Caterpillar clears a fresh all-time high, shares ride AI power deal momentum

By Julia Schmitt, Sector & Peer Group desk. Reviewed prior to publication on 2026-06-26, 11:48.

Caterpillar (US1491231015) extended its rally on the NYSE after breaking through the 1,000 dollar mark this week, with shares hitting a new all-time high on June 25 as a long-term AI data center power deal drew investor attention, according to Investing.com and other market data providers.

What the AI power deal means

Investing.com reports that Caterpillar shares surged about 5.3 percent in afternoon trading on June 25, reaching around 1,047 dollars and setting a new record high as markets reacted to a 20-year power purchase agreement tied to AI data centers.

Chevron has agreed a 20-year power purchase agreement with Microsoft to develop Project Kilby in West Texas, a co-located power facility for AI data centers where additional generation capacity is expected to be supplied by Solar Turbines, a wholly owned Caterpillar subsidiary.

Analyst targets move higher

According to Investing.com, Wall Street research houses have responded to the deal and the share price strength with a series of target upgrades, including JPMorgan lifting its Caterpillar target to 1,165 dollars, Evercore ISI moving to 1,103 dollars, and Wells Fargo raising its target to 1,050 dollars.

The same report notes that bullish analyst price targets sit above many prior estimates, reflecting confidence in Caterpillar’s exposure to AI infrastructure and data center investment rather than traditional construction demand alone.

The business behind the AI exposure

Solar Turbines, Caterpillar’s wholly owned subsidiary, manufactures industrial gas turbines and compression systems that are used for power generation and mechanical drive applications, making it a direct supplier of generation capacity for large-scale energy projects like Project Kilby.

Where the shares trade today

The Caterpillar shares (US1491231015) trade on the NYSE under the ticker CAT and most recent indicative quotes show levels around 1,057 dollars per share on June 25, 2026, in U.S. trading.

This article is for informational purposes only and does not constitute investment advice, a recommendation to buy or sell securities, or a solicitation of any transaction. All data and figures are based on sources cited in the text and may change over time.