Caterpillar Inc (CAT)vsLATAM Airlines Group S.A. (LTM)
CAT
Caterpillar Inc
$695.40
-4.02%
INDUSTRIALS · Cap: $325.43B
LTM
LATAM Airlines Group S.A.
$47.99
-1.44%
INDUSTRIALS · Cap: $14.05B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 374% more annual revenue ($67.59B vs $14.27B). CAT leads profitability with a 13.1% profit margin vs 10.2%. CAT appears more attractively valued with a PEG of 1.86. LTM earns a higher WallStSmart Score of 65/100 (B-).
CAT
Buy57
out of 100
Grade: C
LTM
Strong Buy65
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-444.6%
Fair Value
$127.70
Current Price
$695.40
$567.70 premium
Margin of Safety
+73.5%
Fair Value
$231.66
Current Price
$47.99
$183.67 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 44 in profit
18.0% revenue growth
Generating 2.2B in free cash flow
Attractively priced relative to earnings
Every $100 of equity generates 143 in profit
Earnings expanding 87.5% YoY
16.1% revenue growth
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
Trading at 15.2x book value
Weak financial health signals
Expensive relative to growth rate
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : CAT
The strongest argument for CAT centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 18.0% demonstrates continued momentum.
Bull Case : LTM
The strongest argument for LTM centers on P/E Ratio, Return on Equity, EPS Growth. Revenue growth of 16.1% demonstrates continued momentum.
Bear Case : CAT
The primary concerns for CAT are PEG Ratio, P/E Ratio, Price/Book. Debt-to-equity of 2.03 is elevated, increasing financial risk.
Bear Case : LTM
The primary concerns for LTM are PEG Ratio, Altman Z-Score.
Key Dynamics to Monitor
CAT carries more volatility with a beta of 1.53 — expect wider price swings.
CAT is growing revenue faster at 18.0% — sustainability is the question.
CAT generates stronger free cash flow (2.2B), providing more financial flexibility.
Monitor FARM & HEAVY CONSTRUCTION MACHINERY industry trends, competitive dynamics, and regulatory changes.
Bottom Line
LTM scores higher overall (65/100 vs 57/100) and 16.1% 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 →LATAM Airlines Group S.A.
INDUSTRIALS · AIRLINES · USA
LATAM Airlines Group SA, provides passenger and cargo air transport services in Peru, Argentina, the United States, Europe, Colombia, Brazil, Ecuador, Chile, Asia Pacific and the rest of Latin America.
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