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CAT vs. J: A Head-to-Head Stock Comparison

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Here’s a clear look at CAT and J, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolCATJ
Company NameCaterpillar Inc.Jacobs Solutions Inc.
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS IndustryMachineryProfessional Services
Market Capitalization204.10 billion USD17.75 billion USD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962March 17, 1980
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of CAT and J by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

CAT vs. J: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolCATJ
5-Day Price Return5.58%1.16%
13-Week Price Return27.20%17.56%
26-Week Price Return23.07%13.85%
52-Week Price Return27.03%20.75%
Month-to-Date Return-0.54%4.67%
Year-to-Date Return20.10%11.13%
10-Day Avg. Volume3.44M0.58M
3-Month Avg. Volume2.77M0.74M
3-Month Volatility21.26%19.53%
Beta1.460.82

Profitability

Return on Equity (TTM)

CAT

49.92%

Machinery Industry

Max
34.68%
Q3
19.06%
Median
13.13%
Q1
8.53%
Min
-4.87%

CAT’s Return on Equity of 49.92% is exceptionally high, placing it well beyond the typical range for the Machinery industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

J

4.22%

Professional Services Industry

Max
52.17%
Q3
30.06%
Median
22.21%
Q1
11.67%
Min
-13.44%

J’s Return on Equity of 4.22% is in the lower quartile for the Professional Services industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

CAT vs. J: A comparison of their Return on Equity (TTM) against their respective Machinery and Professional Services industry benchmarks.

Net Profit Margin (TTM)

CAT

14.95%

Machinery Industry

Max
19.74%
Q3
11.24%
Median
8.13%
Q1
5.38%
Min
-1.11%

A Net Profit Margin of 14.95% places CAT in the upper quartile for the Machinery industry, signifying strong profitability and more effective cost management than most of its peers.

J

1.88%

Professional Services Industry

Max
26.06%
Q3
13.34%
Median
7.88%
Q1
3.50%
Min
-2.93%

Falling into the lower quartile for the Professional Services industry, J’s Net Profit Margin of 1.88% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

CAT vs. J: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Professional Services industry benchmarks.

Operating Profit Margin (TTM)

CAT

18.23%

Machinery Industry

Max
26.63%
Q3
16.15%
Median
11.27%
Q1
7.72%
Min
-4.91%

An Operating Profit Margin of 18.23% places CAT in the upper quartile for the Machinery industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

J

7.12%

Professional Services Industry

Max
35.84%
Q3
19.38%
Median
12.54%
Q1
7.36%
Min
-5.21%

J’s Operating Profit Margin of 7.12% is in the lower quartile for the Professional Services industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

CAT vs. J: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Professional Services industry benchmarks.

Profitability at a Glance

SymbolCATJ
Return on Equity (TTM)49.92%4.22%
Return on Assets (TTM)10.81%1.46%
Net Profit Margin (TTM)14.95%1.88%
Operating Profit Margin (TTM)18.23%7.12%
Gross Profit Margin (TTM)36.53%24.99%

Financial Strength

Current Ratio (MRQ)

CAT

1.34

Machinery Industry

Max
3.83
Q3
2.32
Median
1.72
Q1
1.28
Min
0.78

CAT’s Current Ratio of 1.34 aligns with the median group of the Machinery industry, indicating that its short-term liquidity is in line with its sector peers.

J

1.39

Professional Services Industry

Max
2.45
Q3
1.65
Median
1.26
Q1
1.10
Min
0.47

J’s Current Ratio of 1.39 aligns with the median group of the Professional Services industry, indicating that its short-term liquidity is in line with its sector peers.

CAT vs. J: A comparison of their Current Ratio (MRQ) against their respective Machinery and Professional Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CAT

2.18

Machinery Industry

Max
1.49
Q3
0.75
Median
0.44
Q1
0.26
Min
0.00

With a Debt-to-Equity Ratio of 2.18, CAT operates with exceptionally high leverage compared to the Machinery industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

J

0.66

Professional Services Industry

Max
2.63
Q3
1.44
Median
0.91
Q1
0.49
Min
0.00

J’s Debt-to-Equity Ratio of 0.66 is typical for the Professional Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

CAT vs. J: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Professional Services industry benchmarks.

Interest Coverage Ratio (TTM)

CAT

12.53

Machinery Industry

Max
67.55
Q3
33.79
Median
13.87
Q1
7.97
Min
-1.43

CAT’s Interest Coverage Ratio of 12.53 is positioned comfortably within the norm for the Machinery industry, indicating a standard and healthy capacity to cover its interest payments.

J

6.77

Professional Services Industry

Max
39.67
Q3
20.05
Median
11.07
Q1
5.36
Min
-2.22

J’s Interest Coverage Ratio of 6.77 is positioned comfortably within the norm for the Professional Services industry, indicating a standard and healthy capacity to cover its interest payments.

CAT vs. J: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Professional Services industry benchmarks.

Financial Strength at a Glance

SymbolCATJ
Current Ratio (MRQ)1.341.39
Quick Ratio (MRQ)0.721.36
Debt-to-Equity Ratio (MRQ)2.180.66
Interest Coverage Ratio (TTM)12.536.77

Growth

Revenue Growth

CAT vs. J: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

CAT vs. J: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

CAT

1.37%

Machinery Industry

Max
5.32%
Q3
2.84%
Median
1.87%
Q1
1.09%
Min
0.00%

CAT’s Dividend Yield of 1.37% is consistent with its peers in the Machinery industry, providing a dividend return that is standard for its sector.

J

0.86%

Professional Services Industry

Max
5.28%
Q3
2.51%
Median
1.63%
Q1
0.62%
Min
0.00%

J’s Dividend Yield of 0.86% is consistent with its peers in the Professional Services industry, providing a dividend return that is standard for its sector.

CAT vs. J: A comparison of their Dividend Yield (TTM) against their respective Machinery and Professional Services industry benchmarks.

Dividend Payout Ratio (TTM)

CAT

28.60%

Machinery Industry

Max
202.17%
Q3
98.65%
Median
55.54%
Q1
29.03%
Min
0.00%

CAT’s Dividend Payout Ratio of 28.60% is in the lower quartile for the Machinery industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

J

42.29%

Professional Services Industry

Max
109.23%
Q3
64.39%
Median
47.00%
Q1
20.35%
Min
0.00%

J’s Dividend Payout Ratio of 42.29% is within the typical range for the Professional Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

CAT vs. J: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Professional Services industry benchmarks.

Dividend at a Glance

SymbolCATJ
Dividend Yield (TTM)1.37%0.86%
Dividend Payout Ratio (TTM)28.60%42.29%

Valuation

Price-to-Earnings Ratio (TTM)

CAT

20.88

Machinery Industry

Max
53.66
Q3
31.29
Median
22.00
Q1
16.18
Min
7.00

CAT’s P/E Ratio of 20.88 is within the middle range for the Machinery industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

J

104.84

Professional Services Industry

Max
49.59
Q3
36.59
Median
28.13
Q1
18.55
Min
10.07

At 104.84, J’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Professional Services industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

CAT vs. J: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Professional Services industry benchmarks.

Price-to-Sales Ratio (TTM)

CAT

3.12

Machinery Industry

Max
5.04
Q3
2.72
Median
1.67
Q1
1.04
Min
0.24

CAT’s P/S Ratio of 3.12 is in the upper echelon for the Machinery industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

J

1.97

Professional Services Industry

Max
9.54
Q3
5.11
Median
2.10
Q1
0.75
Min
0.11

J’s P/S Ratio of 1.97 aligns with the market consensus for the Professional Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

CAT vs. J: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Professional Services industry benchmarks.

Price-to-Book Ratio (MRQ)

CAT

9.78

Machinery Industry

Max
7.23
Q3
3.90
Median
2.52
Q1
1.47
Min
0.49

At 9.78, CAT’s P/B Ratio is at an extreme premium to the Machinery industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

J

4.09

Professional Services Industry

Max
13.75
Q3
8.87
Median
4.35
Q1
2.43
Min
0.54

J’s P/B Ratio of 4.09 is within the conventional range for the Professional Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

CAT vs. J: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Professional Services industry benchmarks.

Valuation at a Glance

SymbolCATJ
Price-to-Earnings Ratio (TTM)20.88104.84
Price-to-Sales Ratio (TTM)3.121.97
Price-to-Book Ratio (MRQ)9.784.09
Price-to-Free Cash Flow Ratio (TTM)25.4633.31