Caterpillar (NYSE:CAT) declined in trading after its Q1 revenues fell short of estimates. The company generated Q1 sales and revenues of $15.8 billion, which were flat year-over-year due to lower sales volume. This fell short of analysts’ forecasts of $16 billion.
Claim 50% Off TipRanks Premium and Invest with Confidence
- Unlock hedge-fund level data and powerful investing tools designed to help you make smarter, sharper decisions
- Stay ahead of the market with the latest news and analysis so your portfolio is always positioned for maximum potential
The construction and mining equipment company reported Q1 adjusted earnings of $5.60 per share, compared to $4.91 per share in the same period last year. This was above consensus estimates of $5.14 per share.
Caterpillar’s construction business saw its revenues decline by 5% year-over-year to $6.4 billion. In contrast, its energy and transportation equipment business saw Q1 revenues of $6.25 billion, an increase of 7% year-over-year.
Is CAT a Good Stock to Buy?
Analysts remain cautiously optimistic about CAT stock, with a Moderate Buy consensus rating based on seven Buys, nine Holds, and two Sells. Over the past year, CAT has surged by more than 65%, and the average CAT price target of $339.41 implies a downside potential of 6.6% from current levels. These analyst ratings are likely to change following CAT’s Q1 results today.
