News & Analysis
News & Analysis

Caterpillar stock gains after earnings

6 February 2024 By Klavs Valters

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US manufacturer of construction and mining equipment, Caterpillar Inc. (NYSE: CAT), reported the latest financial results on Monday.

CAT achieved revenue of $17.07 billion for the three months ending 31/12/23 (an increase of 3% year-over-year), which beat analyst estimate of $17.057 billion.

Earnings per share (EPS) was reported at $5.23 (an increase of 35.84% year-over-year) vs. $4.765 per share expected.

The revenue for last year reached $61.1 billion, up by $59.4 billion the year prior. EPS also rose by 53.25% year-over-year to $21.21 per share.

Company overview

  • Founded: 1925
  • Headquarters: Irving, Texas, United States
  • Number of employees: 109,100 (2022)
  • Industry: Heavy equipment, Engines, Financial services
  • Key people: Jim Umpleby (chairman & CEO)

CEO commentary

Jim Umpleby, CEO of Caterpillar commented on the latest results in a press release to investors: “I’m very proud of our global team’s strong performance as they achieved the best year in our 98-year history, including record full-year sales and revenues, record adjusted profit per share and record ME&T free cash flow.”

“We remain committed to serving our customers, executing our strategy and investing for long-term profitable growth,” Umpleby added.

Stock reaction

Shares of Caterpillar rose by around 5% at the open, reaching a new all-time high. The stock ended the day up by 2% at $321.40 a share.

Stock performance

  • 5 day: +5.99%
  • 1 month: +9.97%
  • 3 months: +34.88%
  • Year-to-date: +8.70%
  • 1 year: +27.83%

Caterpillar stock price targets

  • Morgan Stanley: $270
  • Standford C. Bernstein: $245
  • Stifel Nicolaus: $293
  • HSBC: $250
  • Tigress Financial: $295
  • The Goldman Sachs Group: $274
  • JP Morgan Chase & Co.: $320
  • Bank of America: $297
  • Barclays: $250
  • Credit Suisse Group: $334
  • Wells Fargo & Company: $285
  • TD Cowen: $320
  • Robert W. Baird: $234
  • Citigroup: $270

Caterpillar Inc. is the 73rd largest company in the world with a market cap of $163.61 billion, according to CompaniesMarketCap.

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Sources: Caterpillar Inc., TradingView, MarketWatch, MarketBeat, CompaniesMarketCap

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