Caterpillar Inc. (NYSE:CAT) is included among the 15 Best Dividend Growth Stocks to Buy Now.
On November 6, HSBC upgraded its rating on Caterpillar Inc. (NYSE:CAT) to Buy from Hold and raised the price target to $660 from $405, according to a report by The Fly. The firm cited a strong third-quarter performance driven by higher volumes and a 25% year-over-year surge in order growth, largely supported by demand in power generation. The analyst noted that the company’s expanding turbine business, particularly its growing exposure to data centers, and new capacity investment plans signal stronger long-term growth potential, justifying the upgrade.
During the third quarter of 2025, Caterpillar Inc. (NYSE:CAT)’s Power Generation segment delivered revenue of $2.63 billion, up 31% from the same quarter a year earlier, fueled by increased sales of large reciprocating engines used in data centers. Overall, quarterly sales and revenue rose 10% to $17.6 billion from $16.1 billion in the prior year, reflecting higher sales volumes and stronger end-user demand.
Caterpillar Inc. (NYSE:CAT) generated $3.7 billion in operating cash flow for the quarter and closed with $7.5 billion in enterprise cash. The company returned $0.7 billion to shareholders through dividends and spent an additional $0.4 billion on share repurchases.
Caterpillar Inc. (NYSE:CAT) is the global leader in manufacturing construction and mining equipment, industrial gas turbines, off-highway diesel and natural gas engines, and diesel-electric locomotives.
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