Caterpillar Inc (CAT)vsTerex Corporation (TEX)
CAT
Caterpillar Inc
$874.78
+3.41%
INDUSTRIALS · Cap: $402.92B
TEX
Terex Corporation
$60.95
+3.27%
INDUSTRIALS · Cap: $7.07B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 1094% more annual revenue ($70.75B vs $5.93B). CAT leads profitability with a 13.3% profit margin vs 1.9%. TEX appears more attractively valued with a PEG of 1.68. CAT earns a higher WallStSmart Score of 67/100 (B-).
CAT
Strong Buy67
out of 100
Grade: B-
TEX
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CAT.
Margin of Safety
-33.1%
Fair Value
$51.88
Current Price
$60.95
$9.07 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 51 in profit
Revenue surging 22.2% year-over-year
Earnings expanding 30.2% YoY
Generating 1.5B in free cash flow
Revenue surging 41.1% year-over-year
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Trading at 19.1x book value
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
ROE of 3.2% — below average capital efficiency
1.9% margin — thin
Earnings declined 25.2%
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 : TEX
The strongest argument for TEX centers on Revenue Growth, Price/Book. Revenue growth of 41.1% demonstrates continued momentum.
Bear Case : CAT
The primary concerns for CAT are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 43.5x leaves little room for execution misses. Debt-to-equity of 2.03 is elevated, increasing financial risk.
Bear Case : TEX
The primary concerns for TEX are PEG Ratio, Return on Equity, Profit Margin. Thin 1.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
CAT profiles as a growth stock while TEX is a hypergrowth play — different risk/reward profiles.
TEX carries more volatility with a beta of 1.64 — expect wider price swings.
TEX is growing revenue faster at 41.1% — 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 45/100) and 22.2% revenue growth. Both earn "Strong Buy" and "Hold" 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 →Terex Corporation
INDUSTRIALS · FARM & HEAVY CONSTRUCTION MACHINERY · USA
Terex Corporation manufactures and sells aerial work platforms and materials processing machinery worldwide. The company is headquartered in Norwalk, Connecticut.
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