Caterpillar beats profit forecasts for the third quarter and reports a record backlog
Revenue of $20.70B fell just short of the $20.75B analysts expected, but the machinery maker says order rates are strong.
Chart: CAT, one-minute prices, three sessions
Caterpillar earned $7.20 a share in the third quarter, $0.04 more than analysts expected, and says its order backlog is at a record. Revenue was $20.70B, against $20.75B expected.
Chairman and CEO Joe Creed said the results reflect the durability of the company's end markets, with strong order rates and the record backlog.
That runs against the early October selloff, when Caterpillar was the worst performer in the Dow on worries that demand was softening. A record backlog and strong orders point to steady activity in its markets, not the slowdown that drop implied. They also complicate the case behind UBS's recent cut in its price target to $750 from $925.
The small revenue miss leaves some doubt about near-term volume, even as orders hold up.
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