Caterpillar Stocks Jump 6.61% as Anthropic Takes Over $3.4 Billion Generator Order
By Google News AI ·
This article first appeared on GuruFocus.
Caterpillar (NYSE:CAT) shares jumped 6.61% to $595.53 as of 12:31 p.m. ET on Monday, November 9, in regular trading, after reports that Anthropic agreed to spend $3.4 billion on 1.7 gigawatts of gas-fired generators for its data centers. The equipment comes from Caterpillar orders that San Antonio-based OnePWR Solutions placed about two years ago but needed financing to complete.
Anthropic took over the orders rather than buying OnePWR, according to the Financial Times as cited by Investing.com.
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The deal lands on a business already running hot. Caterpillar reported third-quarter sales of $20.7 billion, up 17%, with Power & Energy sales up 18% to $8.8 billion. Power Generation sales rose 30% to $3.4 billion, driven mainly by turbines and large reciprocating engines for data centers. Adjusted EPS climbed to $7.20 from $4.95, and the operating margin reached 20.4%.
Tom's Hardware noted that the move lets Anthropic skip years of waiting for new equipment.
GuruFocus gives Caterpillar a GF Score of 95/100, with 10/10 for Growth and Momentum and 9/10 for Profitability. Financial Strength and GF Value Rank are softer at 6/10, and the price sits about 18% above the GF Value of $504.12, so the AI power story is already well priced. The key nuance: these are existing orders, not new ones.
Anthropic's financing turns an uncertain order into a funded one, which de-risks backlog rather than adding to it. Still, $3.4 billion equals one full quarter of Power Generation sales. The next test is whether more AI labs place direct orders and whether Caterpillar discloses a backlog figure next quarter.
Originally published by Google News AI
