It’s a good time to own Caterpillar Inc. (NYSE: CAT) stock, as the equipment manufacturer posted earnings growth of +96% and revenue growth of +53% yesterday.  Earnings came in at $1.22 a share with revenue of $11.1 billion.

The news gets better on the annual guidance as well.  Caterpillar is raising its 2010 guidance to $3.80-$4.00 EPS from a previous range of $3.15-$3.85 EPS.  It is also lifting sales targets to $41 to $42 billion from $39 to $42 billion.  Thomson Reuters has annual projections of $3.71 EPS and $39.66 billion in revenues.

The company is offering a very preliminary guidance for 2011 as well.  The company expects that sales and revenues will approach $50 billion.  While that is not firm guidance, Thomson Reuters has estimates of $45.56 billion in 2011 revenue expectations.

The company cited “aggressively managing costs and improving cash flow” at the same time that it increased production to meet customer demand.  As far as what is driving the ship ahead, Caterpillar noted that continuing economic growth in the developing world has been the key to its improving sales.  Sales in developed countries have also improved substantially after 2009 was marred by deep declines.

Another catalyst is that dealer new machine inventories and rental fleets have remained relatively flat at the same time that the age of rental fleets has not improved.  This is expected to be a positive underlying issue ahead.

Caterpillar is already responding positively to the news.  Shares closed at $80.32 Wednesday and shares are indicated up above $82.00 in early bidding indications.  Keep in mind that this will mark 52-week highs if it holds.  The prior 52-week range is $505.50 to $81.19.  Shares are now back right around the early 2008 highs.