#4 - Caterpillar (NYSE:CAT)
Caterpillar Inc. (NYSE: CAT) is another stock that’s likely to perform even if inflationary pressures continue. Despite a two-year contraction in the manufacturer’s PMI, Caterpillar has continued to deliver strong results. In its third quarter 2024 earnings report, revenue fell slightly year-over-year. However, the company continued to beat year-over-year earnings numbers.
The industrial equipment maker is a beneficiary of the infrastructure spending that’s been making its way into the economy. Much of that spending is contractually obligated through 2025, which should keep the company’s top and bottom lines healthy.
However, CAT stock has delivered an annual average return of over 38% in the last five years. And despite a return of over 28% in 2024 (which is in line with the S&P 500), analysts are raising their price targets. JPMorgan Chase gives the stock a price target of $515, which is 28.8% higher than its closing price on December 16, 2024.
About Caterpillar
Caterpillar Inc manufactures and sells construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives in worldwide. Its Construction Industries segment offers asphalt pavers, compactors, road reclaimers, forestry machines, cold planers, material handlers, track-type tractors, excavators, telehandlers, motor graders, and pipelayers; compact track, wheel, track-type, backhoe, and skid steer loaders; and related parts and tools.
Read More - Current Price
- $385.09
- Consensus Rating
- Hold
- Ratings Breakdown
- 7 Buy Ratings, 7 Hold Ratings, 3 Sell Ratings.
- Consensus Price Target
- $380.60 (1.2% Downside)
