Caterpillar Inc (CAT)vsZurn Elkay Water Solutions Corporation (ZWS)
CAT
Caterpillar Inc
$890.11
+9.88%
INDUSTRIALS · Cap: $414.16B
ZWS
Zurn Elkay Water Solutions Corporation
$51.96
+2.12%
INDUSTRIALS · Cap: $8.52B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 3784% more annual revenue ($67.59B vs $1.74B). CAT leads profitability with a 13.1% profit margin vs 12.3%. ZWS appears more attractively valued with a PEG of 1.79. ZWS earns a higher WallStSmart Score of 59/100 (C).
CAT
Buy55
out of 100
Grade: C-
ZWS
Buy59
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CAT.
Margin of Safety
-0.2%
Fair Value
$51.43
Current Price
$51.96
$0.53 premium
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
Earnings expanding 37.2% YoY
Areas to Watch
Expensive relative to growth rate
Trading at 19.4x book value
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Distress zone — elevated risk
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, Revenue Growth. Revenue growth of 18.0% demonstrates continued momentum.
Bull Case : ZWS
The strongest argument for ZWS centers on EPS Growth. Revenue growth of 11.4% demonstrates continued momentum.
Bear Case : CAT
The primary concerns for CAT are PEG Ratio, Price/Book, Piotroski F-Score. A P/E of 44.2x leaves little room for execution misses. Debt-to-equity of 2.03 is elevated, increasing financial risk.
Bear Case : ZWS
The primary concerns for ZWS are PEG Ratio, Altman Z-Score, P/E Ratio. A P/E of 41.4x leaves little room for execution misses.
Key Dynamics to Monitor
CAT profiles as a growth stock while ZWS is a value play — different risk/reward profiles.
CAT carries more volatility with a beta of 1.52 — 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.
Bottom Line
ZWS scores higher overall (59/100 vs 55/100) and 11.4% revenue growth. Both earn "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 →Zurn Elkay Water Solutions Corporation
INDUSTRIALS · POLLUTION & TREATMENT CONTROLS · USA
Zurn Water Solutions Corporation designs, acquires, manufactures, and markets water system solutions that provide and improve water quality, safety, flow control, and conservation in and around non-residential buildings. The company is headquartered in Milwaukee, Wisconsin.
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