Added to YB: 2026-10-06
Pitch date: 2026-09-28
CAT [neutral]
Caterpillar Inc.
-11%
current return
Author Info
No bio for this author
Company Info
Caterpillar Inc. provides construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives in the United States and internationally.
Market Cap
$388.6B
Pitch Price
$826.53
Price Target
N/A
Dividend
0.77%
EV/EBITDA
25.61
P/E
36.43
EV/Sales
5.72
Sector
Machinery
Category
growth
Caterpillar: A Boring Industrial Stock Is Now Benefiting From AI. Opportunity or Trap?
CAT (pass): Caterpillar’s operating improvement is real, but the stock has moved faster than the business: Q2 sales rose 24%, backlog more than doubled to $72bn, and data-center demand partly drove 29% Power Generation growth. At 42x earnings and a 2% FCF yield, the shares price in structural durability despite continued cyclicality; a conservative normalization to 30x implies only 7-9% annual returns.
Read full article (4 min)