International Assets Increases Stake in Caterpillar to $2.53 Million

International Assets Investment Management LLC has raised its stake in Caterpillar Inc. (NYSE: CAT), increasing its holdings by 2.0% in the second quarter of 2023. According to a recent filing with the U.S. Securities and Exchange Commission (SEC), the investment firm now owns 6,515 shares of the construction and mining equipment manufacturer, valued at approximately $2.53 million.

During this quarter, the firm acquired an additional 130 shares. The move reflects a broader trend among institutional investors, many of whom have recently adjusted their positions in Caterpillar. Notably, Family Legacy Financial Solutions LLC purchased a new stake valued at $32,000, while Harbor Asset Planning Inc. invested $34,000 in the same period.

Another significant change came from Compass Financial Services Inc., which increased its holdings by 49.2% in the first quarter, now owning 94 shares worth around $31,000. Other investors, including Redmont Wealth Advisors LLC and Maseco LLP, also acquired stakes in Caterpillar, highlighting the growing interest in the company. Overall, institutional and hedge funds collectively hold 70.98% of Caterpillar’s stock.

Insider Transactions and Stock Performance

Recent insider activity has also drawn attention. On August 11, 2023, Jason Kaiser, an insider at Caterpillar, sold 2,161 shares at an average price of $417.70, totaling nearly $902,650. Following this transaction, Kaiser’s ownership decreased by 20.02%, leaving him with 8,632 shares valued at approximately $3.61 million.

Additionally, on September 2, 2023, Chairperson Donald J. Umpleby III sold 17,168 shares for about $7.09 million. After this sale, Umpleby retained 482,505 shares, valued at approximately $199.21 million, marking a 3.44% decrease in his position. Overall, insiders sold 55,985 shares valued at $25.56 million over the last quarter, while company insiders hold 0.33% of the stock.

Recent Earnings and Dividend Announcement

Caterpillar has faced recent fluctuations in its stock performance. Shares opened at $527.41 on Friday, reflecting a 2.5% decline. The company has a market capitalization of approximately $247.08 billion and a price-to-earnings ratio of 26.83. Caterpillar’s stock has seen a 12-month low of $267.30 and a high of $544.99.

On August 5, 2023, Caterpillar reported earnings that missed analysts’ expectations. The company posted earnings per share (EPS) of $4.72, falling short of the consensus estimate of $4.88 by $0.16. Revenue reached $16.57 billion, surpassing analyst estimates of $16.14 billion. Compared to the same quarter last year, revenue declined by 0.7%.

Additionally, Caterpillar announced its quarterly dividend, which will be paid on November 20, 2023. Stockholders of record on October 20, 2023 will receive a dividend of $1.51. This dividend represents an annualized rate of $6.04 and a yield of 1.1%. Currently, the dividend payout ratio stands at 30.72%.

Caterpillar, recognized for its manufacturing of construction and mining equipment, continues to attract investments and maintain a significant presence in the industrial sector. With a robust portfolio and ongoing interest from institutional investors, the company remains a key player in its field.