Caterpillar Inc (CAT)vsGenerac Holdings Inc (GNRC)
CAT
Caterpillar Inc
$782.64
-6.91%
INDUSTRIALS · Cap: $409.91B
GNRC
Generac Holdings Inc
$195.19
-0.21%
INDUSTRIALS · Cap: $12.65B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 1535% more annual revenue ($70.75B vs $4.33B). CAT leads profitability with a 13.3% profit margin vs 4.4%. GNRC appears more attractively valued with a PEG of 0.89. CAT earns a higher WallStSmart Score of 67/100 (B-).
CAT
Strong Buy67
out of 100
Grade: B-
GNRC
Buy62
out of 100
Grade: C+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 50 in profit
Revenue surging 22.2% year-over-year
Earnings expanding 30.2% YoY
Generating 1.5B in free cash flow
Earnings expanding 69.9% YoY
Growing faster than its price suggests
Areas to Watch
Expensive relative to growth rate
Trading at 19.3x book value
Weak financial health signals
Premium valuation, high expectations priced in
ROE of 7.1% — below average capital efficiency
4.4% margin — thin
Weak financial health signals
Premium valuation, high expectations priced in
Comparative Analysis Report
WallStSmart ResearchBull Case : CAT
The strongest argument for CAT centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 22.2% demonstrates continued momentum.
Bull Case : GNRC
The strongest argument for GNRC centers on EPS Growth, PEG Ratio. Revenue growth of 12.4% demonstrates continued momentum. PEG of 0.89 suggests the stock is reasonably priced for its growth.
Bear Case : CAT
The primary concerns for CAT are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 43.1x leaves little room for execution misses. Debt-to-equity of 2.31 is elevated, increasing financial risk.
Bear Case : GNRC
The primary concerns for GNRC are Return on Equity, Profit Margin, Piotroski F-Score. A P/E of 67.2x leaves little room for execution misses. Thin 4.4% margins leave little buffer for downturns.
Key Dynamics to Monitor
CAT profiles as a growth stock while GNRC is a value play — different risk/reward profiles.
GNRC carries more volatility with a beta of 1.90 — expect wider price swings.
CAT is growing revenue faster at 22.2% — sustainability is the question.
CAT generates stronger free cash flow (1.5B), providing more financial flexibility.
Bottom Line
CAT scores higher overall (67/100 vs 62/100) and 22.2% 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.
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 →Generac Holdings Inc
INDUSTRIALS · SPECIALTY INDUSTRIAL MACHINERY · USA
Generac Holdings Inc., commonly referred to as Generac, is a Fortune 1000 American manufacturer of backup power generation products for residential, light commercial and industrial markets.
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