Panelists Kristen Owen and John Eade break down Caterpillar's 2Q results. Owen said despite the decline in sales to end users, the underlying fundamentals remain healthy. She noted that back half sales and margins were guided to improve versus the first half of the year, but margin execution remains front-of-mind for investors. Eade highlighted that Caterpillar generates more than 50% of its revenue overseas, and its results are typically linked to global economics. This was reflected in its narrowing operating margin Y/Y, which was a result of higher labor, freight, and input costs.