Stocks on Friday moved modestly higher, with the Dow Jones Industrial Average pushing ahead 19 points; the NASDAQ rising 20 points; and the S&P 500 gaining four points. Market breadth was tipped in favor of the bulls, as well, with advancing issues topping decliners by seven to four on the Big Board and by a five-to-three margin on the NASDAQ.
Caterpillar Incorporated (CAT) is the world’s largest producer of earthmoving equipment. This entails road building, mining, logging, agriculture, petroleum, and general construction. The company is probably best known for its tractors, but it also makes scrapers, compactors, loaders, off-highway truck engines, pipelayers, and lift trucks. Its stock is a bellwether for the global economy in general and on the industrial front, particularly here in the United States. Performance of late has taken a hit due to a myriad of issues that we will discuss below. Using the latest Value Line report we will see if it is worth an investment at current price levels. With that in mind, the quotation as of this writing is close to the stock price that appears at the top of the aforementioned page.
Athletic footwear and apparel giant NIKE delivered in-line May-period earnings. However, sales came in lighter than expected.