The financial products manufacturer witnessed falling sales and declining stock prices all throughout 2015; hopes for a better year ahead.
This year has not been the best year for Caterpillar, Inc. due to a falling stock, declining sales, a number of job-cuts and delayed plans. The stock of the multinational financial products manufacturer was affected by a verdict that was made against the company of $73.6 million that was announced by the federal jury in Chicago. According to the verdict, it was accused of stealing trade secrets of a British supplier.
In other news, a decline in the market capitalization was witnessed on Thursday, which is currently at $40.40 billion. This decrease in the market cap was due to the decline of 0.73% in the stock price on Thursday. The trade session commenced at a share price of $69.75 while reaching a high level of $69.9 and a low level of $69.06 during the session. The shares being traded during the day were 2,322,144 shares.
In the last five days Caterpillar stock has seen an incline on 6.56% however in a month’s time the decline witnessed was of $2.58%. They have managed to outperform the S&P 500 in a week’s time by as much as 3.69%. It failed to outperform the index in the past four weeks though, as the index showed a decline of 1.21%.
From its 52-week high share price of $94.66 registered on December 26, 2015, the decline has been of approximately 26.37%. The 52-week low has been seen at $62.99 which was reported by the designer on September 28, 2015.
On the other hand, the shares of Caterpillar commenced at a share price of $69.38 on Monday during the trading session. The currently price to earnings ratio is 14.29 while the earnings per share is $0.75 which were reported on October 22, 2015 when the multinational organization last announced its quarterly earnings. However, in comparison to a year prior the EPS was reported to be $1.72. According to the earnings call, the revenue generated during the quarter was reported to be $11 billion which indicated a decline of 19.1% during last year’s revenue. The revenue managed to underperform the analyst’s expectations by $0.16 billion as experts had predicted that the revenue would be at $11.6 billion.
Halverson Bradley, the Chief financial officer and Group President of the financial products corporation unloaded 11,867 shares on July 29, 2015. This transaction was worth $915,064 and the shares were unloaded at an average share price of $77.11 according to the Securities and Exchange Commission.
A number of brokerage firms have recommended ratings for the shares. Vetr have suggested a rating a Hold from an initial rating of Buy while Baird has recommended a rating of Neutral while previously it was at Outperform.