CAT - Yellow Machinery Green Investments - The Bullish Case For Caterpillar In Today's Market
2024-02-12 00:35:03 ET
Summary
- Caterpillar could benefit from a potential manufacturing recovery as indicated by the ISM Manufacturing Index.
- The company reported record-breaking sales and revenues in 2023, with improved profitability and cash flow.
- Analysts have a cautious outlook for 2024 but expect growth in EPS in 2025 and 2026, while the stock is currently undervalued.
Introduction
As interesting as the current AI trend may be, I believe ongoing developments in the machinery and manufacturing industries are more interesting.
Why?
Because we're getting so many mixed signals, which has implications for the economy and cyclical stocks.
For example, regional manufacturing surveys from the New York and Philadelphia Fed point to severe contraction and elevated recession risks....
Yellow Machinery, Green Investments - The Bullish Case For Caterpillar In Today's Market