WallStSmart

Caterpillar Inc (CAT)vsGoldman Sachs Group Inc (GS)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Caterpillar Inc generates 15% more annual revenue ($70.75B vs $61.53B). GS leads profitability with a 29.4% profit margin vs 13.3%. GS appears more attractively valued with a PEG of 1.45. GS earns a higher WallStSmart Score of 75/100 (B).

CAT

Strong Buy

67

out of 100

Grade: B-

Growth: 7.3Profit: 8.0Value: 4.3Quality: 4.5
Piotroski: 3/9Altman Z: 2.40

GS

Strong Buy

75

out of 100

Grade: B

Growth: 8.0Profit: 7.5Value: 6.3Quality: 5.0
Piotroski: 5/9

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CAT5 strengths · Avg: 8.8/10
Market CapQuality
$412.55B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
51.3%10/10

Every $100 of equity generates 51 in profit

Revenue GrowthGrowth
22.2%8/10

Revenue surging 22.2% year-over-year

EPS GrowthGrowth
30.2%8/10

Earnings expanding 30.2% YoY

Free Cash FlowQuality
$1.55B8/10

Generating 1.5B in free cash flow

GS6 strengths · Avg: 8.8/10
Market CapQuality
$276.27B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
38.6%10/10

Strong operational efficiency at 38.6%

Profit MarginProfitability
29.4%9/10

Keeps 29 of every $100 in revenue as profit

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
24.2%8/10

Earnings expanding 24.2% YoY

Areas to Watch

CAT4 concerns · Avg: 2.8/10
PEG RatioValuation
2.224/10

Expensive relative to growth rate

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

P/E RatioValuation
44.6x2/10

Premium valuation, high expectations priced in

Price/BookValuation
22.3x2/10

Trading at 22.3x book value

GS1 concerns · Avg: 2.0/10
Free Cash FlowQuality
$-32.43B2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull 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 : GS

The strongest argument for GS centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 29.4% and operating margin at 38.6%. Revenue growth of 14.5% demonstrates continued momentum.

Bear Case : CAT

The primary concerns for CAT are PEG Ratio, Piotroski F-Score, P/E Ratio. A P/E of 44.6x leaves little room for execution misses. Debt-to-equity of 2.03 is elevated, increasing financial risk.

Bear Case : GS

The primary concerns for GS are Free Cash Flow.

Key Dynamics to Monitor

CAT profiles as a growth stock while GS is a mature play — different risk/reward profiles.

CAT carries more volatility with a beta of 1.63 — expect wider price swings.

CAT is growing revenue faster at 22.2% — sustainability is the question.

CAT generates stronger free cash flow (1.5B), providing more financial flexibility.

Bottom Line

GS scores higher overall (75/100 vs 67/100), backed by strong 29.4% margins and 14.5% revenue growth. Both earn "Strong Buy" and "Strong 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.

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Goldman Sachs Group Inc

FINANCIAL SERVICES · CAPITAL MARKETS · USA

The Goldman Sachs Group, Inc., is an American multinational investment bank and financial services company headquartered in New York City. It offers services in investment management, securities, asset management, prime brokerage, and securities underwriting. It also provides investment banking to institutional investors.

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