CAT Up 16% in One Month: Is It Outperforming Its Rivals?

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Market
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Trefis
CAT: Caterpillar logo
CAT
Caterpillar

Here is how Caterpillar (CAT) stacks up against its peers in size, valuation, growth and margin.

  • CAT’s operating margin of 18.2% is strong, lower than most peers – trailing ALSN (31.3%).
  • CAT’s revenue growth of -4.9% in the last 12 months is negative, lagging ALSN, TEX, ASTE but outpacing DE.
  • CAT’s stock gained 24.5% over the past year and trades at a PE of 23.9, though peers like ASTE delivered stronger returns.

As a quick background, Caterpillar provides construction and mining equipment, engines, industrial turbines, and financial services including leases and loans for various industries.

  CAT DE ALSN TEX ASTE
Market Cap ($ Bil) 225.8 122.3 7.2 3.4 1.1
Revenue ($ Bil) 63.1 43.4 3.2 5.1 1.3
PE Ratio 23.9 23.5 9.5 13.8 24.0
LTM Revenue Growth -4.9% -20.9% 2.7% -2.8% 1.2%
LTM Operating Margin 18.2% 20.0% 31.2% 8.6% 5.9%
LTM FCF Margin 12.3% 9.4% 20.4% 4.0% 5.9%
12M Market Return 24.5% 10.0% -11.2% 1.4% 57.3%

Why does this matter? CAT just went up 15.6% in a month – peer comparison puts stock performance, valuation, and financials in context – highlighting whether it is truly outperforming, lagging behind, and above all – can this continue? Read Buy or Sell CAT Stock to see if Caterpillar holds up as a quality investment. Furthermore, there is always a risk of fall after a strong rally – see how the stock has dipped and recovered in the past through CAT Dip Buyer Analysis lens.

While peer comparison is critical Trefis High Quality Portfolio evaluates much more, and is designed to reduce stock-specific risks while giving upside exposure.

Relevant Articles
  1. Caterpillar Stock To $404?
  2. GATX or Caterpillar: Which Stock Has More Upside?
  3. A Decade of Rewards: Caterpillar Stock Returns $57 Bil to Investors
  4. CAT Leaps 16% In One Month, Now Is Not The Time To Buy The Stock
  5. With CAT Up 16% in a Month, Is It Time to Compare It Against GATX?
  6. CAT Stock Up 12% after 7-Day Win Streak

Revenue Growth Comparison

  LTM 2024 2023 2022
CAT -4.9% -3.4% 12.8% 16.6%
DE -20.9% -16.1% 17.5% 19.2%
ALSN 2.7% 6.3% 9.6% 15.3%
TEX -2.8% -0.5% 16.6% 13.7%
ASTE 1.2% -2.5% 5.0% 16.3%

Operating Margin Comparison

  LTM 2024 2023 2022
CAT 18.2% 20.2% 19.3% 14.9%
DE 20.0% 22.6% 24.2% 17.6%
ALSN 31.2% 30.8% 30.3% 28.3%
TEX 8.6% 10.3% 12.4% 9.5%
ASTE 5.9% 4.0% 4.1% 1.3%

PE Ratio Comparison

  LTM 2024 2023 2022
CAT 23.9 16.4 14.6 18.8
DE 23.5 16.5 11.5 18.3
ALSN 9.5 12.9 7.8 7.5
TEX 13.8 9.2 7.5 9.8
ASTE 24.0 178.2 25.2 -9266.7

The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 – the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.