Caterpillar Inc (CAT)vsFerguson Plc (FERG)
CAT
Caterpillar Inc
$810.05
+9.88%
INDUSTRIALS · Cap: $414.16B
FERG
Ferguson Plc
$267.71
+4.51%
INDUSTRIALS · Cap: $51.43B
Smart Verdict
WallStSmart Research — data-driven comparison
Caterpillar Inc generates 119% more annual revenue ($67.59B vs $30.80B). CAT leads profitability with a 13.1% profit margin vs 6.1%. FERG appears more attractively valued with a PEG of 1.66. FERG earns a higher WallStSmart Score of 57/100 (C).
CAT
Buy55
out of 100
Grade: C-
FERG
Buy57
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for CAT.
Margin of Safety
-38.0%
Fair Value
$193.77
Current Price
$267.71
$73.94 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
Every $100 of equity generates 33 in profit
Safe zone — low bankruptcy risk
Large-cap with strong market position
Areas to Watch
Expensive relative to growth rate
Trading at 17.7x book value
Weak financial health signals
Premium valuation, high expectations priced in
Expensive relative to growth rate
Moderate valuation
Trading at 8.9x book value
3.6% revenue growth
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 : FERG
The strongest argument for FERG centers on Return on Equity, Altman Z-Score, Market Cap.
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 : FERG
The primary concerns for FERG are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
CAT profiles as a growth stock while FERG 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
FERG scores higher overall (57/100 vs 55/100). 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 →Ferguson Plc
INDUSTRIALS · INDUSTRIAL DISTRIBUTION · USA
Ferguson plc distributes plumbing and heating products in the United States, the United Kingdom, Canada and Central Europe. The company is headquartered in Wokingham, the United Kingdom.
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