Seeking Alpha

More on Caterpillar Q4: Plans major stock buybacks

  • Caterpillar (CAT) plans to buy back $1.7B in shares during Q1, which will complete a $7.5B program. The company also announces a new $10B plan that will expire on December 31, 2018.
  • Expects 2014 EPS excluding restructuring costs of $5.85 per share; including restructuring costs, the outlook is for $5.30. Consensus is for $5.78.
  • Forecasts 2014 revenue to be similar to 2013 - "about $56B in a range of plus or minus 5%." Consensus is for $55.27B.
  • Expects the cost of restructuring to be $400-500M for a post-tax impact of $0.50-0.60 a share.
  • Shares +6.7%. (PR)
  • Previous
From other sites
Comments (6)
  • AZ Desert Trader
    , contributor
    Comments (242) | Send Message
     
    Nice! Just like McDonalds and all these other huge Dow companies. If you can't organically grow EPS, buy back shares!
    27 Jan 2014, 07:59 AM Reply Like
  • fuzzymc
    , contributor
    Comments (135) | Send Message
     
    Earnings stink, sales stink, outlook stinks buy back more shares to make numbers look better!!
    27 Jan 2014, 08:03 AM Reply Like
  • Papaswamp
    , contributor
    Comments (2198) | Send Message
     
    So companies are using excess cash to buy back stocks and keep prices propped up? Not exactly a positive indicator for the future economy.
    27 Jan 2014, 08:07 AM Reply Like
  • Momintn
    , contributor
    Comments (4437) | Send Message
     
    This is why you don't want to short good companies that are already down. People love to own Caterpillar. CAT is down over 8% for the year. Caterpillar has had no gains in 3 years. It could go to $94 today and it will probably go to $104 this year.
    27 Jan 2014, 09:02 AM Reply Like
  • Deja Vu
    , contributor
    Comments (1322) | Send Message
     
    Party on! Revenues dropped 10% year over year and will continue to fall...China, a major customer, teeters on the brink of a financial crisis...but, hey, back the truck up to the fed and get some more of the 0.25% overnight money and inflate the stock....
    27 Jan 2014, 09:16 AM Reply Like
  • karlfigg
    , contributor
    Comments (9) | Send Message
     
    It appears China represents 5% of the company's total sales.
    27 Jan 2014, 03:53 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Hub
ETF Screener: Search and filter by asset class, strategy, theme, performance, yield, and much more
ETF Performance: View ETF performance across key asset classes and investing themes
ETF Investing Guide: Learn how to build and manage a well-diversified, low cost ETF portfolio
ETF Selector: An explanation of how to select and use ETFs