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Heterogeneous cellular networks (HCN) with embedded small cells are considered, where multiple mobile users wish to download network content of different popularity. By caching data into the small-cell base stations (SBS), we will design distributed caching optimization algorithms via belief propagation (BP) for minimizing the downloading latency. First, we derive the delay-minimization objective function (OF) and formulate an optimization problem. Then we develop a framework for modeling the underlying HCN topology with the aid of a factor graph. Furthermore, distributed BP algorithm is proposed based on the network's factor graph. Next, we prove that a fixed point of convergence exists for our distributed BP algorithm. In order to reduce the complexity of the BP, we propose a heuristic BP algorithm. Furthermore, we evaluate the average downloading performance of our HCN for different numbers and locations of the base stations (BS) and mobile users (MU), with the aid of stochastic geometry theory. By modeling the nodes distributions using a Poisson point process, we develop the expressions of the average factor graph degree distribution, as well as an upper bound of the outage probability for random caching schemes. We also improve the performance of random caching. Our simulations show that (1) the proposed distributed BP algorithm has a near-optimal delay performance, approaching that of the high-complexity exhaustive search method, (2) the modified BP offers a good delay performance at a low communication complexity, (3) both the average degree distribution and the outage upper bound analysis relying on stochastic geometry match well with our Monte-Carlo simulations, and (4) the optimization based on the upper bound provides both a better outage and a better delay performance than the benchmarks.