Caterpillar Anticipates Strong Growth Driven by Data Center Power Demand
Caterpillar Inc. (NYSE:CAT) is anticipating strong performance in the first half of 2026, with mid- to high-teens revenue growth driven by increased demand across its power generation, construction equipment, and resource industries segments. The company has raised its long-term revenue target for 2030 to a range of 6%–9% above 2024 levels and plans to significantly increase investment in large-engine capacity compared to 2024. A key driver behind this growth is the rising demand from data centers, which are fueling expansion in natural-gas power systems. Caterpillar has a strong multiyear backlog of turbine orders extending into 2030 and is expanding production capabilities while repurposing existing facilities for faster output. Additionally, construction rental activity and mining equipment orders have improved. Caterpillar's CEO Joe Creed emphasized the company’s robust start to 2026 during an event with Wells Fargo Securities, noting strong demand across all three operating segments and a measured approach to capacity expansion based on customer needs.
