On July 21, Caterpillar rose 3.1% in regular trading, trading at $880.24/share, with turnover of $168 million. The stock rebounded sharply after an extended selloff triggered by Michael Burry's short position initiated at $1,060.98 in early July, which had driven the stock down more than 19% from its highs.

Market data shows that US equity short positions have surged to all-time highs, with short-covering pressure building ahead of earnings season. Additionally, multiple Wall Street firms including Oppenheimer, Citigroup, and Baird have recently raised their price targets to the $1,100-$1,200 range, creating significant upside from current levels and providing a technical floor for the rebound. Peer Cummins gained 1.54%, indicating broader sector stabilization.

Burry's bearish thesis centers on Caterpillar's price-to-sales ratio reaching a three-decade high, arguing the stock has fully priced in AI infrastructure demand for data center power equipment. Despite the sharp correction, the divergence between institutional bullishness and market selling pressure remains a key tension for the stock.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)