BofAS Expects Caterpillar (CAT.US) Energy Business to Unlock Potential, Raises TP to USD930

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BofAS anticipates strong demand from data centers for Caterpillar’s Energy & Transportation segment, expecting it to drive growth and unlock potential in the coming year. Despite short-term risks in the Middle East and potential pressure on construction from higher oil prices, Caterpillar’s diversified portfolio provides a hedging effect. The broker has raised its price target for Caterpillar from USD825 to USD930 and reiterated a Buy rating, forecasting improved EPS.

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