For most investors, how much a stock's price changes over time is important. Not only can it impact your investment portfolio, but it can also help you compare investment results across sectors and industries.

Another factor that can influence investors is FOMO, or the fear of missing out, especially with tech giants and popular consumer-facing stocks.

What if you'd invested in Caterpillar (CAT Quick QuoteCAT - Free Report) ten years ago? It may not have been easy to hold on to CAT for all that time, but if you did, how much would your investment be worth today?

Caterpillar's Business In-Depth

With that in mind, let's take a look at Caterpillar's main business drivers.

Caterpillar, known for its iconic yellow machines, is the largest global construction and mining equipment manufacturer. Given that it serves a gamut of sectors - infrastructure, construction, mining, oil & gas and transportation, the company is considered a bellwether of the global economy.

Since 1925, Caterpillar’s product portfolio has evolved and boasts 20 brands and generated revenues of $65 billion in 2024. It has more than 4 million products with an extensive dealer network of 156 dealers spanning 190 countries.

Caterpillar started using telematics in the 1990s and reached its target of 1 million connected assets in 2019. It currently has more than 1.5 million connected assets. The combination of innovation, and cutting-edge technology, coupled with the formidable reputation, set Caterpillar apart from its peers.

Caterpillar is the 33rd largest company on the S&P 500 Index, with a market capitalization of around $247 billion. It holds the second position in the Dow Jones Industrial Average, with a 7.55% weight. It is also a member of the S&P 500 Dividend Aristocrat Index.

The Irving, TX-based company has six operating segments.

Machinery, Energy & Transportation (ME&T) (around 94% of total revenues in 2024) includes the Construction Industries segment, which manufactures machinery utilized in infrastructure, forestry and building construction.

The Resource Industries segment caters to customers using machinery in mining, quarry and aggregates, heavy construction, waste and material handling applications.

The Energy & Transportation segment supports customers in oil and gas, power generation, marine, rail and industrial applications.

All Other Segments primarily comprise activities such as re-manufacturing CAT engines and components and re-manufacturing services for other companies and product management, development, manufacturing, marketing and product support.

Financial Products Segment (6% of total revenues in 2024) provides retail and wholesale financing alternatives for Caterpillar products.
 

Bottom Line

Anyone can invest, but building a successful investment portfolio requires research, patience, and a little bit of risk. So, if you had invested in Caterpillar, ten years ago, you're likely feeling pretty good about your investment today.

According to our calculations, a $1000 investment made in November 2015 would be worth $7,737.28, or a gain of 673.73%, as of November 24, 2025, and this return excludes dividends but includes price increases.

Compare this to the S&P 500's rally of 216.06% and gold's return of 263.58% over the same time frame.

Analysts are forecasting more upside for CAT too.

Caterpillar reported year-over-year growth in its third-quarter revenues after six quarters of declines. This improvement was attributed to volume growth in all of its segments. However, earnings declined in the quarter due to the impact of tariffs. This will continue through 2025 with the company expecting a $1.6-$1.75 billion impact for the year. The record high backlog of $39.9 billion should support its top line. Going forward, the Construction Industries segment will gain from increased construction activities in the United States and globally. Resource Industries will be supported by commodity demand. The Energy & Transportation segment will gain on strong demand across all applications. Caterpillar's focus on aftermarket parts and service-related revenues (which generate high margins) will aid growth.

Shares have gained 5.30% over the past four weeks and there have been 8 higher earnings estimate revisions for fiscal 2025 compared to none lower. The consensus estimate has moved up as well.