,720.00. Following the sale, the insider now directly owns 20,023 shares in the company, valued at approximately $6,807,820. The transaction was disclosed in a filing with the SEC, which can be accessed through this hyperlink. In other Caterpillar news, insider Cheryl H. Johnson sold 1,508 shares of the firm’s stock in a transaction dated Thursday, May 30th. The shares were sold at an average price of $340.00, for a total value of $512,720.00. Following the completion of the sale, the insider now owns 20,023 shares in the company, valued at approximately $6,807,820. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Lange Bob De sold 21,847 shares of the company’s stock in a transaction that occurred on Monday, May 13th. The stock was sold at an average price of $356.90, for a total transaction of $7,797,194.30. Following the transaction, the insider now owns 71,115 shares in the company, valued at $25,380,943.50. The disclosure for this sale can be found here. Company insiders own 0.33% of the company’s stock.

Caterpillar Price Performance

NYSE CAT traded up $5.64 on Friday, reaching $333.10. The company’s stock 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 current ratio of 1.35, a quick ratio of 0.83 and a debt-to-equity ratio of 1.41. The firm has a market cap of $162.90 billion, a PE ratio of 15.04, a price-to-earnings-growth ratio of 1.68 and a beta of 1.14. The business has a 50-day moving average price of $340.31 and a 200 day moving average price of $328.57.

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

Caterpillar Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, August 20th. Investors 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 dividend yield of 1.69%. This is a boost from Caterpillar’s previous quarterly dividend of $1.30. Caterpillar’s dividend payout ratio (DPR) is 23.48%.

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

About Caterpillar

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.