Caterpillar Surges as AI Demand Boosts Power-Generation Sales

Caterpillar Inc (NYSE:CAT, XETRA:CAT) shares surged 11% to $923 in pre-market trading on Tuesday after strong demand for power-generation equipment helped the industrial group deliver record quarterly revenue.

The company's sales increased 24% to $20.5 billion in the second quarter, beating the $19.3 billion forecast and marking Caterpillar's first quarter with revenue above $20 billion.

Demand linked to artificial intelligence infrastructure boosted its power-generation business, adding to broader growth across Caterpillar's three main divisions.

Adjusted earnings per share surged 73% to $8.17, well ahead of the $6.17 expected by analysts.