Industry analysts say Caterpillar is one of the world’s leading industrial companies and is poised to grow in the coming years.
The company’s shares have hit record highs in recent weeks, the most recent, a high of $ 203.29 on Feb. 16.
Rising commodity prices, projected growth in construction activity and possibly new infrastructure legislation in Washington are positive signs for Caterpillar in the near future.
This is good news for a company that has experienced difficult times in recent years. The company was strongly committed to expanding its mining equipment business about a decade ago, when commodity prices were high, only to see prices fall again. Caterpillar sales fell along with them.
Since then, the firm known for its large yellow iron equipment has been restructured and is developing new products and solutions that could contribute to its growth, including autonomous vehicles, remote control equipment and telematics software.
Meanwhile, analysts say rising commodity prices are a sign that at least some parts of the world are ready to return to work.