Heavy machinery makers Caterpillar Inc. and Cummins Inc. will get a “meaningful” boost to earnings in the next three years as revenue nearly doubles from selling backup generators to help power US data centers, according to UBS.
Revenue for that business could grow by roughly $1.5 billion for each company, analyst Steven Fisher wrote in a note to clients. He still expects the firms’ largest businesses — construction equipment for Caterpillar and the trucking sector for Cummins — to be the primary drivers of earnings.
