Caterpillar Inc.’s stock (NYSE:CAT) has been rated as Equal-Weight by Morgan Stanley. This latest rating was contained in a recent research note published by the firm on October 18, 2019 and has set a $145 price target for the stock. Some experts on Wall Street have also posted a report on Caterpillar Inc. (CAT) stock.
Stephens rated the stock as a Underweight in a research noted published on August 15, 2019. Goldman rated the stock as a Neutral in a research note published on August 08, 2019.
As it stands, a total of 25 analysts are covering CAT stock, with 9 of them rating it as a Buy while 1 of them rating it as Overweight. 12 analysts meanwhile advised investors to Hold, 1 rated it as Underweight while the 2 rated it as a Sell. A look at the overall ratings means that Caterpillar Inc. (CAT) stock has an average rating of Overweight.
Caterpillar Inc. (CAT) which is currently valued at 78.66 billion, with the company publishing its last earnings report on 10/23/2019, for the recent quarter of 2019. In that quarter, the company recorded a revenue of 13.0 billion, which was lower than the forecast of 13.0 billion made by some analysts. For that same quarter, Caterpillar Inc. (CAT) posted $2.55 earnings per share (EPS) which was below the analyst consensus estimate of $2.99 by $-0.44, which represents a decrease by -14.70%.
The stock market has a tendency to become sophisticated sometimes, even for seasoned investors and traders. Even when a trader got what he/she had expected, the market sometimes decides to move in the opposite direction. This volatility sometimes leads to some traders doubting and second-guessing their moves. This is why getting to know historical price performance, as well as both long-term and short-term trends, is very important. Over the past one week, CAT price has dropped by -2.43%. A look at its price performance over the past three months sees the stock go up by 23.20%, while it has gain 16.85% over the past six months and 13.88% since the start of the year.
Let us now look at some of its likely support and resistance level. Recent research on Caterpillar Inc. (CAT) has seen its stock trading -3.39% below its three-month high price. A look at the other side also sees stock trading +28.36% above its three-month low. A wider look sees CAT trading -3.39% below its 52-week high and 28.36% above from its 52-week low price.
Shareholders of the company sometimes like to find out how their investments are growing. Caterpillar Inc. (CAT) has so far given an ROE of 40.80%. When the ROE is low, it means that the company isn’t generating enough profits. The Return on Assets (ROA) ratio meanwhile is an indication of how profitable a company is relative to the total asset it owns. Caterpillar Inc. (CAT)’s ROA at the moment stands at 7.70%. Any company that is managing its assets better will have a higher return while one that manages assets poorly would result in low returns.
Caterpillar Inc. (CAT) has a return on investment (ROI) of 12.80%. The higher the ROI percentage, the higher the profit exceeds the costs, thus analysts consider such investments as an overall gain. A negative ROI, however, means that the cost is higher than the profits, a scenario analysts consider as a net loss.
Let us now take a look at Caterpillar Inc. (CAT)’s trading volatility. Its 7-day volatility is around 1.47%, while it has a monthly volatility of 2.00%. CAT has an ATR (Average True Range) of 2.96 and a beta factor of 1.53. The volatility of a stock is an indication of the stock’s drop or gain in case the wider market drops or surges. A beta score higher than 1 means that a stock is highly volatile while below 1 means that the volatility of a stock is low.
The price of CAT moved down by -$1.05 during the normal trading session on Thursday to trade at $143.44. The Caterpillar Inc. (CAT) stock has a trading volume of 2.0 million shares, which is low, compared to its average daily volume of 4.04M shares.