WallStSmart

Caterpillar Inc (CAT)vsLandstar System Inc (LSTR)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Caterpillar Inc generates 1382% more annual revenue ($70.75B vs $4.78B). CAT leads profitability with a 13.3% profit margin vs 2.6%. LSTR appears more attractively valued with a PEG of 1.65. 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

LSTR

Buy

51

out of 100

Grade: C-

Growth: 5.3Profit: 5.5Value: 2.7Quality: 7.5
Piotroski: 3/9Altman Z: 6.60
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for CAT.

LSTRSignificantly Overvalued (-71.8%)

Margin of Safety

-71.8%

Fair Value

$94.75

Current Price

$218.06

$123.31 premium

UndervaluedFair: $94.75Overvalued

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

LSTR3 strengths · Avg: 9.3/10
Debt/EquityHealth
0.0310/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
6.6010/10

Safe zone — low bankruptcy risk

EPS GrowthGrowth
36.9%8/10

Earnings expanding 36.9% 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

LSTR4 concerns · Avg: 3.8/10
PEG RatioValuation
1.654/10

Expensive relative to growth rate

Price/BookValuation
9.3x4/10

Trading at 9.3x book value

Revenue GrowthGrowth
1.6%4/10

1.6% revenue growth

Profit MarginProfitability
2.6%3/10

2.6% margin — thin

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 : LSTR

The strongest argument for LSTR centers on Debt/Equity, Altman Z-Score, EPS 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 : LSTR

The primary concerns for LSTR are PEG Ratio, Price/Book, Revenue Growth. A P/E of 62.1x leaves little room for execution misses. Thin 2.6% margins leave little buffer for downturns.

Key Dynamics to Monitor

CAT profiles as a growth stock while LSTR is a value play — different risk/reward profiles.

CAT carries more volatility with a beta of 1.63 — 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 51/100) 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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Landstar System Inc

INDUSTRIALS · INTEGRATED FREIGHT & LOGISTICS · USA

Landstar System, Inc. provides integrated transportation management solutions in the United States, Canada, Mexico, and internationally. The company is headquartered in Jacksonville, Florida.

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