Caterpillar Inc: Midstream is anything but ‘mid’ – an underappreciated growth driver

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Caterpillar Inc: Midstream is anything but ‘mid’ – an underappreciated growth driver

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Caterpillar Inc

Midstream is anything but ‘mid’ – an

underappreciated growth driver

Maintain Rating: BUY | PO: 989.00 USD | Price: 879.89 USD

Power portfolio: increasingly ‘stands out’ from the crowd 26 May 2026

We see multiple data points showing that CAT’s Power portfolio ‘stands out’ from the Equity

crowd and provides comfort in CAT’s capacity expansion plans. CAT’s more diverse

Michael Feniger

customer mix: for example, nat gas infrastructure (potentially) in the beginning of a Research Analyst

multi-year positive cycle (it’s not all about AI Power – energy infrastructure build out BofAS michael.feniger@bofa.com

continues). Additionally, we came away from last week’s events (BofA hosts CAT’s Power

Sherif El-Sabbahy

& Energy, CMI’s investor day) with a stronger appreciation of the nuances of CAT’s Research Analyst

portfolio: prime vs back up, framework agreements, geographical mix, etc. Maintain Buy. BofAS sherif.el-sabbahy@bofa.com

Midstream conf: beginning of a multi-year positive cycle… MatthewResearch AnalystPalay

BofA energy analyst, Jean Ann Salisbury, returned from the Energy Infrastructure Council BofAS matthew.palay@bofa.com

Conference (hosts 52 midstream companies). According to Jean Ann, the view at the

event is that we are in the beginning of a multi-year positive cycle - Iran war driving the

importance of US energy independence & energy exports, faster FERC permitting, aging

gas infrastructure, utility driven demand for gas pipelines has exceeded expectations,, and Stock Data

supply chain constraints intensifying (compression equipment – i.e., CAT’s core market). Price 879.89 USD