The Global Demographic Tailwind

[DewDiligence]

Goldman Sachs is a little late on this call inasmuch as CAT is up
170% from its low in March 2009. Why wasn’t GS paying attention
when CAT unofficially raised guidance in April (#msg-37451985)?

http://www.reuters.com/article/marketsNews/idCNBNG21392820091021

›Goldman Sachs Raises Caterpillar to ‘Neutral’ [LOL]

Wed Oct 21, 2009 9:30am EDT

Oct 21 (Reuters) - Goldman Sachs upgraded Caterpillar Inc (CAT) the stock to "neutral" from "sell" and bumped up its price target by $16 to $64, citing improved cost control by the company and a stronger outlook for construction equipment demand.

"Recent macro data foreshadows potential for a sharper construction recovery and CAT's cost control has clearly improved, benefiting from aggressive first-quarter actions," analyst Jerry Revich said,

Revich also expects strong commodity outlook to drive capital expenditure in the mining sector and sees a jump in global construction equipment sales as investments in the construction market increase.

However, Stifel Nicolaus downgraded the stock to "sell" from "hold," [that’s what makes a market :- )] saying profit will rise only with sales in 2010, offering little operating leverage.

Shares of Caterpillar closed at $59.61 Tuesday on the New York Stock Exchange.‹