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earningsGOOGLCaterpillartech stocks
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Related tickers and likely impact
GOOGL
▼ Likely negativeAlphabet Inc. (Class A)
Relevance: high
| Market | US stocks |
|---|---|
| Sector | Communication Services |
| Industry | Interactive Media & Services |
| Market cap | $4.0T |
| Close on 10/28/2026 | 325.61 |
| Change that session | +1.57% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
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Alphabet reported Q3 EPS of $2.67, down 7% year over year, on revenue of $127.6 billion (+25%), missing estimates of $3.00 and $127.9 billion and marking its first combined top- and bottom-line miss since Q4 2022. Free cash flow was negative $9.07 billion, capex reached $51.4 billion with the full-year forecast kept at $195 billion to $205 billion, and long-term debt rose to $125.1 billion from $21.6 billion a year earlier. Google Cloud revenue grew 103% to about $30.7 billion, ahead of expectations, but Search grew 12% versus roughly 14% expected, fueling concern that AI could cannibalize the franchise. Caterpillar reported EPS of $7.20, up 45.5% and above estimates, but revenue of $20.7 billion (+17%) fell short of $20.8 billion, with Power & Energy up 75% and FY26 revenue growth expectations unchanged.
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Caterpillar shares fell 7.27% to $661.54 in the session after its third-quarter report, and CNBC named Caterpillar and Alphabet as the two earnings reports dragging the S&P 500 lower. Adjusted EPS of $7.20 beat the $7.04 consensus, but revenue of $20.68 billion, up 17.26% year over year, slightly missed the $20.69 billion expectation, and the EPS beat narrowed to 2.37% from 31.83% in Q2. Operating profit included $128 million of tariff recoveries versus $392 million in Q2, and management gave no numeric guidance, though Power Generation sales rose 30% on data-center turbines and engines. The article notes that three ETFs holding Caterpillar, XLI (8.51% weight), FIDU (5.40%) and VYM (1.50%), still rose in the session as the rest of their portfolios offset the decline.
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Caterpillar reported third-quarter results on October 29, 2026, with adjusted EPS of $7.20 beating the $7.04 consensus, while revenue of $20.68 billion was nearly in line with the $20.69 billion estimate. The stock still fell 9% before the open to $647.90, after dropping 13% in the month before the report. Revenue rose 17.3%, and Power Generation sales reached $3.421 billion, up 30%, driven by turbines and large reciprocating engines sold to data centers; operating profit included $128 million of IEEPA tariff refunds. The company gave no numeric guidance and no dollar figure for its record backlog, only repeating the $72 billion cited in August. The article notes that Vertiv and GE Vernova also slipped before the open despite big beats on October 28, when Vertiv had risen 16% after raising its full-year revenue guidance.
- Caterpillar Is Quietly Becoming an AI Stock. Here's the Segment Growing 72% That Proves It.
Caterpillar's second-quarter revenue rose 24% from a year earlier and earnings per share jumped 73%, with the power and energy segment growing fastest. Retail sales of power generation equipment climbed 72%, which CEO Joseph Creed attributed to very strong demand for large generator sets and turbines used in data centers. Data centers consumed about 4.9% of U.S. electricity supply in 2025, and their consumption is projected to more than double by 2030. The company's backlog reached a record $72 billion, up 92% over the past year. Wall Street expects third-quarter revenue growth of 17% and earnings of $7.03 per share, up 42%, and the author says he wouldn't be surprised if the company beats those estimates.
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