Caterpillar Inc

CAT is in a Stage 4 decline marked by a clear sequence of lower highs and lower lows with declining EMAs acting as resistance. The medium-term bias remains bearish, while the long-term uptrend holds above the rising 200 DMA. Short-term conditions are neutral, with price oversold and pulling back into the 9/21/50 EMA zone, suggesting deferred execution. We will trim into rallies at EMA resistance rather than chase further downside.

• ↑Q1 2026 revenue $17.4B (+22% YoY) driven by power generation
• ↑Record backlog of $63B (+79% YoY) underpins future sales
• ↓DCF suggests stock ~18% overvalued versus intrinsic value