Current trend

Shares of Caterpillar Inc., a manufacturer of construction and mining equipment, are adjusting at 345.00.

Ahead of the publication of the quarterly report, Citibank analysts assigned the emitter's shares a "buy" rating with a target price of 380.0 dollars due to expectations that in 2025 and 2026 Caterpillar Inc. will be able to increase sales of construction equipment, especially in the international segment, where growth of 45.0% is projected.

The financial report will be published on July 30: according to preliminary estimates, revenue will amount to 16.77 billion dollars, which is significantly higher than 15.8 billion dollars earlier, but below 17.3 billion dollars over the same period a year earlier. Earnings per share are expected to reach 5.55 dollars, which is exactly the same as in Q2 2023 and reflects the stable position of the company. The next dividend payment should be indexed: according to experts, 1.4 dollars per share will be sent to the holders of securities, which corresponds to a yield of 1.5% per quarter.

Support and resistance

On the D1 chart, the asset is trying to leave the local descending channel with the boundaries of 339.00–300.00.

The technical indicators have already reversed around and issued a new buy signal: the fast EMAs on the Alligator indicator crossed the signal line from the bottom up, and the AO histogram is trading in the buy zone, forming ascending bars there.

Support levels: 339.00, 318.00.

Resistance levels: 350.00, 372.00.

Trading tips

If the local growth of the asset continues and the price consolidates above the resistance level of 350.00, one may open long positions with the target of 372.00 and stop-loss of 343.00. Implementation time: 7 days and more.

In case of a reversal and continued decline of the asset, as well as price consolidation below the support level of 339.00, one can open short positions with the target of 318.00 and stop-loss of 347.00.