Brookfield Business Partners LP (BBU)vsCaterpillar Inc (CAT)
BBU
Brookfield Business Partners LP
$31.46
0.00%
INDUSTRIALS · Cap: $2.79B
CAT
Caterpillar Inc
$623.85
+1.68%
INDUSTRIALS · Cap: $286.26B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 183% more annual revenue ($77.77B vs $27.46B). CAT leads profitability with a 15.2% profit margin vs -0.1%. CAT earns a higher WallStSmart Score of 75/100 (B+).
BBU
Buy52
out of 100
Grade: C-
CAT
Strong Buy75
out of 100
Grade: B+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-30.1%
Fair Value
$24.19
Current Price
$31.46
$7.27 premium
Intrinsic value data unavailable for CAT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 80.0% YoY
Reasonable price relative to book value
Mega-cap, among the largest globally
Every $100 of equity generates 56 in profit
Strong operational efficiency at 20.5%
17.3% revenue growth
Earnings expanding 46.1% YoY
Generating 3.3B in free cash flow
Areas to Watch
Weak financial health signals
ROE of -0.6% — below average capital efficiency
Revenue declined 4.5%
Currently unprofitable
Trading at 13.3x book value
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : BBU
The strongest argument for BBU centers on EPS Growth, Price/Book.
Bull Case : CAT
The strongest argument for CAT centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 15.2% and operating margin at 20.5%. Revenue growth of 17.3% demonstrates continued momentum.
Bear Case : BBU
The primary concerns for BBU are Piotroski F-Score, Return on Equity, Revenue Growth. Debt-to-equity of 19.07 is elevated, increasing financial risk.
Bear Case : CAT
The primary concerns for CAT are Price/Book, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.33 is elevated, increasing financial risk.
Key Dynamics to Monitor
BBU profiles as a turnaround stock while CAT is a growth play — different risk/reward profiles.
CAT carries more volatility with a beta of 1.58 — expect wider price swings.
CAT is growing revenue faster at 17.3% — sustainability is the question.
CAT generates stronger free cash flow (3.3B), providing more financial flexibility.
Bottom Line
CAT scores higher overall (75/100 vs 52/100), backed by strong 15.2% margins and 17.3% 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.
Brookfield Business Partners LP
INDUSTRIALS · CONGLOMERATES · USA
Brookfield Business Partners LP (BBU) is a leading global alternative asset manager that focuses on acquiring, operating, and enhancing a diversified portfolio of high-quality, cash-generating businesses. Capitalizing on the robust resources and expertise of its parent company, Brookfield Asset Management, BBU strategically invests in sectors such as industrials, utilities, and consumer products, employing a disciplined approach to operational improvements. With an emphasis on delivering sustainable cash distributions and capital appreciation, BBU is well-equipped to capitalize on growth opportunities, positioning itself to generate superior returns for its investors over the long term.
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 →Compare with Other CONGLOMERATES Stocks
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