CATERPILLAR INC (1CAT.MI) Stock Fundamental Analysis
BIT:1CAT - Euronext Milan - US1491231015 - Common Stock - Currency: EUR
Overall 1CAT gets a fundamental rating of 6 out of 10. We evaluated 1CAT against 109 industry peers in the Machinery industry. While 1CAT has a great profitability rating, there are some minor concerns on its financial health. 1CAT has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
In the past year 1CAT was profitable.
In the past year 1CAT had a positive cash flow from operations.
Each year in the past 5 years 1CAT has been profitable.
In the past 5 years 1CAT always reported a positive cash flow from operatings.
1.2 Ratios
1CAT's Return On Assets of 11.70% is amongst the best of the industry. 1CAT outperforms 93.69% of its industry peers.
Looking at the Return On Equity, with a value of 55.01%, 1CAT belongs to the top of the industry, outperforming 98.20% of the companies in the same industry.
The Return On Invested Capital of 1CAT (19.67%) is better than 94.59% of its industry peers.
1CAT had an Average Return On Invested Capital over the past 3 years of 17.90%. This is significantly above the industry average of 8.05%.
The 3 year average ROIC (17.90%) for 1CAT is below the current ROIC(19.67%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.7% | ||
| ROE | 55.01% | ||
| ROIC | 19.67% |
ROA(3y)10.76%
ROA(5y)8.79%
ROE(3y)50.21%
ROE(5y)41.91%
ROIC(3y)17.9%
ROIC(5y)14.36%
1.3 Margins
1CAT has a better Profit Margin (15.71%) than 93.69% of its industry peers.
In the last couple of years the Profit Margin of 1CAT has grown nicely.
1CAT's Operating Margin of 21.83% is amongst the best of the industry. 1CAT outperforms 94.59% of its industry peers.
In the last couple of years the Operating Margin of 1CAT has grown nicely.
1CAT has a Gross Margin (37.68%) which is in line with its industry peers.
In the last couple of years the Gross Margin of 1CAT has grown nicely.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 21.83% | ||
| PM (TTM) | 15.71% | ||
| GM | 37.68% |
OM growth 3Y15.96%
OM growth 5Y5.59%
PM growth 3Y9.36%
PM growth 5Y8.01%
GM growth 3Y7.82%
GM growth 5Y3.49%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1CAT is creating value.
1CAT has less shares outstanding than it did 1 year ago.
1CAT has less shares outstanding than it did 5 years ago.
1CAT has a worse debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 3.88 indicates that 1CAT is not in any danger for bankruptcy at the moment.
1CAT's Altman-Z score of 3.88 is amongst the best of the industry. 1CAT outperforms 87.39% of its industry peers.
1CAT has a debt to FCF ratio of 4.90. This is a neutral value as 1CAT would need 4.90 years to pay back of all of its debts.
The Debt to FCF ratio of 1CAT (4.90) is better than 60.36% of its industry peers.
A Debt/Equity ratio of 1.62 is on the high side and indicates that 1CAT has dependencies on debt financing.
1CAT has a Debt to Equity ratio of 1.62. This is amonst the worse of the industry: 1CAT underperforms 85.59% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 4.9 | ||
| Altman-Z | 3.88 |
ROIC/WACC2.06
WACC9.56%
2.3 Liquidity
A Current Ratio of 1.32 indicates that 1CAT should not have too much problems paying its short term obligations.
1CAT's Current ratio of 1.32 is on the low side compared to the rest of the industry. 1CAT is outperformed by 63.96% of its industry peers.
A Quick Ratio of 0.77 indicates that 1CAT may have some problems paying its short term obligations.
1CAT has a Quick ratio of 0.77. This is in the lower half of the industry: 1CAT underperforms 71.17% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.77 |
3. Growth
3.1 Past
The earnings per share for 1CAT have decreased by -6.16% in the last year.
The Earnings Per Share has been growing by 14.64% on average over the past years. This is quite good.
1CAT shows a decrease in Revenue. In the last year, the revenue decreased by -5.58%.
The Revenue has been growing slightly by 3.79% on average over the past years.
EPS 1Y (TTM)-6.16%
EPS 3Y26.49%
EPS 5Y14.64%
EPS Q2Q%-24.11%
Revenue 1Y (TTM)-5.58%
Revenue growth 3Y8.34%
Revenue growth 5Y3.79%
Sales Q2Q%-9.81%
3.2 Future
The Earnings Per Share is expected to grow by 8.22% on average over the next years. This is quite good.
1CAT is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 9.61% yearly.
EPS Next Y-14.01%
EPS Next 2Y-2.19%
EPS Next 3Y2.72%
EPS Next 5Y8.22%
Revenue Next Year-2.48%
Revenue Next 2Y1.17%
Revenue Next 3Y2.67%
Revenue Next 5Y9.61%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 16.67, which indicates a correct valuation of 1CAT.
Compared to the rest of the industry, the Price/Earnings ratio of 1CAT indicates a somewhat cheap valuation: 1CAT is cheaper than 63.06% of the companies listed in the same industry.
1CAT's Price/Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 26.31.
1CAT is valuated correctly with a Price/Forward Earnings ratio of 16.34.
The rest of the industry has a similar Price/Forward Earnings ratio as 1CAT.
1CAT's Price/Forward Earnings ratio indicates a valuation a bit cheaper than the S&P500 average which is at 22.06.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.67 | ||
| Fwd PE | 16.34 |
4.2 Price Multiples
1CAT's Enterprise Value to EBITDA ratio is a bit more expensive when compared to the industry. 1CAT is more expensive than 63.06% of the companies in the same industry.
The rest of the industry has a similar Price/Free Cash Flow ratio as 1CAT.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 20.45 | ||
| EV/EBITDA | 12.05 |
4.3 Compensation for Growth
The excellent profitability rating of 1CAT may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.14
EPS Next 2Y-2.19%
EPS Next 3Y2.72%
5. Dividend
5.1 Amount
1CAT has a Yearly Dividend Yield of 1.60%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 2.75, 1CAT has a dividend in line with its industry peers.
Compared to the average S&P500 Dividend Yield of 2.38, 1CAT is paying slightly less dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.6% |
5.2 History
On average, the dividend of 1CAT grows each year by 7.41%, which is quite nice.
Dividend Growth(5Y)7.41%
Div Incr Years0
Div Non Decr Years0
5.3 Sustainability
26.88% of the earnings are spent on dividend by 1CAT. This is a low number and sustainable payout ratio.
The dividend of 1CAT is growing around the same rate as the earnings are growing. If this keeps up the dividend growth is sustainable.
DP26.88%
EPS Next 2Y-2.19%
EPS Next 3Y2.72%
BIT:1CAT (5/23/2025, 7:00:00 PM)
302
-10.5 (-3.36%)
Chartmill FA Rating
GICS SectorIndustrials
GICS IndustryGroupCapital Goods
GICS IndustryMachinery
Earnings (Last)
Earnings (Next)
Inst Owners72.32%
Inst Owner ChangeN/A
Ins Owners0.18%
Ins Owner ChangeN/A
Market Cap142.03B
Analysts69.38
Price Target326.63 (8.16%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.6% |
Yearly Dividend4.78
Dividend Growth(5Y)7.41%
DP26.88%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)1
Avg EPS beat(2)-0.9%
Min EPS beat(2)-3.19%
Max EPS beat(2)1.39%
EPS beat(4)2
Avg EPS beat(4)0.3%
Min EPS beat(4)-4.08%
Max EPS beat(4)7.07%
EPS beat(8)6
Avg EPS beat(8)6.5%
EPS beat(12)10
Avg EPS beat(12)9.51%
EPS beat(16)14
Avg EPS beat(16)10.53%
Revenue beat(2)0
Avg Revenue beat(2)-2.9%
Min Revenue beat(2)-3.77%
Max Revenue beat(2)-2.02%
Revenue beat(4)0
Avg Revenue beat(4)-1.9%
Min Revenue beat(4)-3.77%
Max Revenue beat(4)-0.86%
Revenue beat(8)2
Avg Revenue beat(8)-0.87%
Revenue beat(12)5
Avg Revenue beat(12)0.03%
Revenue beat(16)8
Avg Revenue beat(16)0.28%
PT rev (1m)6.39%
PT rev (3m)-14.56%
EPS NQ rev (1m)-1.09%
EPS NQ rev (3m)-5.97%
EPS NY rev (1m)-4.01%
EPS NY rev (3m)-6.99%
Revenue NQ rev (1m)2.37%
Revenue NQ rev (3m)2.26%
Revenue NY rev (1m)1.35%
Revenue NY rev (3m)0.12%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 16.67 | ||
| Fwd PE | 16.34 | ||
| P/S | 2.55 | ||
| P/FCF | 20.45 | ||
| P/OCF | 14.29 | ||
| P/B | 8.91 | ||
| P/tB | 12.95 | ||
| EV/EBITDA | 12.05 |
EPS(TTM)18.12
EY6%
EPS(NY)18.48
Fwd EY6.12%
FCF(TTM)14.77
FCFY4.89%
OCF(TTM)21.14
OCFY7%
SpS118.62
BVpS33.88
TBVpS23.32
PEG (NY)N/A
PEG (5Y)1.14
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 11.7% | ||
| ROE | 55.01% | ||
| ROCE | 26.37% | ||
| ROIC | 19.67% | ||
| ROICexc | 21.01% | ||
| ROICexgc | 23.55% | ||
| OM | 21.83% | ||
| PM (TTM) | 15.71% | ||
| GM | 37.68% | ||
| FCFM | 12.45% |
ROA(3y)10.76%
ROA(5y)8.79%
ROE(3y)50.21%
ROE(5y)41.91%
ROIC(3y)17.9%
ROIC(5y)14.36%
ROICexc(3y)20.33%
ROICexc(5y)16.54%
ROICexgc(3y)22.96%
ROICexgc(5y)18.93%
ROCE(3y)24.59%
ROCE(5y)19.65%
ROICexcg growth 3Y20.44%
ROICexcg growth 5Y6.45%
ROICexc growth 3Y22.47%
ROICexc growth 5Y7.76%
OM growth 3Y15.96%
OM growth 5Y5.59%
PM growth 3Y9.36%
PM growth 5Y8.01%
GM growth 3Y7.82%
GM growth 5Y3.49%
F-Score5
Asset Turnover0.74
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.62 | ||
| Debt/FCF | 4.9 | ||
| Debt/EBITDA | 1.83 | ||
| Cap/Depr | 156.62% | ||
| Cap/Sales | 5.37% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 70.54% | ||
| Profit Quality | 79.23% | ||
| Current Ratio | 1.32 | ||
| Quick Ratio | 0.77 | ||
| Altman-Z | 3.88 |
F-Score5
WACC9.56%
ROIC/WACC2.06
Cap/Depr(3y)136.89%
Cap/Depr(5y)120.55%
Cap/Sales(3y)4.65%
Cap/Sales(5y)4.77%
Profit Quality(3y)84.51%
Profit Quality(5y)93.37%
High Growth Momentum
Growth
EPS 1Y (TTM)-6.16%
EPS 3Y26.49%
EPS 5Y14.64%
EPS Q2Q%-24.11%
EPS Next Y-14.01%
EPS Next 2Y-2.19%
EPS Next 3Y2.72%
EPS Next 5Y8.22%
Revenue 1Y (TTM)-5.58%
Revenue growth 3Y8.34%
Revenue growth 5Y3.79%
Sales Q2Q%-9.81%
Revenue Next Year-2.48%
Revenue Next 2Y1.17%
Revenue Next 3Y2.67%
Revenue Next 5Y9.61%
EBIT growth 1Y-8.1%
EBIT growth 3Y25.63%
EBIT growth 5Y9.59%
EBIT Next Year-1.31%
EBIT Next 3Y3.26%
EBIT Next 5Y8.31%
FCF growth 1Y23.9%
FCF growth 3Y23.12%
FCF growth 5Y15.76%
OCF growth 1Y24.88%
OCF growth 3Y18.69%
OCF growth 5Y11.73%