Why You Should Short Caterpillar Archives

daniel July 10, 2016 Cat’s shares will take a major tumble, Cat’s stock to be a poor investment, Caterpillar (NYSE: CAT), Caterpillar has a lot of float, Caterpillar is no longer a value investment, Caterpillar’s sales are collapsing, Expect Caterpillar’s Share Price to Collapse, Investors should stay away from Caterpillar, Is Caterpillar Doomed?, Is Caterpillar Making Money?, revenue and income collapse., Why You Should Short Caterpillar

Is Caterpillar Doomed?

Caterpillar is no longer a value investment; instead it was grossly overpriced at the $77.37 the shares were trading at on July 8, 2016. Despite the cash and float, Cat’s shares will take a major tumble if the next earnings report is as bad as the last one.

The revenue and income declines indicate that the company’s 4.11% dividend yield and 7.84% return on equity are not sustainable. Instead expect both those numbers and Caterpillar’s share price to fall dramatically.