WallStSmart

Caterpillar Inc (CAT)vsGenerac Holdings Inc (GNRC)

VS

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 1.09. CAT earns a higher WallStSmart Score of 67/100 (B-).

CAT

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 4.3Quality: 4.5
Piotroski: 3/9Altman Z: 2.40

GNRC

Buy

57

out of 100

Grade: C

Growth: 6.0Profit: 5.0Value: 4.3Quality: 7.0
Piotroski: 3/9Altman Z: 2.49

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CAT5 strengths · Avg: 8.8/10
Market CapQuality
$419.05B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
50.5%10/10

Every $100 of equity generates 50 in profit

Revenue GrowthGrowth
22.2%8/10

Revenue surging 22.2% year-over-year

EPS GrowthGrowth
30.2%8/10

Earnings expanding 30.2% YoY

Free Cash FlowQuality
$1.55B8/10

Generating 1.5B in free cash flow

GNRC1 strengths · Avg: 10.0/10
EPS GrowthGrowth
69.9%10/10

Earnings expanding 69.9% YoY

Areas to Watch

CAT4 concerns · Avg: 2.8/10
PEG RatioValuation
2.064/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
45.2x2/10

Premium valuation, high expectations priced in

Price/BookValuation
22.3x2/10

Trading at 22.3x book value

GNRC4 concerns · Avg: 2.8/10
Return on EquityProfitability
7.1%3/10

ROE of 7.1% — below average capital efficiency

Profit MarginProfitability
4.4%3/10

4.4% margin — thin

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
82.0x2/10

Premium valuation, high expectations priced in

Comparative Analysis Report

WallStSmart Research

Bull 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. Revenue growth of 12.4% demonstrates continued momentum. PEG of 1.09 suggests the stock is reasonably priced for its growth.

Bear Case : CAT

The primary concerns for CAT are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 45.2x 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 82.0x 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 1.91 — 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 57/100) 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.

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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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