JPMorgan lowered the firm’s price target on Caterpillar (CAT) to $490 from $515 and keeps an Overweight rating on the shares post the Q4 report. The firm says the company’s sales outlook suggests the margin decline “is more strategic than capitulation.” Caterpillar proactively managed dealer inventory at the onset of demand normalization that began in late 2023 and hence was able to produce relatively in line with demand in 2024 that held up margins at healthy levels, the analyst tells investors in a research note.
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