Caterpillar
Market Cap
US$64.2b
Last Updated
2019/08/24 23:34 UTC
Data Sources
Company Financials +
Executive Summary
Caterpillar Inc. manufactures and sells construction and mining equipment, diesel and natural gas engines, and industrial gas turbines.
Snowflake
Fundamentals
Solid track record established dividend payer.
Similar Companies
Share Price & News
How has Caterpillar's share price performed over time and what events caused price changes?
Latest Share Price and Events
Market Performance
7 Day Return
-2.0%
NYSE:CAT
-2.5%
US Machinery
-1.6%
US Market
1 Year Return
-17.5%
NYSE:CAT
-9.9%
US Machinery
-3.0%
US Market
CAT underperformed the Machinery industry which returned -9.9% over the past year.
CAT underperformed the Market in United States of America which returned -3% over the past year.
Share holder returns
| CAT | Industry | Market | |
|---|---|---|---|
| 7 Day | -2.0% | -2.5% | -1.6% |
| 30 Day | -15.3% | -11.7% | -5.7% |
| 90 Day | -7.2% | -4.2% | 0.2% |
| 1 Year | -15.3%-17.5% | -8.0%-9.9% | -0.8%-3.0% |
| 3 Year | 49.6%38.0% | 32.5%23.9% | 38.1%29.1% |
| 5 Year | 22.3%4.6% | 32.8%16.3% | 50.8%34.1% |
Price Volatility Vs. Market
How volatile is Caterpillar's share price compared to the market and industry in the last 5 years?
Simply Wall St News
5 days ago | Simply Wall St
Did You Miss Caterpillar's (NYSE:CAT) 40% Share Price Gain?1 week ago | Simply Wall St
Read This Before Selling Caterpillar Inc. (NYSE:CAT) Shares3 weeks ago | Simply Wall St
Here's What Caterpillar Inc.'s (NYSE:CAT) P/E Ratio Is Telling UsValuation
Is Caterpillar undervalued based on future cash flows and its price relative to the stock market?
29%
Discount to future cash flow value
Intrinsic Value Based on Future Cash Flows
Caterpillar's share price is below the future cash flow value, and at a moderate discount (> 20%).
Caterpillar's share price is below the future cash flow value, but not at a substantial discount (< 40%).
Price Based on Earnings
Caterpillar is good value based on earnings compared to the US Machinery industry average.
Caterpillar is good value based on earnings compared to the United States of America market.
Price Based on Expected Growth
Caterpillar is poor value based on expected growth next year.
Price Based on Value of Assets
Caterpillar is overvalued based on assets compared to the US Machinery industry average.
Next Steps
Future Growth
How is Caterpillar expected to perform in the next 1 to 3 years based on estimates from 23 analysts?
2.4%
Forecasted annual earnings growth
Earnings and Revenue Growth Estimates
Future Annual Growth Analysis
Caterpillar's revenue is expected to grow by 1% yearly, however this is not considered high growth (20% yearly).
Caterpillar's earnings are expected to grow by 2.4% yearly, however this is not considered high growth (20% yearly).
Caterpillar's revenue growth is positive but not above the United States of America market average.
Caterpillar's earnings growth is positive but not above the United States of America market average.
Caterpillar's earnings growth is positive but not above the low risk savings rate of 2.7%.
Earnings per Share Growth Estimates
Future Return on Equity
Caterpillar is expected to make outstanding use of shareholders’ funds in the future (Return on Equity greater than 40%).
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Past Performance
How has Caterpillar performed over the past 5 years?
9.7%
Historical annual earnings growth
Earnings and Revenue History
Past Earnings Growth Analysis
Caterpillar's year on year earnings growth rate has been positive over the past 5 years.
Caterpillar's 1-year earnings growth exceeds its 5-year average (100.4% vs 9.7%)
Caterpillar's earnings growth has exceeded the US Machinery industry average in the past year (100.4% vs 17.5%).
Return on Equity
Whilst Caterpillar made outstanding use of shareholders’ funds last year (Return on Equity greater than 40%), this is metric is skewed due to its high level of debt.
Return on Assets
Caterpillar used its assets more efficiently than the US Machinery industry average last year based on Return on Assets.
Return on Capital Employed
Caterpillar has significantly improved its use of capital last year versus 3 years ago (Return on Capital Employed).
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Financial Health
How is Caterpillar's financial position?
Financial Position Analysis
Caterpillar is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
Caterpillar's cash and other short term assets cover its long term commitments.
Debt to Equity History and Analysis
Caterpillar's level of debt (244.3%) compared to net worth is high (greater than 40%).
The level of debt compared to net worth has increased over the past 5 years (192.1% vs 244.3% today).
Debt is not well covered by operating cash flow (19.8%, less than 20% of total debt).
Interest payments on debt are well covered by earnings (EBIT is 44.7x coverage).
Balance Sheet
High level of physical assets or inventory.
Debt is covered by short term assets, assets are 1.1x debt.
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Dividend
What is Caterpillar's current dividend yield, its reliability and sustainability?
3.60%
Expected Dividend Yield
Dividend Yield and Payments Analysis
Caterpillar's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.52%).
Caterpillar's dividend is below the markets top 25% of dividend payers in United States of America (3.93%).
Dividends per share have been stable in the past 10 years.
Dividends per share have increased over the past 10 years.
Current Payout to Shareholders
Dividends paid are well covered by earnings (3x coverage).
Future Payout to Shareholders
Dividends after 3 years are expected to be well covered by earnings (3.5x coverage).
Next Steps
Management
What is the CEO of Caterpillar's salary, the management and board of directors tenure and is there insider trading?
2.6yrs
Average management tenure
CEO
Jim Umpleby (61yo)
2.6yrs
Tenure
US$27,289,513
Compensation
Mr. D. James Umpleby, III, also known as Jim, has been the Chief Executive Officer and Chairman of the Board of Caterpillar Inc. since January 1, 2017 and December 12, 2018 respectively. Mr. Umpleby is a D ...
CEO Compensation Analysis
Jim's remuneration is higher than average for companies of similar size in United States of America.
Jim's compensation has been consistent with company performance over the past year, both up more than 20%.
Management Age and Tenure
2.6yrs
Average Tenure
53yo
Average Age
The tenure for the Caterpillar management team is about average.
Board Age and Tenure
9.4yrs
Average Tenure
63.5yo
Average Age
The tenure for the Caterpillar board of directors is about average.
Insider Trading
No 3 month open market individual insider trading information.
Recent Insider Transactions
| Entity | Individual |
| Role | Senior Key Executive Group President of Services |
| Shares | 1,080 |
| Max Price | US$115.58 |
Ownership Breakdown
Management Team
Andrew R. Bonfield (56yo)
Chief Financial Officer
- Tenure: 0.9yrs
- Compensation: US$7.71m
Jennifer Driscoll (53yo)
Director of Investor Relations
- Tenure: 0.0yrs
Denise Johnson (53yo)
Group President of Resource Industries
- Tenure: 3.3yrs
- Compensation: US$7.20m
Jim Umpleby (61yo)
Chairman of the Board & CEO
- Tenure: 2.6yrs
- Compensation: US$27.29m
Julie Lagacy (52yo)
VP of Global Information Services (GIS) Division & Chief Information Officer
- Tenure: 4.6yrs
Tom Pellette (56yo)
Senior Vice President
- Tenure: 0.4yrs
- Compensation: US$9.27m
Karl Weiss
CTO and Vice President of Innovation & Technology Development Division
- Tenure: 0.3yrs
Bob De Lange (49yo)
Group President of Services
- Tenure: 2.6yrs
- Compensation: US$7.30m
Suzette Long (53yo)
Chief Legal Officer
- Tenure: 2.6yrs
G. Marvel (57yo)
Chief Accounting Officer
- Tenure: 0.4yrs
Board Members
Miles White (64yo)
Director
- Tenure: 8.6yrs
- Compensation: US$328.06k
Bill Osborn (72yo)
Director
- Tenure: 19.6yrs
- Compensation: US$339.78k
Ed Rust (69yo)
Director
- Tenure: 16.6yrs
- Compensation: US$339.04k
Dave Calhoun (61yo)
Presiding Director
- Tenure: 0.7yrs
- Compensation: US$550.02k
Susan Schwab (64yo)
Director
- Tenure: 10.2yrs
- Compensation: US$311.22k
Dan Dickinson (58yo)
Director
- Tenure: 13.6yrs
- Compensation: US$330.54k
Debbie Reed-Klages (63yo)
Director
- Tenure: 4.6yrs
- Compensation: US$304.06k
Juan Ignacio Gallardo Thurlow (72yo)
Director
- Tenure: 21.6yrs
- Compensation: US$314.78k
Dennis Muilenburg (55yo)
Director
- Tenure: 8.6yrs
- Compensation: US$300.06k
Jim Umpleby (61yo)
Chairman of the Board & CEO
- Tenure: 2.6yrs
- Compensation: US$27.29m
Company Information
Caterpillar Inc.'s company bio, employee growth, exchange listings and data sources
Key Information
- Name: Caterpillar Inc.
- Ticker: CAT
- Exchange: NYSE
- Founded: 1925
- Industry: Construction Machinery and Heavy Trucks
- Sector: Capital Goods
- Market Cap: US$64.169b
- Shares outstanding: 562.59m
- Website: https://www.caterpillar.com
Number of Employees
Location
- Caterpillar Inc.
- 510 Lake Cook Road
- Suite 100
- Deerfield
- Illinois
- 60015
- United States
Listings
| Ticker | Exchange | Primary Security | Security Type | Country | Currency | Listed on |
|---|---|---|---|---|---|---|
| CAT1 | XTRA (XETRA Trading Platform) | Yes | Common Stock | DE | EUR | Jan 1968 |
| CAT | NYSE (New York Stock Exchange) | Yes | Common Stock | US | USD | Jan 1968 |
| CAT | SWX (SIX Swiss Exchange) | Yes | Common Stock | CH | CHF | Jan 1968 |
| CAT1 | DB (Deutsche Boerse AG) | Yes | Common Stock | DE | EUR | Jan 1968 |
| CAT * | BMV (Bolsa Mexicana de Valores) | Yes | Common Stock | MX | MXN | Jan 1968 |
| CATR | ENXTPA (Euronext Paris) | Yes | Common Stock | FR | EUR | Jan 1968 |
| CATZ | BATS-CHIXE (BATS 'Chi-X Europe') | Yes | Common Stock | GB | CHF | Jan 1968 |
| CAT | BVC (Bolsa de Valores de Colombia) | Yes | Common Stock | CO | COP | Jan 1968 |
| CAT | SNSE (Santiago Stock Exchange) | Yes | Common Stock | CL | USD | Jan 1968 |
| CAT | WBAG (Wiener Boerse AG) | Yes | Common Stock | AT | EUR | Jan 1968 |
| CAT | BASE (Buenos Aires Stock Exchange) | CEDEAR EACH REP 1/5 COM USD1 | AR | ARS | Dec 2000 | |
| CATP34 | BOVESPA (Bolsa de Valores de Sao Paulo) | BDR EACH REPR 1 COM USD1 | BR | BRL | Dec 2011 |
Biography
Caterpillar Inc. manufactures and sells construction and mining equipment, diesel and natural gas engines, and industrial gas turbines. Its Construction Industries segment offers asphalt pavers, compactors ...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2019/08/24 23:34 |
| End of Day Share Price | 2019/08/23 00:00 |
| Earnings | 2019/06/30 |
| Annual Earnings | 2018/12/31 |
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.