CAT vs. EMR: Caterpillar vs. Emerson Electric Stock Comparison
How do Caterpillar (CAT) and Emerson Electric (EMR) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.
Company Profile
Caterpillar (CAT) and Emerson Electric (EMR) both fall under the Capital Goods industry group, but CAT is classified in Machinery while EMR is classified in Electrical Equipment.
| Profile Item | CAT | EMR |
|---|---|---|
| Name | Caterpillar Inc. | Emerson Electric Co. |
| Country/Region | United States | United States |
| GICS Sector | Industrials | Industrials |
| GICS Industry Group | Capital Goods | Capital Goods |
| GICS Industry | Machinery | Electrical Equipment |
| GICS Sub-Industry | Construction Machinery & Heavy Transportation Equipment | Electrical Components & Equipment |
| Market Capitalization | 255.63 billion USD | 90.56 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | June 1, 1972 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | CAT | EMR |
|---|---|---|
| Total Return (1Y) | 6.75% | 34.39% |
| Total Return (3Y, Annualized) | 38.34% | 28.46% |
| Total Return (5Y, Annualized) | 25.28% | 14.17% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | CAT | EMR |
|---|---|---|
| Volatility (1Y, Annualized) | 41.33% | 32.47% |
| Beta (5Y) | 1.65 | 1.20 |
| Max Drawdown (5Y) | -47.79% | -29.61% |
| Avg. Volume (3M) | 2.82M | 2.61M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | CAT | EMR |
|---|---|---|
| Sharpe Ratio (1Y) | 0.06 | 0.93 |
| Sortino Ratio (1Y) | 0.08 | 1.37 |
Profitability
ROE (TTM)
Caterpillar (CAT) at 56.14% clears its industry range for ROE, a sharper capital-efficiency signal than Emerson Electric (EMR) at 13.12%, which is closer to a typical peer reading.
CAT
Capital Goods industry group
56.14%
- CAT
- 56.14%
- Max
- 40.55%
- Q3
- 19.29%
- Median
- 12.12%
- Q1
- 4.08%
- Min
- -17.12%
EMR
Capital Goods industry group
13.12%
- Max
- 40.55%
- Q3
- 19.29%
- EMR
- 13.12%
- Median
- 12.12%
- Q1
- 4.08%
- Min
- -17.12%
Net Margin (TTM)
For every dollar of sales, both Caterpillar (CAT) at 15.21% and Emerson Electric (EMR) at 14.18% retain more as net profit than most peers, landing in the top net margin quartile of their industries.
CAT
Capital Goods industry group
15.21%
- Max
- 27.47%
- CAT
- 15.21%
- Q3
- 12.10%
- Median
- 6.30%
- Q1
- 1.40%
- Min
- -12.89%
EMR
Capital Goods industry group
14.18%
- Max
- 27.47%
- EMR
- 14.18%
- Q3
- 12.10%
- Median
- 6.30%
- Q1
- 1.40%
- Min
- -12.89%
Operating Margin (TTM)
Both Caterpillar (CAT) at 20.19% and Emerson Electric (EMR) at 25.90% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.
CAT
Capital Goods industry group
20.19%
- Max
- 36.60%
- CAT
- 20.19%
- Q3
- 18.33%
- Median
- 11.12%
- Q1
- 5.14%
- Min
- -12.63%
EMR
Capital Goods industry group
25.90%
- Max
- 36.60%
- EMR
- 25.90%
- Q3
- 18.33%
- Median
- 11.12%
- Q1
- 5.14%
- Min
- -12.63%
Profitability Metrics
| Metric | CAT | EMR |
|---|---|---|
| ROE (TTM) | 56.14% | 13.12% |
| ROA (TTM) | 9.09% | 5.98% |
| Net Margin (TTM) | 15.21% | 14.18% |
| Operating Margin (TTM) | 20.19% | 25.90% |
| Gross Margin (TTM) | 29.54% | 53.36% |
Growth
Revenue Growth
Only one side can be read here: Caterpillar (CAT) reports revenue growth of 4.29%, ranked against its industry; Emerson Electric (EMR) has no revenue growth figure this period.
EPS Growth
Both Caterpillar (CAT) at -14.69% and Emerson Electric (EMR) at 18.56% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | CAT | EMR |
|---|---|---|
| Revenue Growth (YoY) | 4.29% | -- |
| Revenue Growth (3Y CAGR) | 4.38% | -- |
| EPS Growth (YoY) | -14.69% | 18.56% |
| EPS Growth (3Y CAGR) | 14.17% | -40.62% |
Financial Strength
Current Ratio (MRQ)
Both Caterpillar (CAT) at 1.42 and Emerson Electric (EMR) at 0.94 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
CAT
Capital Goods industry group
1.42
- Max
- 5.22
- Q3
- 2.95
- Median
- 2.08
- Q1
- 1.43
- CAT
- 1.42
- Min
- 0.36
EMR
Capital Goods industry group
0.94
- Max
- 5.22
- Q3
- 2.95
- Median
- 2.08
- Q1
- 1.43
- EMR
- 0.94
- Min
- 0.36
Debt / Equity (MRQ)
Emerson Electric (EMR) at 0.59 carries an industry-typical debt-to-equity mix, while Caterpillar (CAT) at 2.10 uses more debt funding than most peers.
CAT
Capital Goods industry group
2.10
- Max
- 2.33
- CAT
- 2.10
- Q3
- 1.12
- Median
- 0.60
- Q1
- 0.29
- Min
- 0.00
EMR
Capital Goods industry group
0.59
- Max
- 2.33
- Q3
- 1.12
- Median
- 0.60
- EMR
- 0.59
- Q1
- 0.29
- Min
- 0.00
Financial Strength Metrics
| Metric | CAT | EMR |
|---|---|---|
| Current Ratio (MRQ) | 1.42 | 0.94 |
| Debt / Equity (MRQ) | 2.10 | 0.59 |
| Net Debt / EBITDA | 2.25 | 1.89 |
Dividends
Dividend Yield (TTM)
Emerson Electric (EMR) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Caterpillar (CAT) reports a yield of 1.13%, ranking against industry peers normally.
CAT
Capital Goods industry group
1.13%
- Max
- 2.66%
- Q3
- 1.14%
- CAT
- 1.13%
- Median
- 0.24%
- Q1
- 0.00%
- Min
- 0.00%
EMR
Capital Goods industry group
0.00%
- Max
- 2.66%
- Q3
- 1.14%
- Median
- 0.24%
- EMR
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Caterpillar (CAT) at 24.18% pays out a band-typical share of earnings, while Emerson Electric (EMR) at 48.51% distributes more than its industry norm — less retained, thinner cover.
CAT
Capital Goods industry group
24.18%
- Max
- 67.39%
- Q3
- 28.02%
- CAT
- 24.18%
- Median
- 6.86%
- Q1
- 0.00%
- Min
- 0.00%
EMR
Capital Goods industry group
48.51%
- Max
- 67.39%
- EMR
- 48.51%
- Q3
- 28.02%
- Median
- 6.86%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | CAT | EMR |
|---|---|---|
| Dividend Yield (TTM) | 1.13% | 0.00% |
| Dividend Payout Ratio (TTM) | 24.18% | 48.51% |
Valuation
P/E Ratio (TTM)
Both Caterpillar (CAT) at 21.92 and Emerson Electric (EMR) at 33.89 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
CAT
Capital Goods industry group
21.92
- Max
- 59.38
- Q3
- 35.92
- Median
- 25.41
- CAT
- 21.92
- Q1
- 19.47
- Min
- 3.03
EMR
Capital Goods industry group
33.89
- Max
- 59.38
- Q3
- 35.92
- EMR
- 33.89
- Median
- 25.41
- Q1
- 19.47
- Min
- 3.03
P/S Ratio (TTM)
Caterpillar (CAT) at 3.29 is priced about in line with its industry on P/S ratio, while Emerson Electric (EMR) at 4.77 sits in the pricier quartile — EMR costs more per dollar of sales.
CAT
Capital Goods industry group
3.29
- Max
- 7.54
- Q3
- 3.76
- CAT
- 3.29
- Median
- 2.15
- Q1
- 1.03
- Min
- 0.03
EMR
Capital Goods industry group
4.77
- Max
- 7.54
- EMR
- 4.77
- Q3
- 3.76
- Median
- 2.15
- Q1
- 1.03
- Min
- 0.03
P/B Ratio (MRQ)
Emerson Electric (EMR) at 4.38 sits near its industry’s typical P/B ratio, while Caterpillar (CAT) at 11.90 prices above its benchmark range — CAT looks rich relative to book.
CAT
Capital Goods industry group
11.90
- CAT
- 11.90
- Max
- 9.66
- Q3
- 5.00
- Median
- 3.12
- Q1
- 1.81
- Min
- -1.08
EMR
Capital Goods industry group
4.38
- Max
- 9.66
- Q3
- 5.00
- EMR
- 4.38
- Median
- 3.12
- Q1
- 1.81
- Min
- -1.08
Valuation Metrics
| Metric | CAT | EMR |
|---|---|---|
| P/E Ratio (TTM) | 21.92 | 33.89 |
| P/S Ratio (TTM) | 3.29 | 4.77 |
| P/B Ratio (MRQ) | 11.90 | 4.38 |
| Free Cash Flow Yield (TTM) | 1.55% | 3.85% |