BUZZ-US machinery stocks climb in 2025, led by Caterpillar's 60% surge

Reuters
2025.12.31 12:59
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U.S. machinery stocks, particularly Caterpillar and Deere, saw significant gains in 2025, driven by increased data-center construction and a recovering agriculture market. Caterpillar's shares surged 60% year-to-date, while Deere rose 11%. The demand for Caterpillar's energy and transportation unit, fueled by AI investments, contributed to its growth. Despite rising input costs from U.S. tariffs, both companies are benefiting from increased demand and cost-cutting measures. Caterpillar's forward PE ratio is 25.9, and Deere's is 26.94, both above their industry medians.