Caterpillar Secures 2GW Data Center Power Deal Amid Strong Earnings Beat
Caterpillar's stock surged 4.7% to $688.23 after announcing a landmark 2GW natural gas generator and battery storage contract with Monarch Compute Campus. The deal positions the industrial giant as a key power infrastructure provider for energy-hungry AI data centers.
Citigroup boosted its price target by $50 to $760, reflecting growing confidence in Caterpillar's energy transition strategy. The upgrade follows better-than-expected Q4 results, with EPS of $5.16 surpassing the $4.67 consensus and revenue hitting $19.13 billion versus $17.81 billion forecasts.
Federal regulators cleared Caterpillar's acquisition of RPMGlobal Holdings at A$5.00 per share, completing the company's strategic expansion into complementary sectors. Trading volume reached 2.07 million shares as investors reacted to the dual catalysts of strong earnings and the data center contract.
