Caterpillar (NYSE: CAT) reported second-quarter earnings Monday which beat Wall Street expectations.
"Caterpillar delivered record second-quarter profit per share," to quote CEO Jim Umpleby.
The U.S. heavy equipment manufacturer also raised its full-year profit forecast to a range of $11 per share to $12 per share, up 75 cents per share from its previous guidance.
Earnings came in at $2.97 per share vs. $2.73 per share expected by prognosticators. Revenue totaled $14.01 billion vs. $13.89 billion expected.
Investors have also been cautious since Caterpillar CFO's Brad Halverson called the company's first-quarter earnings its "high-water mark" for the year, warning that Caterpillar did not expect anything higher than the $2.82 adjusted profits per share for the remaining three quarters, due to increase investment later in 2018.
"We expect the targeted investments for future growth to be higher over the remaining three quarters," Halverson said during a conference call with investors on April 24.
Wall Street is also waiting to hear updates from the U.S. heavy equipment manufacturer on the delivery lead time issues it is experiencing, as sales dealers report shortages and supply chain issues.
Construction in China remains a concern as well, with Caterpillar's stock sliding earlier this month when President Donald Trump unveiled new tariffs on Chinese goods – and threatened to place more as the trade war escalates.
Shares of Caterpillar rose 65 cents to $143.26 from Friday's close of $142.56 per share. The company's stock has slid nearly 10% this year.
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