Why are Caterpillar shares performing so well?

Caterpillar shares have surged to record highs due to investor recognition of its crucial role in supplying equipment for AI infrastructure, particularly data centers and power systems.

What role does Caterpillar play in the AI boom?

Caterpillar provides essential equipment for AI infrastructure, including turbines for data center power, generator sets for backup, and integrated microgrid systems.

Has Caterpillar's business focus shifted?

Yes, Caterpillar's Energy and Transportation segment revenue surpassed its construction business revenue for the first time in 2024, highlighting a strategic shift towards power generation and energy systems.

Home / Business and Economy / Caterpillar Surges on AI Infrastructure Boom

Caterpillar Surges on AI Infrastructure Boom

11 Feb

•

Summary

Caterpillar shares reached record highs, doubling in 12 months.
Company supplies critical equipment for AI data centers and power.
Energy and Transportation segment revenue surpassed construction for first time.

Caterpillar Surges on AI Infrastructure Boom

Caterpillar, a company with a history dating back to 1925, is experiencing unprecedented growth in the AI era. As of February 10, 2026, its market capitalization has reached approximately $347 billion, with shares doubling over the past 12 months to an all-time high of $742. This performance significantly outpaces major tech companies like Apple and Microsoft, as investors recognize Caterpillar's vital role in supporting AI-driven infrastructure.

Rather than developing AI technology directly, Caterpillar provides essential equipment such as turbines for on-site data center power, generator sets for backup, and integrated microgrid systems. This strategic focus has led to record full-year sales of $67.6 billion and a backlog of $51 billion, indicating strong future demand. The company's CEO, Joseph Creed, emphasizes a strategy centered on commercial excellence, technological leadership, and operational transformation.