Should You Buy This Sneaky AI Dividend Stock Up 330% In The Last 5 Years?
This stock has handily outperformed the S&P 500 index, but has its ties to artificial intelligence turned it into a risky investment?
Overview
Caterpillar (NYSE: CAT) is an iconic name in the industrial sector. The company's yellow earth-moving equipment is a mainstay at construction sites worldwide. It also makes power systems that can provide electricity in remote locations. The company is well-positioned to support the build-out of the infrastructure needed for artificial intelligence. And Wall Street knows it, which is a problem.
In the first quarter of 2026, Caterpillar's revenues increased by 22%. Adjusted earnings increased by an even more impressive 30%. The company's backlog rose to a record $63 billion. That is 79% higher than it was a year earlier, rising by a huge $28 billion. Caterpillar has been doing very well, and it has a strong outlook for the future as it works off its record-setting backlog.
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Originally published at www.fool.com.