Caterpillar Inc. (CAT) Price Target Analysis
Wall Street analyst price targets, ratings consensus & upside potential · Updated May 1, 2026
Current Price
$926.64
Price Target
$824.80
Target Range
$650.00 — $1165.00
Analyst Rating
Buy
Forward P/E40.1x
Trailing P/E49.2x
Forward PEG1.43
Implied Growth+14.2%
Median Target$785.00
Analyst Spread62.4%
Price Forecast (1 Year)
Last 12 months price action with 12-month analyst target path
Bear Case
$650
-29.9%
Consensus
$825
-11.0%
Bull Case
$1165
+25.7%
Valuation Model TargetsConfidence: 59/100
Bear$246
Base$1294
Bull$2079
CAT Price Target Analysis
Updated May 7, 2026As of May 7, 2026, Caterpillar Inc. (CAT) has a Wall Street consensus price target of $824.80, based on estimates from 53 covering analysts. With the stock currently trading at $926.64, this represents a potential downside of -11.0%. The company has a market capitalization of $431.16B.
Analyst price targets range from a low of $650.00 to a high of $1165.00, representing a 62% spread in expectations. The median target of $785.00 aligns closely with the consensus average. The wide target spread reflects significant disagreement on fair value.
The current analyst consensus rating is Buy, with 25 analysts rating the stock as a Buy or Strong Buy,21 rating it Hold, and 7 rating it Sell or Strong Sell. The mixed ratings reflect uncertainty about near-term direction.
From a valuation perspective, CAT trades at a trailing P/E of 49.2x and forward P/E of 40.1x. The forward PEG ratio of 1.43 indicates reasonable valuation for growth. Analysts expect EPS to grow +14.2% over the next year.
Our proprietary valuation model, which blends historical multiples with forward estimates, suggests a base-case price target of $1293.73, with bear and bull scenarios of $246.08 and $2078.58 respectively. Model confidence stands at 59/100, reflecting moderate uncertainty in projections.
Investment Context: Price targets represent analyst expectations for the next 12 months and should be considered alongside your own research. Targets are based on analysts' assumptions about earnings growth, margins, and market conditions which may change. For sector-specific context, view other Industrials stocks.
Analyst Sentiment Comparison
Industry Peer AnalysisAvg Peer Upside+19.1%
Avg Forward P/E22.3x
Peers with Coverage10 / 10
| Company | Market Cap | Price | Target | Upside | Rating | Fwd P/E | Analysts |
|---|---|---|---|---|---|---|---|
 DEDeere & Company | $160.4B | $591.64 | $680.54 | +15.0% | Hold | 33.2x | 46 |
 CNHCNH Industrial N.V. | $13.4B | $10.82 | $13.25 | +22.5% | Buy | 26.1x | 14 |
 AGCOAGCO Corporation | $8.7B | $120.23 | $127.29 | +5.9% | Buy | 20.8x | 29 |
 PCARPACCAR Inc | $61.3B | $116.51 | $124.50 | +6.9% | Hold | 20.3x | 45 |
 CMICummins Inc. | $98.9B | $715.76 | $621.10 | -13.2% | Buy | 27.2x | 51 |
 VMCVulcan Materials Company | $38.4B | $295.72 | $327.00 | +10.6% | Buy | 32.2x | 36 |
 MLMMartin Marietta Materials, Inc. | $37.1B | $615.48 | $695.30 | +13.0% | Buy | 31.5x | 40 |
 TEXTerex Corporation | $4.2B | $64.24 | $80.25 | +24.9% | Hold | 13.3x | 31 |
 ACCOACCO Brands Corporation | $372M | $4.03 | $8.00 | +98.5% | Hold | 4.8x | 7 |
 OSKOshkosh Corporation | $9.9B | $156.71 | $168.00 | +7.2% | Buy | 14.0x | 37 |
Upside Potential Comparison
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Start ComparisonCAT — Frequently Asked Questions
Quick answers to the most common questions about buying CAT stock.
What is the CAT stock price target for 2026?
CAT's consensus price target is $824.8, -11.0% below the current price of $926.643. The 53 analysts tracking CAT see downside risk at present valuations.
Is CAT a buy, sell, or hold?
CAT has a consensus rating of "Buy" based on 53 Wall Street analysts. The rating breakdown is mixed, with 21 Hold ratings making up the largest segment. The consensus 12-month price target of $824.8 implies -11.0% downside from current levels.
Is CAT stock overvalued or undervalued?
At a forward P/E of 40.1309x, CAT trades at a premium valuation. The consensus price target of $824.8 (-11.0% downside) suggests analysts may view current valuations as stretched.
How high can CAT stock go?
The most bullish Wall Street analyst has a price target of $1165 for CAT, while the most conservative target is $650. The consensus of $824.8 represents the median expectation. Our quantitative valuation model projects a bull case target of $2079 based on optimistic growth and margin assumptions. These targets typically reflect 12-month expectations.
How many analysts cover CAT stock?
CAT is heavily covered by Wall Street, with 53 analysts providing price targets and ratings. Of these, 0 have Strong Buy ratings, 25 have Buy ratings, 21 recommend Hold, and 7 have Sell or Strong Sell ratings. Higher analyst coverage generally indicates greater institutional interest and more reliable consensus estimates.
What is the CAT stock forecast?
The 12-month CAT stock forecast based on 53 Wall Street analysts shows a consensus price target of $824.8, with estimates ranging from $650 (bear case) to $1165 (bull case). The median consensus rating is "Buy". Our proprietary valuation model produces a base case fair value of $1294, with bear/bull scenarios of $246/$2079.
What is CAT's fair value based on fundamentals?
Our quantitative valuation model calculates CAT's fair value at $1294 (base case), with a bear case of $246 and bull case of $2079. The model uses discounted cash flow analysis, historical growth rates, and margin mean-reversion to project FY+2 earnings, then applies an appropriate P/E multiple. The model confidence score is 59/100.
What is CAT's forward P/E ratio?
CAT trades at a forward P/E ratio of 40.1x based on next-twelve-months earnings estimates compared to a trailing P/E of 49.2x. The lower forward P/E indicates analysts expect earnings growth. A forward P/E is useful for comparing valuations when earnings are expected to change significantly.
Should I buy CAT stock?
Analysts are cautious on CAT, with 7 Sell ratings and a price target of $824.8 (-11.0% from current price). The "Buy" consensus suggests careful evaluation before buying. This information is for educational purposes only. Always conduct your own research, consider your financial situation, and consult a financial advisor before making investment decisions.
Why do CAT price targets vary so much?
CAT analyst price targets range from $650 to $1165, a 62% wide spread indicating significant analyst disagreement. Differences stem from varying assumptions about revenue growth, profit margins, competitive dynamics, and valuation multiples. The $824.8 consensus represents the middle ground. Our model's $246-$2079 range provides an independent fundamental perspective.