Caterpillar, Industrial Shares Slump as Investors Weigh Rising Costs

Executives suggest first quarter may have been ‘high-water mark’ for the year

Business is booming at Caterpillar Inc. It’s the future that’s in question.

The company, which makes bulldozers, mining trucks and other equipment, said sales rose 31% in the first quarter thanks to strong global construction and mining activity. But on a call with analysts, top executives said the quarter could prove to be a “high-water mark” for the year.

That’s...