WallStSmart

Acuity Brands Inc (AYI)vsCaterpillar Inc (CAT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Caterpillar Inc generates 1389% more annual revenue ($67.59B vs $4.54B). CAT leads profitability with a 13.1% profit margin vs 9.0%. AYI appears more attractively valued with a PEG of 1.20. AYI earns a higher WallStSmart Score of 67/100 (B-).

AYI

Strong Buy

67

out of 100

Grade: B-

Growth: 6.0Profit: 7.0Value: 6.7Quality: 7.5
Piotroski: 2/9Altman Z: 3.55

CAT

Buy

57

out of 100

Grade: C

Growth: 4.7Profit: 7.5Value: 3.3Quality: 4.5
Piotroski: 3/9Altman Z: 2.40
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AYIUndervalued (+15.2%)

Margin of Safety

+15.2%

Fair Value

$379.60

Current Price

$269.69

$109.91 discount

UndervaluedFair: $379.60Overvalued
CATSignificantly Overvalued (-444.6%)

Margin of Safety

-444.6%

Fair Value

$127.70

Current Price

$695.40

$567.70 premium

UndervaluedFair: $127.70Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AYI3 strengths · Avg: 8.7/10
Altman Z-ScoreHealth
3.5510/10

Safe zone — low bankruptcy risk

Price/BookValuation
2.9x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
20.2%8/10

Revenue surging 20.2% year-over-year

CAT4 strengths · Avg: 9.0/10
Market CapQuality
$325.43B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
43.5%10/10

Every $100 of equity generates 44 in profit

Revenue GrowthGrowth
18.0%8/10

18.0% revenue growth

Free Cash FlowQuality
$2.25B8/10

Generating 2.2B in free cash flow

Areas to Watch

AYI1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
2/93/10

Weak financial health signals

CAT4 concerns · Avg: 3.8/10
PEG RatioValuation
1.864/10

Expensive relative to growth rate

P/E RatioValuation
37.0x4/10

Premium valuation, high expectations priced in

Price/BookValuation
15.2x4/10

Trading at 15.2x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : AYI

The strongest argument for AYI centers on Altman Z-Score, Price/Book, Revenue Growth. Revenue growth of 20.2% demonstrates continued momentum. PEG of 1.20 suggests the stock is reasonably priced for its growth.

Bull Case : CAT

The strongest argument for CAT centers on Market Cap, Return on Equity, Revenue Growth. Revenue growth of 18.0% demonstrates continued momentum.

Bear Case : AYI

The primary concerns for AYI are Piotroski F-Score.

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.

Key Dynamics to Monitor

CAT carries more volatility with a beta of 1.53 — expect wider price swings.

AYI is growing revenue faster at 20.2% — sustainability is the question.

CAT generates stronger free cash flow (2.2B), providing more financial flexibility.

Monitor ELECTRICAL EQUIPMENT & PARTS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

AYI scores higher overall (67/100 vs 57/100) and 20.2% 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.

Acuity Brands Inc

INDUSTRIALS · ELECTRICAL EQUIPMENT & PARTS · USA

Acuity Brands, Inc. provides lighting and building management solutions and services for commercial, institutional, industrial, infrastructure, and residential applications in North America and internationally. The company is headquartered in Atlanta, Georgia.

Visit Website →

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 →

Want to dig deeper into these stocks?