Bernstein 'tactically cautious' on Caterpillar (CAT) into Q1 earnings

Bernstein analyst Chad Dillard reiterated a Market Perform rating and $195.00 price target on Caterpillar (NYSE: CAT).

"Heading into 1Q23 earnings season, we expect across-the board earnings beats, but will they get rewarded by the market? Our view is likely not. The far more important data points to watch are order and backlog growth, both of which are poised to turn negative. In this environment, P/E multiples compress, as declining backlogs signal that they cycle is over. Going into earnings, we are tactically cautious CAT and tactically positive AGCO."

For an analyst ratings summary and ratings history on Caterpillar click here. For more ratings news on Caterpillar click here.

Shares of Caterpillar closed at $215.53 yesterday.

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