Schwab Network on $CAT (Oct 29, 2026)

another big name is Caterpillar . This stock is trending downwards this morning. Yes, Caterpillar is shrinking again. These shares are down 10%, adding to the weakness we have recently seen in this stock, which has been outperforming so far this year.

But we are seeing some negative signs this morning.

They actually managed to exceed expectations. Earnings reached $7.20 per share, compared to the $7.08 that the market had expected. Revenues reached $20.68 billion , which also exceeded expectations.

However, sales in the construction sector fell short of expectations. They also maintained their forecast for annual sales. Therefore , this was not a quarter in which they achieved results that exceeded expectations with the guidance being raised.

This was a quarter that exceeded expectations while maintaining the same trajectory.

Revenues rose by 17% in the energy sector, and the relationship with artificial intelligence remains. Sales in the energy sector rose by approximately 18%. This actually exceeded expectations.

Higher sales volumes and stronger prices supported this growth. But again, it is one of those stories where “ good” is not enough for Wall Street today.

Sales in the construction sector increased by 18%. But again, it fell short of expectations. So, sales have grown sharply, but they are still below what Wall Street is hoping for here.

This quickly highlights the work of traditional equipment that cannot keep up with its own energy work.

As for expectations and orders, they actually achieved a record number of backlogs of work. The backlog of orders hit a record high of $78.1 billion, up from the previous quarter.

But the pace of additions has actually slowed down. So , once again, it's a story of slowdown here. They have kept their forecast for annual tariff costs at around $2.2 billion.

They also talked about some customs duty refunds here. But looking ahead and how investors view this stock, " good" is not enough, Nicole.