AeroVironment Inc (AVAV)vsCaterpillar Inc (CAT)
AVAV
AeroVironment Inc
$146.71
-0.24%
INDUSTRIALS · Cap: $7.56B
CAT
Caterpillar Inc
$818.57
+1.69%
INDUSTRIALS · Cap: $376.28B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 3680% more annual revenue ($74.73B vs $1.98B). CAT leads profitability with a 14.5% profit margin vs -13.4%. CAT appears more attractively valued with a PEG of 1.41. CAT earns a higher WallStSmart Score of 73/100 (B).
AVAV
Buy57
out of 100
Grade: C
CAT
Strong Buy73
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+7.8%
Fair Value
$264.09
Current Price
$146.71
$117.38 discount
Intrinsic value data unavailable for CAT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Revenue surging 133.3% year-over-year
Earnings expanding 175.7% YoY
Conservative balance sheet, low leverage
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 56 in profit
Earnings expanding 68.2% YoY
Strong operational efficiency at 22.2%
Revenue surging 24.0% year-over-year
Generating 3.3B in free cash flow
Areas to Watch
Expensive relative to growth rate
Operating margin of 2.8%
Weak financial health signals
ROE of -5.3% — below average capital efficiency
Premium valuation, high expectations priced in
Trading at 19.4x book value
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : AVAV
The strongest argument for AVAV centers on Revenue Growth, EPS Growth, Debt/Equity. Revenue growth of 133.3% demonstrates continued momentum.
Bull Case : CAT
The strongest argument for CAT centers on Market Cap, Return on Equity, EPS Growth. Revenue growth of 24.0% demonstrates continued momentum. PEG of 1.41 suggests the stock is reasonably priced for its growth.
Bear Case : AVAV
The primary concerns for AVAV are PEG Ratio, Operating Margin, Piotroski F-Score.
Bear Case : CAT
The primary concerns for CAT are P/E Ratio, Price/Book, Piotroski F-Score. Debt-to-equity of 2.33 is elevated, increasing financial risk.
Key Dynamics to Monitor
AVAV profiles as a hypergrowth stock while CAT is a growth play — different risk/reward profiles.
CAT carries more volatility with a beta of 1.59 — expect wider price swings.
AVAV is growing revenue faster at 133.3% — sustainability is the question.
CAT generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
CAT scores higher overall (73/100 vs 57/100) and 24.0% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
AeroVironment Inc
INDUSTRIALS · AEROSPACE & DEFENSE · USA
AeroVironment, Inc. designs, develops, produces, supports and operates a portfolio of products and services for government agencies and businesses. The company is headquartered in Arlington, Virginia.
Visit Website →Caterpillar Inc
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
Caterpillar Inc. (often shortened to CAT) is an American Fortune 100 corporation that designs, develops, engineers, manufactures, markets, and sells machinery, engines, financial products, and insurance to customers via a worldwide dealer network.
Visit Website →Compare with Other AEROSPACE & DEFENSE Stocks
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