Baird Just Downgraded Caterpillar Stock. Here's Why.

Caterpillar (CAT) is slipping on Wednesday after a senior Baird analyst downgraded the industrial giant, citing emerging regulatory concerns surrounding data center construction. Mig Dobre now rates CAT at “Neutral,” although his downwardly revised price target of $900 still signals potential upside of 7% from its previous close.

Baird’s bearish call adds to pressure on Caterpillar stock, which has already lost nearly 26% since late June.