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Caterpillar (CAT) vs. Eaton (ETN)

This page compares Caterpillar (CAT) with Eaton (ETN) using performance and risk, profitability, financial strength, growth, dividends, and valuation metrics.

Company Profile

Caterpillar (CAT) and Eaton (ETN) both fall under the Capital Goods industry group, but CAT is classified in Machinery while ETN is classified in Electrical Equipment.

SymbolCATETN
NameCaterpillar Inc.Eaton Corporation plc
Country/RegionUnited StatesIreland
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsCapital Goods
GICS IndustryMachineryElectrical Equipment
GICS Sub-IndustryConstruction Machinery & Heavy Transportation EquipmentElectrical Components & Equipment
Market Capitalization421.30 billion USD155.99 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962June 1, 1972
Security TypeCommon StockCommon Stock

Valuation

Price-to-Earnings Ratio (TTM)

Both Caterpillar (CAT) at 45.46 and Eaton (ETN) at 39.23 post Price-to-Earnings Ratio (TTM) near the typical industry midpoint — neither company stands out strongly from peers on trailing earnings multiple.

CAT

Capital Goods industry group

45.46

Max
84.79
Q3
47.87
Median
32.91
Q1
22.79
Min
5.92

ETN

Capital Goods industry group

39.23

Max
84.79
Q3
47.87
Median
32.91
Q1
22.79
Min
5.92
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Price-to-Earnings Ratio (TTM) against the Capital Goods industry group benchmark.

Price-to-Sales Ratio (TTM)

Both Caterpillar (CAT) at 5.95 and Eaton (ETN) at 5.47 command a richer price per dollar of sales than most peers, sitting in the upper Price-to-Sales Ratio (TTM) quartile of their industries.

CAT

Capital Goods industry group

5.95

Max
10.02
Q3
4.86
Median
2.69
Q1
1.32
Min
0.05

ETN

Capital Goods industry group

5.47

Max
10.02
Q3
4.86
Median
2.69
Q1
1.32
Min
0.05
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Price-to-Sales Ratio (TTM) against the Capital Goods industry group benchmark.

Price-to-Book Ratio (MRQ)

Both look rich against book: Eaton (ETN) at 7.91 sits in the upper Price-to-Book Ratio (MRQ) quartile, and Caterpillar (CAT) at 22.58 prices even higher, above its industry range.

CAT

Capital Goods industry group

22.58

Max
13.93
Q3
6.84
Median
3.81
Q1
2.10
Min
-4.84

ETN

Capital Goods industry group

7.91

Max
13.93
Q3
6.84
Median
3.81
Q1
2.10
Min
-4.84
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Price-to-Book Ratio (MRQ) against the Capital Goods industry group benchmark.

Valuation at a Glance

SymbolCATETN
Price-to-Earnings Ratio (TTM)45.4639.23
Price-to-Sales Ratio (TTM)5.955.47
Price-to-Book Ratio (MRQ)22.587.91
Free Cash Flow Yield0.90%1.70%

Profitability

Return on Equity (TTM)

Caterpillar (CAT) leads with Return on Equity (TTM) of 51.33%, above its industry benchmark range, while Eaton (ETN) at 20.85% also ranks strongly in the top quartile.

CAT

Capital Goods industry group

51.33%

Max
46.13%
Q3
20.05%
Median
11.19%
Q1
2.17%
Min
-23.78%

ETN

Capital Goods industry group

20.85%

Max
46.13%
Q3
20.05%
Median
11.19%
Q1
2.17%
Min
-23.78%
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Return on Equity (TTM) against the Capital Goods industry group benchmark.

Net Profit Margin (TTM)

For every dollar of sales, both Caterpillar (CAT) at 13.33% and Eaton (ETN) at 13.99% retain more as net profit than most peers, landing in the top Net Profit Margin (TTM) quartile of their industries.

CAT

Capital Goods industry group

13.33%

Max
24.69%
Q3
11.55%
Median
5.75%
Q1
0.30%
Min
-13.94%

ETN

Capital Goods industry group

13.99%

Max
24.69%
Q3
11.55%
Median
5.75%
Q1
0.30%
Min
-13.94%
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Net Profit Margin (TTM) against the Capital Goods industry group benchmark.

Operating Profit Margin (TTM)

Both Caterpillar (CAT) at 18.18% and Eaton (ETN) at 16.11% squeeze more operating profit from each sales dollar than most peers, ranking in the top Operating Profit Margin (TTM) quartile of their industries.

CAT

Capital Goods industry group

18.18%

Max
29.84%
Q3
15.85%
Median
8.13%
Q1
1.80%
Min
-17.50%

ETN

Capital Goods industry group

16.11%

Max
29.84%
Q3
15.85%
Median
8.13%
Q1
1.80%
Min
-17.50%
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Operating Profit Margin (TTM) against the Capital Goods industry group benchmark.

Profitability at a Glance

SymbolCATETN
Return on Equity (TTM)51.33%20.85%
Return on Assets (TTM)8.52%7.02%
Net Profit Margin (TTM)13.33%13.99%
Operating Profit Margin (TTM)18.18%16.11%
Gross Profit Margin (TTM)28.60%37.11%

Growth

Revenue Growth

Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Revenue Growth across different time periods.

Revenue Growth at a Glance

SymbolCATETN
1-Year Revenue Growth4.29%10.33%
3-Year Revenue CAGR4.38%9.77%

EPS Growth

Caterpillar (CAT) vs. Eaton (ETN): A comparison of their EPS Growth across different time periods.

EPS Growth at a Glance

SymbolCATETN
1-Year EPS Growth-14.69%10.00%
3-Year EPS CAGR14.17%19.39%

Financial Strength

Current Ratio (MRQ)

Both Caterpillar (CAT) at 1.35 and Eaton (ETN) at 1.19 run Current Ratio (MRQ) in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.

CAT

Capital Goods industry group

1.35

Max
5.24
Q3
2.98
Median
2.12
Q1
1.45
Min
0.71

ETN

Capital Goods industry group

1.19

Max
5.24
Q3
2.98
Median
2.12
Q1
1.45
Min
0.71
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Current Ratio (MRQ) against the Capital Goods industry group benchmark.

Debt-to-Equity Ratio (MRQ)

Both Caterpillar (CAT) at 2.31 and Eaton (ETN) at 1.10 run Debt-to-Equity Ratio (MRQ) in the higher-leverage quartile of industry peers, indicating more debt relative to equity than typical competitors.

CAT

Capital Goods industry group

2.31

Max
2.31
Q3
1.08
Median
0.62
Q1
0.27
Min
0.00

ETN

Capital Goods industry group

1.10

Max
2.31
Q3
1.08
Median
0.62
Q1
0.27
Min
0.00
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Debt-to-Equity Ratio (MRQ) against the Capital Goods industry group benchmark.

Financial Strength at a Glance

SymbolCATETN
Current Ratio (MRQ)1.351.19
Debt-to-Equity Ratio (MRQ)2.311.10
Net Debt / EBITDA2.733.32

Dividends

Dividend Yield (TTM)

Eaton (ETN) at 1.10% reports Dividend Yield (TTM) in the top quartile of industry peers, ahead of Caterpillar (CAT) at 0.66%, which sits around the industry mid-range.

CAT

Capital Goods industry group

0.66%

Max
2.67%
Q3
1.09%
Median
0.21%
Q1
0.00%
Min
0.00%

ETN

Capital Goods industry group

1.10%

Max
2.67%
Q3
1.09%
Median
0.21%
Q1
0.00%
Min
0.00%
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Dividend Yield (TTM) against the Capital Goods industry group benchmark.

Dividend Payout Ratio (TTM)

Both Caterpillar (CAT) at 29.58% and Eaton (ETN) at 41.29% post Dividend Payout Ratio (TTM) outside their industries’ typical mid-range — either leaning toward more retention or more distribution than the industry median.

CAT

Capital Goods industry group

29.58%

Max
72.02%
Q3
29.49%
Median
6.03%
Q1
0.00%
Min
0.00%

ETN

Capital Goods industry group

41.29%

Max
72.02%
Q3
29.49%
Median
6.03%
Q1
0.00%
Min
0.00%
Caterpillar (CAT) vs. Eaton (ETN): A comparison of their Dividend Payout Ratio (TTM) against the Capital Goods industry group benchmark.

Dividends at a Glance

SymbolCATETN
Dividend Yield (TTM)0.66%1.10%
Dividend Payout Ratio (TTM)29.58%41.29%

Performance & Risk

CAT
ETN
Loading price history…
Caterpillar (CAT) vs. Eaton (ETN): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Performance & Risk at a Glance

SymbolCATETN
1-Year Return161.94%23.04%
1-Year Volatility34.37%32.62%
Beta1.591.19
3-Month Avg. Volume2.51M2.61M