CAT Q3 Earnings Call Highlights Record Backlog and Capacity Push

Caterpillar (CAT) shares fell 9.25% after Q3 earnings, despite strong sales and profit growth. Morgan Stanley cut its price target to $675, citing risks in data center demand and construction de-stocking. CAT's backlog hit a record $78 billion, but bookings fell 11% QoQ. The stock is up 9.84% YTD, but Morgan Stanley expects a medium-term range of $550-$800.

Caterpillar reported 3Q 2026 revenue of $20.682B, up 17% YoY, and net income of $3.287B, up 43% YoY. EPS rose 46% to $7.13. Growth was driven by higher sales volume and price realization. The company expects mid-to-high teens revenue growth for 2026.

Caterpillar (CAT) completed its acquisition of John Fabick Tractor Company, a dealership with 37 locations. The deal ensures service continuity, and Steve Ferguson, a Caterpillar executive, was named CEO of Fabick Cat. Financial terms were not disclosed. Caterpillar aims to strengthen its North American distribution network.

Caterpillar Inc. (CAT) completed its acquisition of John Fabick Tractor Company, a Cat dealer in Missouri, Illinois, Wisconsin, and Michigan. The deal, announced in September, aims to ensure smooth ownership transition and maintain customer service. Steve Ferguson, a Caterpillar executive, was appointed CEO of Fabick. CAT shares were up 0.17% at $623.76 on NYSE.

DA Davidson reduced its price target for Caterpillar (CAT) to $685 from $882, citing valuation concerns despite strong Q3 2026 results. CAT reported $7.20 EPS on $20.7B revenue, beating estimates. Shares fell due to cautious Q4 outlook and capacity constraints. CAT's backlog rose 96% YoY, with growth across segments.

Caterpillar Inc. (CAT) completed its acquisition of John Fabick Tractor Company, a 100-year-old dealership with 37 locations. Steve Ferguson, Caterpillar's senior VP, will lead the acquired business. The deal maintains Fabick's operations and customer service. Caterpillar reported $67.6B in 2025 sales.