Today’s big question for investors is, “what’s going on with Caterpillar Inc. (NYSE:CAT) stock? Its price is jumping 6.36 points, trading at $129.05 levels, and is up 5.18% from its previous close of $122.69. The shares seem to have an active trading volume day with a reported 2077315 contracts so far this session. CAT shares had a relatively better volume day versus average trading capacity of 4.04 million shares, but with a 0.56 billion float and a 2.21% run over a week, it’s definitely worth keeping an eye on. The one year price forecast for CAT stock indicates that the average analyst price target is $141.7 per share. This means the stock has a potential increase of 9.8% from where the CAT share price has been trading recently which is between $119.76 and $123.03.
During the recent trading session for Caterpillar Inc. (NYSE:CAT), the company witnessed their stock rise $7.65 over a week and tumble down $-5.09 from the price 20 days ago. When compared to their established 52-week high of $144.77, the high they recorded in their recent session happens to be lower. Their established 52-week high was attained by the company on 04/18/19. The recent low of $111.75 stood for a -11.54% since 08/28/19, a data which is good for most investors who are looking to take advantage of the stock’s recent rise. A beta of 1.51 is also allocated to the stock. Since the beta is greater than one, it implies that the stock is more volatile than the market, a data that traders are keeping close attention to.
Looking at the current readings for Caterpillar Inc., the two-week RSI stands at 61.47. This figure suggests that CAT stock, for now, is neutral, meaning that the shares are stable in terms of price movement. The stochastic readings, on the other hand, based on the current CAT readings is similarly very revealing as it has a stochastic reading of 53.2% at this stage. This figure means that CAT share price today is being neutral.
Technical chart claims that Caterpillar Inc. (CAT) would settle between $123.89/share to $125.1/share level. However, if the stock price goes below the $120.62 mark, then the market for Caterpillar Inc. becomes much weaker. If that happens, the stock price might even plunge as low as $118.56 for its downside target. The stock is currently in the green zone of MACD, with the indicator reading 2.22. Traders are always alerted for the move of a stock above or below the zero line due to the fact that the reading is an indicator of the position of the short-term average relative to the long-term average. If the MACD is above the zero line, then the short-term average relative is above that of the long-term average, thus implying an upward momentum. Vice versa is the case if the MACD is below the zero line.
Analysts at Stephens, assumed coverage of CAT assigning Underweight rating, according to their opinion released on August 15. Goldman analysts have lowered their rating of Caterpillar Inc. (NYSE:CAT) stock from Buy to Neutral in a separate flash note issued to investors on August 08. Analysts at Buckingham Research lowered the stock to a Neutral call from its previous Buy recommendation, in a research note that dated back to July 25.
CAT equity has an average rating of 2.55, with the figure leaning towards a bullish end. 25 analysts who tracked the company were contacted by Reuters. Amongst them, 13 rated the stock as a hold while the remaining 12 were split even though not equally. Some analysts rate the stock as a buy or a strong buy while others rated it as a sell. 10 analysts rated Caterpillar Inc. (NYSE:CAT) as a buy or a strong buy while 2 advised that investors should desist from purchasing the stock or sell them if they already own the company’s stock.
Moving on, CAT stock price is currently trading at 10.09X forward 12-month Consensus EPS estimates, and its P/E ratio is 11.4 while for the average stock in the same group, the multiple is 13.1. Caterpillar Inc. current P/B ratio of 4.7 means it is trading at a premium against its industry’s 3.8.
Caterpillar Inc. (CAT)’s current-quarter revenues are projected to climb by nearly -0.1% to hit $13.49 billion, based on current consensus estimate. The firm’s full-year revenues are expected to expand by over 1.6% from $54.72 billion to a noteworthy $55.58 billion. At the other end of the current quarter income statement, Caterpillar Inc. is expected to see its adjusted earnings surge by roughly 1.7% to hit $2.91 per share. For the fiscal year, CAT’s earnings are projected to climb by roughly 4.7% to hit $11.75 per share.