Should You Buy Caterpillar Inc. (CAT) Stock on Monday?

Overall market sentiment has been down on Caterpillar Inc. (CAT) stock lately. CAT receives a Bearish rating from InvestorsObserver Stock Sentiment Indicator.

Caterpillar Inc. has a Bearish sentiment reading. Find out what this means for you and get the rest of the rankings on CAT!

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What is Stock Sentiment?

Sentiment uses short term technical analysis to gauge whether a stock is desired by investors. As a technical indicator, it focuses on recent trends as opposed to the long term health of the underlying company. Updates for the company such as a earnings release can move the stock away from current trends. Price action is generally the best indicator of sentiment. For a stock to go up, investors must feel good about it. Similarly, a stock that is in a downtrend must be out of favor. InvestorsObserver’s Sentiment Indicator considers price action and recent trends in volume. Increasing volumes often mean that a trend is strengthening, while decreasing volumes can signal that a reversal could come soon. The options market is another place to get signals about sentiment. Since options allow investors to place bets on the price of a stock, we consider the ratio of calls and puts for stocks where options are available.

What's Happening With CAT Stock Today?

Caterpillar Inc. (CAT) stock is trading at $204.72 as of 12:30 PM on Monday, May 23, a gain of $6.96, or 3.52% from the previous closing price of $197.76. The stock has traded between $199.16 and $205.46 so far today. Volume today is less active than usual. So far 1,594,458 shares have traded compared to average volume of 3,291,812 shares. To screen for more stocks like Caterpillar Inc. click here.

More About Caterpillar Inc.

Caterpillar is an iconic manufacturer of heavy equipment, power solutions, and locomotives. It is currently the world's largest manufacturer of heavy equipment with over 13% market share in 2021. The company is divided into four reportable segments: construction industries, resource industries, energy and transportation, and Caterpillar Financial Services. Its products are available through a dealer network that covers the globe with over 2,000 branches maintained by 168 dealers. Caterpillar Financial Services provides retail financing for machinery and engines to its customers, in addition to wholesale financing for dealers, which increases the likelihood of Caterpillar product sales. Click Here to get the full Stock Report for Caterpillar Inc. stock.