CAT
Caterpillar Inc.
$1,022.28
▲ 3.7%Updated Today 7:15 PM ET
▲ Up 174.0% over the last 12 months
Market Cap
$454.11B
P/E
48.53x
Forward P/E (est.)
49.55x
ROE
47.6%
Revenue Growth
11.8%
EPS Growth
-2.1%
Profit Margin
13.3%
FCF Yield
2.3%
Debt / Equity
2.03x
ROIC
29.0%
Interest Coverage
—
Current Ratio
1.35x
Dividend Yield
0.7%
Implied Growth (rev. DCF)
6.9%
Rating Score
41/100
Technical analysis reads price and volume to judge momentum and timing. It complements the fundamentals above — it does not replace them. Here is what CAT's chart says today, with each tool explained.
Trend — moving averages. A moving average is the average closing price over a window, which smooths out daily noise. CAT trades near $1,022.28, above its 50-day average ($872.94) and 200-day average ($670.35). Price above both averages, with the shorter one above the longer, is the textbook definition of an uptrend — momentum favours buyers.
Momentum — RSI. The Relative Strength Index runs 0–100 and measures how strong recent gains are versus losses. Above 70 is "overbought", below 30 "oversold". At 67 it is in neutral territory — neither stretched nor washed out.
MACD. MACD compares two moving averages to flag shifts in momentum. Its histogram is currently positive — short-term momentum is improving.
Volatility — ATR. Average True Range is the typical daily move. CAT's is $37.29 (~3.6% of price), so swings of about that size each day are normal — handy for setting a stop that isn't too tight.
Support & resistance. Over the last month CAT found buyers near $853.37 (support) and sellers near $994.49 (resistance); its 52-week range is $356.96–$994.49. A decisive break beyond either edge often marks the next move.
Volume. The latest session traded 2.1× the 20-day average — heavier than usual, which adds conviction to the move. Rising volume on up-days suggests real buying; on down-days, real selling.
Educational information to help you read a chart — not a recommendation or a forecast. It updates daily as the price and indicators change.
Caterpillar Inc. (CAT) is a mega-cap company in the Construction Machinery & Heavy Transportation Equipment industry, part of the Industrials sector of the S&P 500, with a market value around $454.11B.
In its latest reported year it generated about $67.59B in revenue.
Our model rates CAT Weak (41/100) on growth, profitability, financial health, and valuation. The summary below is built from its filed financials and current ratios and refreshes automatically.
4Y CAGR
7.3%
Revenue moved from $50.97B in 2021 to $67.59B in 2025, a 7.3% compound annual growth rate. The most recent year grew a steady 11.8% year over year. Consistent top-line growth is one sign of healthy demand.
Gross Margin
33.8%
Operating Margin
16.5%
Net Margin
13.3%
ROE
47.6%
Caterpillar Inc. keeps about 13.3% of each sales dollar as net profit, with a 33.8% gross margin and 16.5% operating margin. Return on equity is 47.6% and return on invested capital about 29.0%. Margins are moderate — typical of a competitive but profitable business.
Total Debt
$30.70B
Net Debt
$26.62B
Net Debt / EBITDA
2.39x
Debt / Equity
2.03x
Leverage: debt-to-equity is 2.0x, with a current ratio of 1.4x. That is elevated leverage, which raises risk if earnings or rates move against it. It carries roughly $30.70B of total debt against $4.07B of cash.
Operating CF
$11.74B
Free Cash Flow
$8.92B
FCF Margin
13.2%
In the latest year Caterpillar Inc. produced about $11.74B of operating cash flow and $8.92B of free cash flow after capital spending. That is a free-cash-flow yield of about 2.3% on today's price. Cash flow is what ultimately pays shareholders, so it is worth tracking over time.
P/E
48.53x
P/S
6.49x
P/B
13.11x
EV / EBITDA
34.45x
CAT trades at 48.5x trailing earnings (about 49.5x on estimated forward earnings), 6.5x sales, and 13.1x book value. Reverse-engineering today's price implies the market expects roughly 6.9% long-term free-cash-flow growth. That is a rich multiple that prices in a lot of future growth.
Where this stock sits versus what most companies trade at.
Typical ranges are general references (e.g., many stocks trade at ~18–26x earnings), not hard rules. Context only — not investment advice.
How CAT stacks up against its Industrials peers — valuation, profitability, and growth versus the sector median.
In the Industrials sector (80 S&P 500 companies), CAT ranks #64 of 80 by our overall rating. It trades at a premium versus the sector on earnings (48.5x P/E vs. 30x median) with a higher return on equity (47.6% vs. 24.7%) and faster revenue growth (11.8% vs. 5.0%).
P/E vs sector
48.5x
median 30x
ROE vs sector
47.6%
median 24.7%
Growth vs sector
11.8%
median 5.0%
Sector rank
#64
of 80 by rating
Valuation vs. quality map
The sweet spot is upper-left: more profitable (higher ROE) for a lower P/E. Dashed lines mark the sector median.
Peers are the closest Industrials companies by sub-industry and size. Sector median is across all 80 S&P 500 names in the sector. Educational, not a recommendation.
Project revenue → earnings → price. Edit the assumptions to build your own case.
2030 price target (Base Case)
$974.87 – $1,647.20
vs. $1,022.28 today · expected CAGR -1% – 10%
| Metric | 2026 | 2027 | 2028 | 2029 | 2030 |
|---|---|---|---|---|---|
| Revenue | $75.70B | $84.78B | $94.96B | $106.35B | $119.11B |
| Net income | $9.84B | $11.02B | $12.34B | $13.83B | $15.48B |
| EPS | $21.36 | $23.93 | $26.80 | $30.01 | $33.62 |
| Share price (low) | $619.55 | $693.90 | $777.16 | $870.42 | $974.87 |
| Share price (high) | $1,046.83 | $1,172.45 | $1,313.14 | $1,470.72 | $1,647.20 |
| CAGR (low–high) | -39% / 2% | -18% / 7% | -9% / 9% | -4% / 10% | -1% / 10% |
Educational model on sample fundamentals — not a forecast or investment advice. Outputs are only as good as your assumptions.
The case for CAT:
- Revenue is growing 11.8% a year, a sign of real demand.
- Strong return on equity (47.6%) shows capital is put to work well.
The case against CAT:
- Elevated leverage (debt/equity 2.0x) adds financial risk.
- A rich 48.5x earnings multiple prices in a lot of growth.
- Our model's overall read is Weak (41/100).
Valuation risk — at 48.5x earnings, disappointing results could compress the multiple.
Balance-sheet risk — debt/equity of 2.0x magnifies the impact of higher rates or weaker earnings.
Market risk — sector rotation, the economic cycle, and broad sentiment move the stock regardless of fundamentals.
On balance, the fundamentals screen weakly: Caterpillar Inc. is a mega-cap industrials business still growing nicely, with solid profitability, and a heavier debt load to watch. It trades at 48.5x earnings, which our model scores Weak (41/100). Weigh this against your own goals and time horizon — this is educational information, not a recommendation.
Data notice. Fundamentals and financial statements are sourced from company filings (SEC EDGAR) and market-data providers; prices and market caps refresh on trading days and may be delayed. Ratings, projections, technical signals, and written summaries are model- or rule-generated for education and may simplify or lag the latest filings.
Not advice. Nothing on this page is investment advice or a recommendation to buy, hold, or sell any security. Do your own research and consult a licensed financial professional before investing.