The company, known for its iconic yellow construction and mining equipment, saw its stock rise as much as 2.4% on Tuesday to a high of US$644.59. Because of its business selling power-generation equipment, Caterpillar has been a runaway winner in a market where investors are hungry for secondary AI plays after the valuations of major technology and semiconductor companies soared. Exuberance around data centre-driven demand for power generation has helped the company “support a record backlog”, Bloomberg Intelligence analyst Christopher Ciolino said. Investors are buying into economically sensitive stocks after a report last month showed US growth has been stronger than expected, said Steve Sosnick, chief strategist at Interactive Brokers. Caterpillar “should see cyclical upside” this year in sectors including mining and construction, Jefferies analyst Stephen Volkmann told clients last month.

Source: The Edge Markets January 13, 2026 16:48 UTC