Caterpillar Inc (CAT)vsKnight Transportation Inc (KNX)
CAT
Caterpillar Inc
$613.45
-1.47%
INDUSTRIALS · Cap: $286.26B
KNX
Knight Transportation Inc
$61.67
+1.46%
INDUSTRIALS · Cap: $9.91B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 872% more annual revenue ($77.77B vs $8.00B). CAT leads profitability with a 15.2% profit margin vs 1.9%. KNX appears more attractively valued with a PEG of 0.23. CAT earns a higher WallStSmart Score of 75/100 (B+).
CAT
Strong Buy75
out of 100
Grade: B+
KNX
Buy64
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CAT.
Margin of Safety
+56.0%
Fair Value
$138.90
Current Price
$61.67
$77.23 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 56 in profit
Strong operational efficiency at 20.5%
17.3% revenue growth
Earnings expanding 46.1% YoY
Generating 3.3B in free cash flow
Growing faster than its price suggests
Reasonable price relative to book value
Earnings expanding 1387.0% YoY
Areas to Watch
Trading at 13.1x book value
Weak financial health signals
Elevated debt levels
Grey zone — moderate risk
ROE of 0.6% — below average capital efficiency
1.9% margin — thin
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, Operating Margin. Profitability is solid with margins at 15.2% and operating margin at 20.5%. Revenue growth of 17.3% demonstrates continued momentum.
Bull Case : KNX
The strongest argument for KNX centers on PEG Ratio, Price/Book, EPS Growth. Revenue growth of 14.2% demonstrates continued momentum. PEG of 0.23 suggests the stock is reasonably priced for its growth.
Bear Case : CAT
The primary concerns for CAT are Price/Book, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.33 is elevated, increasing financial risk.
Bear Case : KNX
The primary concerns for KNX are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 64.7x leaves little room for execution misses. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
CAT profiles as a growth stock while KNX is a value play — different risk/reward profiles.
CAT carries more volatility with a beta of 1.58 — expect wider price swings.
CAT is growing revenue faster at 17.3% — sustainability is the question.
CAT generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
CAT scores higher overall (75/100 vs 64/100), backed by strong 15.2% margins and 17.3% revenue growth. KNX offers better value entry with a 56.0% margin of safety. 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 →Knight Transportation Inc
INDUSTRIALS · TRUCKING · USA
Knight-Swift Transportation Holdings Inc., provides truck cargo transportation services in the United States, Mexico and Canada. The company is headquartered in Phoenix, Arizona.
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