Bullsu
- Increased infrastructure spending in the US and emerging markets will lead to more construction equipment purchases, substantially boosting Caterpillar's sales growth.
- Higher fixed-asset investment growth in China strengthens support for increased investment in mining capital expenditures, benefiting Caterpillar.
- Oil price gains will lead to increased oil and gas capital expenditures, leading to more engine, transmission, and pump sales for Caterpillar. Bear
- Nonresidential spending normalizing in the short term could pressure Caterpillar ’ s sales and margin growth.
- Commodity prices softening globally would force mining and oil-well-servicing customers to cut back on capital expenditures until demand recovers.
- Caterpillar faces stiff competition from foreign competitors across end markets. Growing competition could pressure its market share.
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