Cat should think about competing in the natural gas space...............coal mining is declining for now and should continue to decline. Tunnels and major excavation is not possible in the "age of austerity" to any great extent. Time to compete for the natural gas dollar. Cummins is doing it with partnerships with natural gas engine providers and cat could easily buy something like CPST or FCEL and modernize its generators and be available in the vicinity to offer equipment to the oil field. There are those who would stay stuck in the past...........................including investors.
Cat is already there with natural gas: Solar Turbines pump it through lines, they sell pipeline layers, they sell their own natural gas engines, and they bought a natural gas engine company within the past two years.
Good points, but all the shale and oil fields where drilling is going on now still need CATs equipment, but sales were down huge. As to my main point of pricing, with the last two days trading, does it look like all of this is baked in?