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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.

Company profile comparison for Caterpillar (CAT) and Emerson Electric (EMR)
Profile ItemCATEMR
NameCaterpillar Inc.Emerson Electric Co.
Country/RegionUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryMachineryElectrical Equipment
GICS Sub-IndustryConstruction Machinery & Heavy Transportation EquipmentElectrical Components & Equipment
Market Capitalization255.63 billion USD90.56 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962June 1, 1972
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

CAT
EMR
GSPC
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Caterpillar (CAT) vs. Emerson Electric (EMR), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Caterpillar (CAT) and Emerson Electric (EMR). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Caterpillar (CAT) and Emerson Electric (EMR). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
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

CAT
EMR
GSPC
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Caterpillar (CAT) vs. Emerson Electric (EMR), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Caterpillar (CAT) and Emerson Electric (EMR). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
Volatility (1Y, Annualized)41.33%32.47%
Beta (5Y)1.651.20
Max Drawdown (5Y)-47.79%-29.61%
Avg. Volume (3M)2.82M2.61M

Risk-Adjusted Performance

Risk-Return Positioning

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CAT and EMR are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
Sharpe Ratio (1Y)0.060.93
Sortino Ratio (1Y)0.081.37

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%
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their ROE against the Capital Goods industry group benchmark.

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%
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their net margin against the Capital Goods industry group benchmark.

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%
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their operating margin against the Capital Goods industry group benchmark.

Profitability Metrics

Profitability metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
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.

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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their Revenue Growth across different time periods.

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.

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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
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
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their current ratio against the Capital Goods industry group benchmark.

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
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their debt-to-equity ratio against the Capital Goods industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
Current Ratio (MRQ)1.420.94
Debt / Equity (MRQ)2.100.59
Net Debt / EBITDA2.251.89

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%
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their dividend yield against the Capital Goods industry group benchmark.

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%
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their payout ratio against the Capital Goods industry group benchmark.

Dividend Metrics

Dividend metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
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
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their P/E ratio against the Capital Goods industry group benchmark.

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
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their P/S ratio against the Capital Goods industry group benchmark.

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
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Caterpillar (CAT) vs. Emerson Electric (EMR): A comparison of their P/B ratio against the Capital Goods industry group benchmark.

Valuation Metrics

Valuation metrics for Caterpillar (CAT) and Emerson Electric (EMR)
MetricCATEMR
P/E Ratio (TTM)21.9233.89
P/S Ratio (TTM)3.294.77
P/B Ratio (MRQ)11.904.38
Free Cash Flow Yield (TTM)1.55%3.85%