Caterpillar Inc (CAT)vsJacobs Solutions Inc. (J)
CAT
Caterpillar Inc
$808.30
-1.00%
INDUSTRIALS · Cap: $376.28B
J
Jacobs Solutions Inc.
$143.76
+0.25%
INDUSTRIALS · Cap: $16.83B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 426% more annual revenue ($74.73B vs $14.22B). CAT leads profitability with a 14.5% profit margin vs 2.4%. J appears more attractively valued with a PEG of 0.44. CAT earns a higher WallStSmart Score of 73/100 (B).
CAT
Strong Buy73
out of 100
Grade: B
J
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CAT.
Margin of Safety
-82.1%
Fair Value
$78.18
Current Price
$143.76
$65.58 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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
Growing faster than its price suggests
Revenue surging 34.5% year-over-year
Areas to Watch
Premium valuation, high expectations priced in
Trading at 19.2x book value
Weak financial health signals
Elevated debt levels
Grey zone — moderate risk
2.4% margin — thin
Elevated debt levels
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, EPS Growth. Revenue growth of 24.0% demonstrates continued momentum. PEG of 1.41 suggests the stock is reasonably priced for its growth.
Bull Case : J
The strongest argument for J centers on PEG Ratio, Revenue Growth. Revenue growth of 34.5% demonstrates continued momentum. PEG of 0.44 suggests the stock is reasonably priced for its growth.
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.
Bear Case : J
The primary concerns for J are Altman Z-Score, Profit Margin, Debt/Equity. A P/E of 47.8x leaves little room for execution misses. Thin 2.4% margins leave little buffer for downturns.
Key Dynamics to Monitor
CAT profiles as a growth stock while J is a hypergrowth play — different risk/reward profiles.
CAT carries more volatility with a beta of 1.59 — expect wider price swings.
J is growing revenue faster at 34.5% — 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 54/100) 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.
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 →Jacobs Solutions Inc.
INDUSTRIALS · ENGINEERING & CONSTRUCTION · USA
Jacobs Engineering Group Inc. (NYSE: J) is an American international technical professional services firm. The company provides technical, professional and construction services, as well as scientific and specialty consulting for a broad range of clients globally, including companies, organizations, and government agencies.
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