Jan. 13 at 6:34 PM
Caterpillar shares hit a major milestone, pushing the company’s market value above
$300 billion, driven largely by AI-related demand for power generation. The stock is up nearly 80% over the past 12 months, making it the best-performing name in the Dow.
AI data centers are fueling strong demand for electricity, boosting Caterpillar’s gas turbine and power-generation business. Analysts now expect Caterpillar’s data center–related sales to reach
$15.5 billion by 2030, up from prior estimates of
$11 billion. Citi recently raised its price target to
$710, while other analysts see AI-driven power demand adding meaningfully to future earnings.
Caterpillar plans to double power generation sales by 2030, and Wall Street price targets have risen sharply over the past six months, reflecting growing confidence that AI—not construction alone—is driving the stock’s surge.
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