Caterpillar Stock Could Get Hit by the Banking Panic. Why One Analyst Says Sell.

Caterpillar

stock could get hit by the trouble in the banking sector, one analyst says, earning the stock a downgrade.

The regional banking panic can impact any number of industries, including construction. That isn’t good news for companies that make and rent construction equipment, says Baird analyst Mig Dobre, who downgraded shares of

Caterpillar

(ticker: CAT) and

United Rentals

(URI) to Sell from Hold. His Caterpillar price target dropped to $185 from $230 a share. Dobre’s United Rentals target went to $300 from $425 a share. Cat stock is down 1.6% in premarket trading to $213.50. United Rentals shares are down 1.2% to $366.37.

S&P 500

and

Dow Jones Industrial Average

futures are both up about 0.5%.