Caterpillar Inc (CAT)vsLockheed Martin Corporation (LMT)
CAT
Caterpillar Inc
$1,022.28
+1.04%
INDUSTRIALS · Cap: $419.40B
LMT
Lockheed Martin Corporation
$503.67
-2.39%
INDUSTRIALS · Cap: $123.57B
Smart Verdict
WallStSmart Research — data-driven comparison
Lockheed Martin Corporation generates 6% more annual revenue ($75.11B vs $70.75B). CAT leads profitability with a 13.3% profit margin vs 6.4%. LMT appears more attractively valued with a PEG of 1.12. CAT earns a higher WallStSmart Score of 67/100 (B-).
CAT
Strong Buy67
out of 100
Grade: B-
LMT
Buy55
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CAT.
Margin of Safety
-49.9%
Fair Value
$340.92
Current Price
$503.67
$162.75 premium
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
Every $100 of equity generates 64 in profit
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Premium valuation, high expectations priced in
Trading at 25.2x book value
Moderate valuation
Trading at 15.5x book value
0.3% revenue growth
6.4% margin — thin
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 : LMT
The strongest argument for LMT centers on Return on Equity, Market Cap. PEG of 1.12 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 45.3x leaves little room for execution misses. Debt-to-equity of 2.31 is elevated, increasing financial risk.
Bear Case : LMT
The primary concerns for LMT are P/E Ratio, Price/Book, Revenue Growth. Debt-to-equity of 2.76 is elevated, increasing financial risk.
Key Dynamics to Monitor
CAT profiles as a growth stock while LMT is a value play — different risk/reward profiles.
CAT carries more volatility with a beta of 1.60 — 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 55/100) 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 →Lockheed Martin Corporation
INDUSTRIALS · AEROSPACE & DEFENSE · USA
Lockheed Martin Corporation is an American aerospace, defense, information security, and technology company with worldwide interests. It is headquartered in North Bethesda, Maryland, in the Washington, D.C., area.
Visit Website →Compare with Other FARM & HEAVY CONSTRUCTION MACHINERY Stocks
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