Club holding Caterpillar (CAT) delivered another strong quarter before the opening bell Tuesday, sparking a much-deserved rally of more than 8% to an all-time high above $287 per share. Revenue in the second quarter increased 22% year over year to $17.32 billion, exceeding estimates of $16.49 billion, according to Refinitiv. Adjusted earnings per share (EPS) surged 75% to $5.55, well ahead of estimates of $4.58. Profit margin performance was well ahead of expectations, with operating income beating across all of the company’s product segments. CAT 5Y mountain Caterpillar 5-year performance Bottom line Strong headline results at Caterpillar were met with a very bullish conference call — giving shares another jolt to the upside, thanks to positive commentary on the operating environment and growth drivers for the remainder of the year. In addition to strong quarterly sales, Caterpillar’s backlog increased to $30.7 billion. That represents a $300 million quarter-over-quarter gain and a $2.2 billion year-over-year surge. Despite strong results in the first quarter, shares sold off on concerns that the backlog, which was flat versus the fourth quarter, indicating that the strongest demand was in the rearview mirror. At the time, we never bought into that notion because there was too much infrastructure spending coming down the pipe. In Tuesday’s results, we’re starting to see that money flow through to the backlog. Indeed, management told us as much on the call that they “expect continued growth in nonresidential construction in North America due to the positive impact of government-related infrastructure investments and a healthy pipeline of construction projects.” How fast those orders come in will depend on the timeline to obtain permits, but the team does expect the order momentum to “last for some time.” Combined with commentary around dealer inventories and end market dynamics, this infrastructure potential gives us confidence in sustained demand through the end of the year and into 2024. While forward guidance wasn’t expressly given, management made clear that business has improved over the past three months, with full-year results tracking above where consensus estimates had been coming into the print. This was as good of a quarter as we could have hoped for, with plenty of conviction from management for continued momentum. That said, we told investors during Tuesday’s Morning Meeting that conviction always takes a back seat to discipline. With that view in mind, if not restricted, we would be trimming 25 shares, or a little over 7% of our position, due to the strong stock move higher. In line with that view, we’re maintaining our 2 rating , however, raising our price target to $300 per share, up from $285. Companywide Q2 results All three of Caterpillar’s physical product segments, as indicated in the table above, reported strong year-over-year revenue growth that beat estimates. While Financial Products sales missed the mark, lower credit loss provisions — an estimate on loans that won’t get repaid — helped segment operating income outpace expectations. Construction Industries sales in Q2 rose 19% to $7.15 billion. North America was up thanks to an increase in both selling prices and sales volume. On the call, management called out strong demand in both North American residential and nonresidential construction. Latin America saw a decline in sales volume, however, this was partially offset by an increase in prices. In Europe, Africa, and the Middle East, an increase in prices was compounded by higher sales volumes. Sales in Asia/Pacific were largely flat versus the year-ago period. China remains weak and that’s not expected to change much in the near term. Fortunately, China represents less than 5% of sales with weakness being more than offset by strong demand elsewhere in the Asia/Pacific region. Resource Industries sales of $3.56 billion increased by 20%. Segment sales benefited from both higher prices and an increase in sales volume, two factors that also aided segment operating income performance despite an increase in material costs. Within the segment, management expects “healthy mining demand to continue as commodity prices remain above investment thresholds.” Energy & Transportation sales increased 27% to $7.22 billion. Backlog commentary Management explained on the call that backlog levels are a function of demand (which adds to the backlog), as well as the company’s production rates and ability to ship out inventory (which decreases the backlog). With the supply chain improving and Caterpillar’s ability to more quickly turnover orders, we may see that robust backlog as of the end of Q2 decline in future quarters. If that were to occur, a declining backlog would not necessaliry be viewed negatively should it prove to be a function of shorter lead times thanks to increased product availability. Dealer inventories, another forward-looking metric to monitor, increased by about $600 million on a sequential basis and provided a $1 billion benefit to total sales. Caterpillar dealers are independent businesses and they’re not going to increase inventory levels if they aren’t seeing strong demand on the near-term horizon. Guidance As mentioned earlier in the bottom line , Caterpillar didn’t provide exact guidance numbers for every line item. But, we did get positive qualitative comments on the path ahead. The team stated plainly that they now expect their full-year 2023 to be better than they thought just three months ago. Starting with the third quarter, management noted that sales are expected to be higher on an annual basis but lower on a sequential basis (which is typical given seasonal trends). The Street was modeling a 6.8% annual increase and a 7.9% sequential decrease versus the topline results we got Tuesday (or a 2.9% sequential decline versus estimates coming into the print). How exactly that matches up versus estimates is hard to say but we would bet that it’s at least as good as analysts were looking for, probably a bit better. The adjusted operating profit margin for the third quarter is expected to have a similar dynamic, expansion versus the year-ago period and contraction on a sequential basis. That commentary is also in line with Street models coming into the print. On a full-year basis, management expects Caterpillar’s operating profit margin to “be close to the top end of our target range.” The team also noted that second-half sales will be higher versus the second half of 2022. Coming into the release, the Street had been modeling second-half sales of about $33.4 billion. In the first two quarters, Caterpillar generated sales of about $33.2 billion. Add those up and we get a blended full-year sales estimate of $66.4 billion. According to the target ranges provided by the company, we should be looking for an adjusted operating profit margin of about 19%, which if achieved would be ahead of the 18% margin the Street is currently expecting. However, that would be below the 21% in Q2. As for full-year cash flow, the team expects Machinery, Energy & Transportation (ME & T) to be “around the top” of their $4 billion to $8 billion range. That’s highly positive given that management intends to “return substantially all” ME & T free cash flow to shareholders via dividends and repurchases over time. (Jim Cramer’s Charitable Trust is long CAT. See here for a full list of the stocks.) As a subscriber to the CNBC Investing Club with Jim Cramer, you will receive a trade alert before Jim makes a trade. Jim waits 45 minutes after sending a trade alert before buying or selling a stock in his charitable trust’s portfolio. If Jim has talked about a stock on CNBC TV, he waits 72 hours after issuing the trade alert before executing the trade. THE ABOVE INVESTING CLUB INFORMATION IS SUBJECT TO OUR TERMS AND CONDITIONS AND PRIVACY POLICY , TOGETHER WITH OUR DISCLAIMER . 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A Caterpillar (Cat) Excavator is seen working at a construction site near the New York Harbor in Brooklyn, New York, March 4, 2021.
Brendan McDermid | Reuters
Club holding Caterpillar (CAT) delivered another strong quarter before the opening bell Tuesday, sparking a much-deserved rally of more than 8% to an all-time high above $287 per share.
Lease deals get all the hype, but most people still want to own the car after they’re done making all those payments on it. If that sounds like you, and you’ve been waiting for the interest rates on auto loans to drop, you’re in luck: there are a bunch of great plug-in cars you can buy with 0% financing this March … and that includes a zero percent Tesla deal!
UPDATE: some American icons return to the list, and we’ve got more bonus cash offers, too!
I’ve done a couple of these now, so you probably already know that there were plenty of ways for me to present this information. “Best EVs ..?” Too opinion based. “Cheapest EVs ..?” Too much research. In the end, I went with alphabetical order, by make. And, as for which deals are new this month? You’re just gonna have to read the article. Enjoy!
Acura ZDX
2024 Acura ZDX; via Acura.
The 2024 Acura ZDX uses a GM Ultium battery and drive motors, but the styling, interior, and infotainment software are all Honda. That means you’ll get a solidly-built EV with GM levels of parts support and Honda levels of fit, finish, and quality control. All that plus Apple CarPlay and 0% financing for up to 72 months makes the ZDX one the best sporty crossover deals in the business.
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All the electric Chevy EVs (again)
Silverado EV, Equinox EV, and Blazer EV at a Tesla Supercharger; via GM.
As the auto industry transitions to electric, Dodge is hoping that at least a few muscle car enthusiasts with extra cash, will find their way to a Dodge store and ask for the meanest, loudest, tire-shreddingest thing on the lot.
These days, that’s the new electric Charger – and you still owed money on the Hemi you just totaled, Dodge will help get the deal done on its latest retrotastic ride with a $3,000 rebate plus 0% financing for up to 72 months!
Ford Mustang Mach-E
2024 Ford Mustang Mach-E GT Bronze edition; via Ford.
This month, you can get a killer deal on a new 2024 Ford Mustang Mach-E (shown, above). Through March 31st, you can get $2,500 in bonus cash, a free L2 home charger installed, plus 0% financing for up to 72 months. Tesla owners can also get an additional $1,000 in conquest cash, bringing the hood money total to $3,500.
The biggest Ultium-based EVs from GM’s commercial truck brand are seriously impressive machines, with shockingly quick acceleration and on-road handling that seems to defy the laws of physics once you understand that these are, essentially, medium-duty trucks. This month, GMC is doing its best to move out its existing inventory of 2024s, so if you’re a fan of heavy metal you’ll definitely want to stop by your local GMC dealer and give the Hummer EV and Sierra Denali EV a test drive.
Honda Prologue
2024 Honda Prologue; via Honda.
Despite the Honda Prologue was one of the top-selling electric crossovers last year by combining GM’s excellent Ultium platform with Honda sensibilities and Apple CarPlay, Honda upgraded the 2025 model with slightly more EPA range. Even so, there’s still some remaining 2024 inventory out there and dealers are ready to deal (that’s what they do, after all). To make room for the 2025 models, Honda is offering 0% APR for up to 72 months on the remaining 2024s.
Hyundai IONIQ 5
IONIQ 5 record-setting performance; via Hyundai.
Hyundai is still offering 0% financing for 60 months on all versions of the hot-selling 2024 IONIQ 5 crossover, making it hard to overlook in the five-passenger segment. It’s worth noting that Hyundai is also offering the 5 with $7,500 bonus cash in select markets, but that offer can’t be stacked with the 0%, so do some math before deciding which way you want to go.
The Niro’s bigger siblings are getting the 0% treatment, too, for a longer 72 month term.
Mitsubishi Outlander PHEV
2024 Mitsubishi Outlander PHEV; via Mitsubishi.
One of the first three-row plugin cars to hit the market (and a frequent addition to these 0% lists), Mitsubishi’s Outlander PHEV offers up to 38 miles of electric range from its 20 kWh li-ion battery, making it a great “lily pad” vehicle for suburban families who want to drive electric but still worry about being able to find a charging station when they need one.
Nissan Ariya
2024 Nissan Ariya; via Nissan.
I’ve already said that the Nissan Ariya didn’t get a fair shake. If you click that link, you’ll read about a car that offers solid driving dynamics, innovative interior design, and all the practicality that makes five-passenger crossovers the must-haves they’ve become for most families. With great discounts available at participating dealers, Supercharger access, and 0% interest from Nissan for up to 72 months, Nissan dealers should have no trouble finding homes for their remaining 2024 Ariya crossovers.
Subaru Soltera
2023 Subaru Soltera; via Subaru.
Despite being something of a slow seller, this mechanical twin of the Toyota bZ4X EV seems like a solid mid-size electric crossover with some outdoorsy vibes and granola style that offers more than enough utility to carry your mountain bikes to the trail or your kayaks to the river. The company is hoping to help clear out its remaining 2024 models with big discounts and 0% financing for up to 72 months.
Tesla Model 3
Model 3 Highland; via Tesla.
Say what you will about Elon Musk – and I say plenty over on the Quick Charge podcast – the fact remains that we wouldn’t be here talking about EVs at all if it wasn’t for his marketing brilliance, bravado, and sheer force of will. Beyond that, Tesla simply offers as superior ownership experience through total software integration, unfettered access to the Supercharger network, and the best EV route-planning software this side of Chargeway.
If you can stomach being associated with Elon (or have an inside line on some spare Honda badges), you can get a new Model 3 for 0% interest or 0.99% with $0 down if you apply the $7,500 Federal tax incentive at the point of purchase.
Volkswagen ID.4
VW ID.4; via Volkswagen.
One of the most popular legacy EVs, the ID.4 offers Volkswagen build quality and (for 2024) a Chat-GPT enabled interface. To keep ID.4 sales rolling, VW dealers are getting aggressive with discounts, making this fast-charging, 291 mile EPA-rated range, 5-star safety rated EV a value proposition that’s tough to beat.
This month, get a Volkswagen ID.4 with 0% financing for up to 72 months plus a $5,000 customer cash bonus to stack with it.
Disclaimer: the vehicle models and financing deals above were sourced from CarsDirect, CarEdge, and (where mentioned) the OEM websites – and were current as of 09MAR2025. These deals may not be available in every market, with every discount, or for every buyer (the standard “with approved credit” fine print should be considered implied). Check with your local dealer(s) for more information.
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Following approval from Transport Canada, EV startup Workhorse will be bringing the W56 and W750 model electric delivery vans to commercial truck dealers in Canada as early as this spring.
“This is a major step forward for Workhorse,” says Josh Anderson, Workhorse’s chief technology officer in a press statement. “Pre-clearance from Transport Canada opens up a large new market for our products throughout Canada, including with fleets that operate across borders in North America.”
Despite that uncertainty, Workhorse execs remain upbeat. “We’re excited that our electric step vans can now reach Canadian roads and highways, providing reliable, zero-emission solutions that customers can depend on,” added Anderson.
Canadian pricing has yet to be announced.
Electrek’s Take
FedEx electric delivery vehicle; via Workhorse.
There’s no other way to say it: the Trump/Musk co-presidency is disrupting a lot of companies’ plans – and that’s especially true across North American borders. But in all this chaos and turmoil there undoubtedly lies opportunity, and it will be interesting to see who ends up on top.
The new Liebherr S1 Vision 140-ton hauler is unlike any heavy haul truck currently on the market – primarily because the giant, self-propelled, single-axle autonomous bucket doesn’t look anything like any truck you’ve ever seen.
Liebherr says its latest heavy equipment concept was born from a desire to rethink truck design with a focus only on core functions. The resulting S1 Vision is primarily just a single axle with two powerful electric motors sending power to a pair of massive airless tires designed carry loads up to 131 tonnes (just over 140 tons).
The design enables rapid maintenance, as important components easily accessible for quick servicing. Wear parts can be replaced efficiently, and the electric drive significantly reduces maintenance work. This helps to minimise downtimes and increases operational efficiency.
LIEBHERR
Because of its versatility, durability, and ability to perform zero-turn maneuvers that other equipment simply can’t, the Liebherr S1 Vision can be adapted for various applications, including earthmoving, mining, and even agriculture. There’s also a nonzero chance of this technology finding applications supporting other on-site equipment through charging or fuel delivery.
The S1 accomplishes that trick safely with the help of an automatic load leveling system that ensures maximum stability, even on bumpy or rough terrain. The company says this technology significantly reduces the risk of tipping while providing smooth and secure operation across various environments.