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CAT to Boost Mining Technology Solutions With RPMGlobal Holdings Deal

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Key Takeaways

  • Caterpillar plans to acquire Australian mining software provider RPMGlobal Holdings.
  • The deal will enhance Caterpillar's technology in asset, fleet management and autonomy.
  • Completion is expected in early 2026, pending RPMGlobal shareholder and regulatory approval.

Caterpillar Inc. (CAT - Free Report) has inked an agreement to acquire RPMGlobal Holdings Limited for a total equity value of AUD 1.12 billion ($732 million). With RPMGlobal’s long-standing expertise in providing data-driven software solutions for every stage of the mining lifecycle, it will strengthen CAT’s current capabilities and help its mining customers operate with greater efficiency.

Deal Set to Strengthen CAT’s Mining Tech

RPMGlobal Holdings is an Australian-based provider of mining software solutions. 

The addition of RPMGlobal Holdings’ software solutions is expected to enhance Caterpillar's existing technology in asset and fleet management, and autonomy. The acquisition will further benefit from RPMGlobal Holdings’ agile approach and culture to developing solutions and Caterpillar's customer-centric focus.

The deal is expected to be completed in the first quarter of 2026. The closing of the transaction is subject to approval by RPMGlobal shareholders and other closing conditions. 

In recent years, miners have been increasingly relying on technology to increase productivity, reduce costs and improve frontline safety. Caterpillar has been expanding its autonomous capabilities and investing in advanced products and technologies to tap into this growing demand.

Caterpillar’s Q2 Performance

CAT reported adjusted earnings per share of $4.72 for the second quarter of 2025, which missed the Zacks Consensus Estimate of $4.88 by 3.3%. The bottom-line figure was down 21% year over year due to lower revenues and elevated costs owing to tariffs.

Caterpillar reported revenues of $16.57 billion, which beat the Zacks Consensus Estimate of $16.35 billion by 1.3%. The top line dipped 1% year over year as unfavorable price realization of $414 million offset higher sales volume of $237 million. Higher sales volume was mainly driven by increased sales of equipment to end users. 

CAT witnessed revenue declines of 2% in North America, 4% in Latin America and 2% in the Asia Pacific. EAME was the only bright spot, delivering 6% growth. On a positive note, Caterpillar reported record sequential backlog growth of $2.5 billion in the quarter. Its backlog is currently a solid $37.5 billion.

CAT Stock’s Price Performance

Over the past year, Caterpillar's stock has gained 26.7% compared with the industry’s 24.9% growth.

 

Zacks Investment Research Image Source: Zacks Investment Research

 

Caterpillar’s Zacks Rank & Stocks to Consider

CAT currently carries a Zacks Rank #4 (Sell).

Some better-ranked stocks from the Industrial Products sector are Parker-Hannifin Corporation (PH - Free Report) , Donaldson Company, Inc. (DCI - Free Report) and Crane Company (CR - Free Report) . These three companies have a Zacks Rank #2 (Buy) at present. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.

The Zacks Consensus Estimate for Parker-Hannifin’s 2025 earnings is pegged at $29.08 per share, indicating a year-over-year increase of 6.4%. It delivered an average trailing four-quarter earnings surprise of 4.5%. Parker-Hannifin’s shares have gained 12.5% in a year.

Donaldson delivered an average trailing four-quarter earnings surprise of 1%. The Zacks Consensus Estimate for DCI’s 2025 earnings is pinned at $4.02 per share, which indicates a year-over-year rally of 9.2%. Donaldson’s shares have gained 9.4% in a year.

Crane delivered an average trailing four-quarter earnings surprise of 7.5%. The Zacks Consensus Estimate for CR’s 2025 earnings is pinned at $5.77 per share, which indicates year-over-year growth of 18.2%. The company’s shares have gained 10.9% in a year.

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