Caterpillar Inc

CAT: XNYS (USA)

Morningstar Rating for Stocks	Fair Value	Economic Moat	Capital Allocation
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Caterpillar Earnings: End-Market Demand Waivers as Pricing Begins to Moderate

Spencer Liberman ,

Oct 30, 2024

Third-quarter results for wide-moat-rated Caterpillar were lower than our expectations, driven primarily by lower sales volume in the construction and resource segments. Consolidated revenue decreased 4% year over year as only the energy and transportation segment experienced growth. That said, the consolidated operating margin was resilient in the quarter at 20%, largely due to favorable pricing. We have raised our fair value estimate to $267 per share from $249 due to an increase in our midcycle margin forecast.

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Caterpillar Inc

Caterpillar Earnings: End-Market Demand Waivers as Pricing Begins to Moderate

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