Caterpillar Inc. shares have fallen more than 15% since mid-January from a 52-week high of $173.24 to around $147.00 in recent days. President Trump’s newly introduced tariffs on Chinese goods have led to concerns about a trade war that could negatively affect U.S. companies that export to China, including Caterpillar, The Boeing Company , DowDuPont Inc. and General Electric Company, among others.
Despite the negative sentiment, Caterpillar has reported solid growth over the past several years. Retail machine sales increased by about 33% year over year for the three months ended February, with resources industries up 60% and construction industries up 27%. Energy and transportation retail sales also increased 21% over the period thanks to the ongoing rebound in energy prices. (See also: Caterpillar’s Latest Restructuring Move Could Cut 880 Jobs.)
Technical indicators suggest that Caterpillar shares could see some consolidation before moving lower. …read more
Read more here: Will Caterpillar Stock Break Down From Descending Triangle?
Category: CAT, BA, DWDP, GE