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Caterpillar (CAT) Outpaces Stock Market Gains: What You Should Know
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Caterpillar (CAT - Free Report) closed the most recent trading day at $138.20, moving +0.98% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.62%. Meanwhile, the Dow gained 0.52%, and the Nasdaq, a tech-heavy index, added 0.86%.
Coming into today, shares of the construction equipment company had lost 4.06% in the past month. In that same time, the Industrial Products sector gained 3.71%, while the S&P 500 gained 1.98%.
Investors will be hoping for strength from CAT as it approaches its next earnings release, which is expected to be October 23, 2018. In that report, analysts expect CAT to post earnings of $2.76 per share. This would mark year-over-year growth of 41.54%. Meanwhile, our latest consensus estimate is calling for revenue of $13.13 billion, up 15.08% from the prior-year quarter.
CAT's full-year Zacks Consensus Estimates are calling for earnings of $11.54 per share and revenue of $54.38 billion. These results would represent year-over-year changes of +67.73% and +19.61%, respectively.
Any recent changes to analyst estimates for CAT should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 7.31% higher within the past month. CAT is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, CAT is holding a Forward P/E ratio of 11.85. This valuation marks a discount compared to its industry's average Forward P/E of 14.49.
Also, we should mention that CAT has a PEG ratio of 0.89. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. CAT's industry had an average PEG ratio of 0.89 as of yesterday's close.
The Manufacturing - Construction and Mining industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 237, putting it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Caterpillar (CAT) Outpaces Stock Market Gains: What You Should Know
Caterpillar (CAT - Free Report) closed the most recent trading day at $138.20, moving +0.98% from the previous trading session. The stock outpaced the S&P 500's daily gain of 0.62%. Meanwhile, the Dow gained 0.52%, and the Nasdaq, a tech-heavy index, added 0.86%.
Coming into today, shares of the construction equipment company had lost 4.06% in the past month. In that same time, the Industrial Products sector gained 3.71%, while the S&P 500 gained 1.98%.
Investors will be hoping for strength from CAT as it approaches its next earnings release, which is expected to be October 23, 2018. In that report, analysts expect CAT to post earnings of $2.76 per share. This would mark year-over-year growth of 41.54%. Meanwhile, our latest consensus estimate is calling for revenue of $13.13 billion, up 15.08% from the prior-year quarter.
CAT's full-year Zacks Consensus Estimates are calling for earnings of $11.54 per share and revenue of $54.38 billion. These results would represent year-over-year changes of +67.73% and +19.61%, respectively.
Any recent changes to analyst estimates for CAT should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 7.31% higher within the past month. CAT is holding a Zacks Rank of #2 (Buy) right now.
Looking at its valuation, CAT is holding a Forward P/E ratio of 11.85. This valuation marks a discount compared to its industry's average Forward P/E of 14.49.
Also, we should mention that CAT has a PEG ratio of 0.89. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. CAT's industry had an average PEG ratio of 0.89 as of yesterday's close.
The Manufacturing - Construction and Mining industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 237, putting it in the bottom 7% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks. Com to follow all of these stock-moving metrics, and more, in the coming trading sessions.