Caterpillar Inc. (NYSE:CAT) is one of the stocks Jim Cramer highlighted in light of the Fed rate cut. Cramer highlighted the company while recommending buying industrials. The Mad Money host commented: “Finally… You can buy any industrial because the hedge fund playbook says that industrials benefit from lower rates, even if you think it doesn’t matter. The fabulous irony of all this, frankly, is that Powell, in his own press conference, actually came out and said that a quarter point really doesn’t mean ...

Core Insights - Deere & Company reported strong fourth-quarter results with earnings per share of $3.93, surpassing the consensus estimate of $3.88, and a quarterly sales increase of 11% year-over-year to $12.39 billion, exceeding the consensus of $9.85 billion [1][3] Financial Performance - The company achieved its best results in the current cycle despite facing challenges and uncertainties, attributed to structural improvements and diverse customer segments [2] - For fiscal 2026, Deere expects net income to range from $4.0 billion to $4.75 billion, indicating a year-over-year decline of 20% to 5.5%, with projected operating cash flow of $4.0 billion to $5.0 billion [3] Sales Projections - Deere anticipates a decline in production and precision agriculture sales by 5% to 10% for fiscal 2026, while small agriculture and turf revenue, along with construction and forestry sales, are expected to rise by approximately 10% [3] Stock Performance - Following the earnings announcement, Deere shares increased by 0.6%, trading at $472.82 [3] Analyst Ratings - RBC Capital analyst maintained an Outperform rating but lowered the price target from $542 to $541 [6] - Truist Securities analyst kept a Buy rating and raised the price target from $609 to $612 [6] - Evercore ISI Group analyst maintained an In-Line rating and reduced the price target from $487 to $458 [6]

Core Insights - Companies that consistently increase dividends tend to outperform the overall market, with dividend growers achieving an average annual return of 9.62% from January 1972 to December 2018, compared to 8.78% for dividend payers and a decline of 0.79% for those that cut dividends [2] Dividend Growth and Company Performance - A company's commitment to increasing dividends creates pressure to enhance profits and cash flow, as failing to do so may lead to dividend cuts, which can significantly impact stock prices [3] - Historical dividend growth is a strong indicator of future sustainability, with a lower payout ratio suggesting potential for future increases, while high dividend yields may indicate vulnerability during tough times [4] Methodology for Selecting Dividend Stocks - The selection process for identifying top dividend stocks involves screening for companies that have raised dividends for 20 consecutive years or more, focusing on those with strong balance sheets and sound financials, ranked by dividend yields as of October 16 [6] Company Highlights - **Walmart Inc. (NYSE:WMT)**: - Dividend yield of 0.89% as of October 16, with a history of 52 consecutive years of dividend increases. Recently partnered with OpenAI to enhance customer shopping experience through ChatGPT [9][11] - **Pentair plc (NYSE:PNR)**: - Dividend yield of 0.92% as of October 16, with 49 consecutive years of dividend increases. Price target raised by JPMorgan from $116 to $126, and by Citi to $133, reflecting analyst optimism [12][14] - **Caterpillar Inc. (NYSE:CAT)**: - Dividend yield of 1.12% as of October 16, with 31 consecutive years of dividend increases. Price target raised by BofA Securities from $517 to $594, driven by strong demand in the small turbine market and data centers [15][18]