Core Viewpoint - Caterpillar Inc. (NYSE:CAT) is experiencing significant stock performance, with a 77% increase over the past year and a 9.9% rise year-to-date, indicating strong market confidence in the company [2]. Group 1: Stock Performance and Analyst Ratings - Jefferies has maintained a Buy rating on Caterpillar's shares and raised the price target to $750 from $700 ahead of the earnings report, citing stable volume trends and margins [2]. - Barclays has also increased its price target for Caterpillar to $610 from $555 while maintaining an Equal Weight rating, highlighting the company's favorable position in relation to interest rates [2]. Group 2: Market Position and Future Outlook - Caterpillar is noted for its exposure to AI, particularly in providing equipment for data center construction, which could lead to potential tailwinds for the company [2]. - Jim Cramer has expressed optimism about Caterpillar's future performance, suggesting that the company could see further gains due to market dynamics and shortages affecting competitors [3].

Core Insights - Caterpillar reported fourth-quarter revenue that surpassed Wall Street expectations, driven by strong demand for power-generation equipment linked to artificial intelligence infrastructure, resulting in a more than 3% increase in shares intraday [1] - The company's stock has seen a more than 65% rise over the past year due to increased spending on data centers supporting advanced AI models [1] Financial Performance - Sales in the power and energy segment reached $9.4 billion, reflecting a 23% year-over-year increase, with segment profit rising 25% to $1.84 billion [2] - Overall quarterly revenue was reported at $19.13 billion, an 18% increase from the previous year, significantly exceeding Bloomberg consensus estimates of $17.91 billion [2] - Adjusted earnings per share increased to $5.16, compared to $5.14 a year ago and above analyst expectations of $4.69 [2] Management Commentary - CEO Joe Creed indicated that the results were a reflection of strong end-market demand and disciplined execution, highlighting a record backlog that positions the company with solid momentum heading into 2026 [3] Future Outlook - The company reiterated its goal of achieving annual revenue growth near the upper end of its previously stated 5% to 7% compound annual growth range [4] - Analysts noted that margin expansion guidance was slightly below expectations due to approximately $2.6 billion in incremental costs related to U.S. tariffs [4]

Core Insights - Caterpillar Inc. reported strong financial results for the fourth quarter and full year, with earnings per share of $5.16, surpassing estimates of $4.67, and full-year revenues reaching a record $67.6 billion [1][2][6] Financial Performance - The company achieved fourth-quarter sales of $19.13 billion, an 18% increase from $16.2 billion in the same quarter of 2024 [2] - For the entire year, the profit per share was $18.81, with an adjusted profit per share of $19.06 [3] Market Demand - Increased sales were driven by strong demand for power and energy solutions, particularly for data centers [2][3][6] Financial Metrics - Caterpillar's price-to-earnings (P/E) ratio is approximately 32.54, and the price-to-sales ratio stands at about 4.66 [4] - The enterprise value to sales ratio is around 5.19, indicating the company's total valuation relative to its sales [4] Cash Flow and Capital Management - The company ended 2025 with an enterprise operating cash flow of $11.7 billion and $10 billion in enterprise cash [5] - Caterpillar deployed $7.9 billion for share repurchases and dividends throughout the year [5] Financial Health - The debt-to-equity ratio is approximately 2.01, indicating financial leverage, while the current ratio is around 1.38, suggesting the ability to cover short-term liabilities with short-term assets [5]

Caterpillar Inc. (NYSE:CAT) is included among the 12 Best Dow Jones Dividend Stocks to Buy According to Hedge Funds. Barclays Raises Caterpillar (CAT) Target in Machinery Sector Preview On January 23, Barclays lifted its price target on Caterpillar Inc. (NYSE:CAT) to $610 from $555 and kept an Equal Weight rating on the stock. The update came as part of the firm’s fourth-quarter preview for the machinery and construction group. In its note, Barclays said companies that stand to benefit from interest rate ...

About this content About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, ...

Core Insights - Caterpillar Inc. reported record full-year sales and revenues of $67.6 billion for 2025, marking an increase of 4% from $64.8 billion in 2024, with fourth-quarter sales reaching $19.1 billion, an 18% increase from $16.2 billion in the same quarter of 2024 [2][3][4]. Financial Performance - Fourth-quarter profit per share was $5.12, down from $5.78 in the fourth quarter of 2024, while adjusted profit per share was $5.16, slightly up from $5.14 [3][4]. - Full-year profit per share was $18.81, compared to $22.05 in 2024, with adjusted profit per share at $19.06, down from $21.90 [4][12]. - Operating profit margin for the fourth quarter was 13.9%, down from 18.0% in the previous year, while adjusted operating profit margin was 15.6%, down from 18.3% [18][4]. Segment Performance - Construction Industries reported sales of $6.926 billion in Q4 2025, a 15% increase from $6.003 billion in Q4 2024, driven by higher sales volume [25][26]. - Resource Industries saw sales rise to $3.353 billion, a 13% increase from $2.980 billion, primarily due to higher sales volume [27][28]. - Power & Energy segment sales increased to $9.400 billion, a 23% rise from $7.649 billion, attributed to higher sales volume and favorable price realization [30][31]. Cash Flow and Capital Management - The company generated $11.7 billion in enterprise operating cash flow for the full year 2025 and ended the year with $10.0 billion in cash [6][12]. - Caterpillar deployed $7.9 billion for share repurchases and dividends in 2025 [6][12]. Tax and Other Financial Items - The effective tax rate for Q4 2025 was 23.5%, up from 14.3% in Q4 2024, with a global annual effective tax rate of 24.1% compared to 22.2% in 2024 [24][21]. - The company recorded a tax charge of $68 million related to mark-to-market gains for pension and OPEB plans in Q4 2025 [21][24].

Cathie Wood is among the growth fund managers who continue to garner plenty of attention among investors large and small in the markets. That's partly because during the 2021 bull market rally driven by euphoria around the levels of growth we saw coming out of the pandemic, Wood's actively managed ETFs outperformed the market by a vast margin. Since then, her performance across her flagship funds, which include the ARK Innovation ETF (ARKK) and ARK Space Exploration & Innovation ETF (ARKX), has come back ...

Core Viewpoint - The article highlights three companies known as "Dividend Champions," which have a long history of increasing dividends, making them attractive for income investors as interest rates are expected to decline in the future [3]. Group 1: Royal Gold - Royal Gold, based in Denver, Colorado, has a dividend yield of 0.77% and has raised its dividend every year since July 2000, with a total increase of 58.3% since 2021, outpacing the 19% inflation during the same period [4][5][6]. - The company has maintained its dividend growth even during periods of declining gold prices, such as from 2012 to 2020, when its dividend increased by 87% despite gold prices falling [6][8]. - Royal Gold's business model involves acquiring royalty interests in various metals, allowing it to sustain dividend increases regardless of gold price fluctuations [7][8]. Group 2: York Water - York Water, a Pennsylvania-based water utility, has announced its 29th annual dividend hike, maintaining a record of 620 consecutive payouts since 1816, which is believed to be a record for American companies [9][10]. - The company's recent dividend increase of 4% in 2025 is above the 2.7% inflation rate, and since 2021, it has raised its dividend by 22%, demonstrating its ability to keep pace with inflation [10]. - With a payout ratio of just 63%, York Water's dividend appears sustainable, as its earnings are growing faster than its payouts [12]. Group 3: Caterpillar - Caterpillar, a leading manufacturer of construction and mining equipment, has increased its dividend for 31 consecutive years, including a 7% increase announced last June [13][14]. - The company's dividend has grown by 46.6% since 2021, significantly outpacing inflation, and its long-term track record shows that payouts have tripled over the last 25 years [14][16]. - Caterpillar's resilience is evident as it continued to increase dividends during economic downturns, such as the Financial Crisis and the pandemic, showcasing management's commitment to rewarding shareholders [16][17].

Core Viewpoint - Caterpillar Inc. is set to release its fourth-quarter and full-year 2025 financial results on January 29, 2026, at 5:30 a.m. CST, with the full text available on its investor website and through PR Newswire [1]. Financial Results Announcement - The financial results will be disclosed in a Current Report on Form 8-K to comply with SEC regulations [1]. - A teleconference and webcast for discussing the quarterly results will take place at 7:30 a.m. CST on the same day [2]. - Supporting materials for the webcast will be accessible prior to the event on the investor website [2]. Teleconference Details - The conference call can be accessed via telephone, with a specific Conference ID provided for participants [3]. - Domestic participants can dial a toll-free number, while international participants have a toll dial-in option [3]. - The call will be available in real-time on the investor website, and a transcript will be posted after the event [3]. Replay Information - For those unable to attend the live event, a replay of the webcast will be available shortly after the broadcast on the investor website [4]. - There will be no telephone replay option available [4]. Company Overview - Caterpillar Inc. reported sales and revenues of $64.8 billion in 2024, establishing itself as a leading manufacturer in construction and mining equipment, as well as engines and turbines [5]. - The company operates through three primary segments: Construction Industries, Resource Industries, and Power & Energy, along with a Financial Products segment [5]. - Caterpillar is committed to sustainability and reducing carbon emissions, providing innovative products and services through a global dealer network [5].

Group 1: Options Activity - Recent options history for Caterpillar indicates a bearish sentiment among large investors, with 50% of trades being bearish compared to 26% bullish [1] - A total of 67 trades were detected, comprising 10 puts valued at $369,229 and 57 calls valued at $3,715,607 [1] - Significant price movements are anticipated within a range of $280.0 to $920.0 for Caterpillar options over the past quarter [2][4] Group 2: Company Overview - Caterpillar is the leading manufacturer of construction and mining equipment, with a market share approaching 20% across various products [7] - The company operates in multiple segments including construction, resource, energy, and transportation, with a balanced global reach between the US and international markets [7] - An independent network of over 150 dealers operates approximately 2,800 facilities, providing sales and support services in about 190 countries [7] Group 3: Current Market Status - The current trading volume for Caterpillar is 763,665, with the stock price up by 1.72% to $628.23 [10] - Market experts have set a consensus target price of $630.0 for Caterpillar, with an analyst from Bernstein maintaining a Market Perform rating [9] - The next earnings report for Caterpillar is scheduled in 17 days [10]