Why Caterpillar Stock Topped the Market Today

Caterpillar (NYSE: CAT) was quite the energetic cat on the stock exchange as the trading week kicked off. The durable construction vehicle and equipment maker's shares ended the day more than 3% higher, on news of an analyst's recommendation upgrade. That rise was far higher than the S&P 500's (SNPINDEX: ^GSPC) upward move, which was a relatively light 0.2%.Well before market open, Evercore ISI's David Raso changed his recommendation on Caterpillar stock for the better. He now believes it is worthy of an in-line (read: hold) designation, rather than its previous underperform (sell), at a price target of $365 per share. According to reports, Raso's new take on Caterpillar is based on a combination of factors outlined in his latest update on the stock. He pointed out that construction equipment stocks, a group of which it's something of a leader, have fallen at double-digit rates in the past month and a half to two months alone. At the same time, Evercore ISI's surveys for the sector indicate better potential than some investors anticipate.Continue readingWeiter zum vollständigen Artikel bei MotleyFool Weiter zum vollständigen Artikel bei MotleyFool