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

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

Company Profile

SymbolCATUNP
Company NameCaterpillar Inc.Union Pacific Corporation
CountryUnited StatesUnited States
GICS SectorIndustrialsIndustrials
GICS Industry GroupCapital GoodsTransportation
GICS IndustryMachineryGround Transportation
GICS Sub-IndustryConstruction Machinery & Heavy Transportation EquipmentRail Transportation
Market Capitalization423.85 billion USD159.91 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962January 2, 1980
Security TypeCommon StockCommon Stock

CAT’s market capitalization (423.85 billion USD) is substantially larger than UNP’s (159.91 billion USD), indicating a significant difference in their market valuations.

Historical Performance

This chart compares the performance of CAT and UNP 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
UNP
Loading price history…
CAT vs. UNP: Growth of a $10,000 investment over the past five years.

Historical Performance at a Glance

SymbolCATUNP
5-Day Price Return2.54%1.77%
13-Week Price Return18.74%2.48%
26-Week Price Return61.50%23.56%
52-Week Price Return163.18%17.96%
Month-to-Date Return3.38%-0.05%
Year-to-Date Return60.63%16.44%
10-Day Avg. Volume2.48M2.34M
3-Month Avg. Volume2.69M3.27M
3-Month Volatility40.41%23.74%
Beta1.631.00

CAT’s beta of 1.63 points to significantly higher volatility compared to UNP (beta: 1.00), suggesting CAT has greater potential for both gains and losses relative to market movements.

Profitability

Return on Equity (TTM)

CAT

47.57%

Machinery Industry
Max
37.29%
Q3
17.86%
Median
11.13%
Q1
4.20%
Min
-16.21%

CAT’s Return on Equity of 47.57% 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.

UNP

40.38%

Ground Transportation Industry
Max
40.38%
Q3
22.30%
Median
12.91%
Q1
2.90%
Min
-0.62%

In the upper quartile for the Ground Transportation industry, UNP’s Return on Equity of 40.38% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

CAT vs. UNP: A comparison of their Return on Equity (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Net Profit Margin (TTM)

CAT

13.33%

Machinery Industry
Max
22.96%
Q3
13.07%
Median
8.45%
Q1
2.47%
Min
-8.68%

A Net Profit Margin of 13.33% places CAT in the upper quartile for the Machinery industry, signifying strong profitability and more effective cost management than most of its peers.

UNP

29.20%

Ground Transportation Industry
Max
45.03%
Q3
19.23%
Median
4.05%
Q1
1.72%
Min
-8.78%

A Net Profit Margin of 29.20% places UNP in the upper quartile for the Ground Transportation industry, signifying strong profitability and more effective cost management than most of its peers.

CAT vs. UNP: A comparison of their Net Profit Margin (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Operating Profit Margin (TTM)

CAT

16.48%

Machinery Industry
Max
31.46%
Q3
17.80%
Median
13.51%
Q1
7.72%
Min
-3.23%

CAT’s Operating Profit Margin of 16.48% is around the midpoint for the Machinery industry, indicating that its efficiency in managing core business operations is typical for the sector.

UNP

40.21%

Ground Transportation Industry
Max
24.57%
Q3
14.89%
Median
7.56%
Q1
2.71%
Min
-2.98%

UNP’s Operating Profit Margin of 40.21% is exceptionally high, placing it well above the typical range for the Ground Transportation industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

CAT vs. UNP: A comparison of their Operating Profit Margin (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Profitability at a Glance

SymbolCATUNP
Return on Equity (TTM)47.57%40.38%
Return on Assets (TTM)9.97%10.43%
Net Profit Margin (TTM)13.33%29.20%
Operating Profit Margin (TTM)16.48%40.21%
Gross Profit Margin (TTM)33.84%79.36%

Financial Strength

Current Ratio (MRQ)

CAT

1.35

Machinery Industry
Max
4.85
Q3
2.98
Median
2.21
Q1
1.55
Min
0.71

CAT’s Current Ratio of 1.35 falls into the lower quartile for the Machinery industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

UNP

0.92

Ground Transportation Industry
Max
2.08
Q3
1.47
Median
0.95
Q1
0.73
Min
0.37

UNP’s Current Ratio of 0.92 aligns with the median group of the Ground Transportation industry, indicating that its short-term liquidity is in line with its sector peers.

CAT vs. UNP: A comparison of their Current Ratio (MRQ) against their respective Machinery and Ground Transportation industry benchmarks.

Debt-to-Equity Ratio (MRQ)

CAT

2.31

Machinery Industry
Max
1.24
Q3
0.76
Median
0.57
Q1
0.26
Min
0.00

With a Debt-to-Equity Ratio of 2.31, 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.

UNP

1.58

Ground Transportation Industry
Max
2.69
Q3
1.24
Median
0.61
Q1
0.27
Min
0.00

UNP’s leverage is in the upper quartile of the Ground Transportation industry, with a Debt-to-Equity Ratio of 1.58. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

CAT vs. UNP: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Machinery and Ground Transportation industry benchmarks.

Interest Coverage Ratio (TTM)

CAT

8.29

Machinery Industry
Max
28.00
Q3
16.10
Median
7.15
Q1
3.91
Min
-9.44

CAT’s Interest Coverage Ratio of 8.29 is positioned comfortably within the norm for the Machinery industry, indicating a standard and healthy capacity to cover its interest payments.

UNP

8.00

Ground Transportation Industry
Max
21.71
Q3
11.50
Median
4.76
Q1
1.32
Min
-3.80

UNP’s Interest Coverage Ratio of 8.00 is positioned comfortably within the norm for the Ground Transportation industry, indicating a standard and healthy capacity to cover its interest payments.

CAT vs. UNP: A comparison of their Interest Coverage Ratio (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Financial Strength at a Glance

SymbolCATUNP
Current Ratio (MRQ)1.350.92
Quick Ratio (MRQ)0.720.73
Debt-to-Equity Ratio (MRQ)2.311.58
Interest Coverage Ratio (TTM)8.298.00

Growth

Revenue Growth

CAT vs. UNP: A comparison of their Revenue Growth across different time periods.

Revenue Growth at a Glance

SymbolCATUNP
Revenue Growth (MRQ vs Prior YoY)22.22%3.15%
Revenue Growth (TTM vs Prior YoY)11.85%1.87%
3-Year Revenue CAGR4.38%-0.49%
5-Year Revenue CAGR10.12%4.64%

EPS Growth

CAT vs. UNP: A comparison of their EPS Growth across different time periods.

EPS Growth at a Glance

SymbolCATUNP
EPS Growth (MRQ vs Prior YoY)30.35%6.08%
EPS Growth (TTM vs Prior YoY)-2.06%9.44%
3-Year EPS CAGR14.16%2.22%
5-Year EPS CAGR28.05%8.75%

Dividend

Dividend Yield (TTM)

CAT

0.66%

Machinery Industry
Max
3.47%
Q3
1.52%
Median
0.86%
Q1
0.16%
Min
0.00%

CAT’s Dividend Yield of 0.66% is consistent with its peers in the Machinery industry, providing a dividend return that is standard for its sector.

UNP

2.05%

Ground Transportation Industry
Max
2.36%
Q3
1.57%
Median
0.77%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.05%, UNP offers a more attractive income stream than most of its peers in the Ground Transportation industry, signaling a strong commitment to shareholder returns.

CAT vs. UNP: A comparison of their Dividend Yield (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Dividend Payout Ratio (TTM)

CAT

29.46%

Machinery Industry
Max
62.41%
Q3
36.41%
Median
22.19%
Q1
11.10%
Min
0.00%

CAT’s Dividend Payout Ratio of 29.46% is within the typical range for the Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

UNP

45.10%

Ground Transportation Industry
Max
112.14%
Q3
45.78%
Median
25.38%
Q1
0.00%
Min
0.00%

UNP’s Dividend Payout Ratio of 45.10% is within the typical range for the Ground Transportation industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

CAT vs. UNP: A comparison of their Dividend Payout Ratio (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Dividend at a Glance

SymbolCATUNP
Dividend Yield (TTM)0.66%2.05%
Dividend Payout Ratio (TTM)29.46%45.10%

Valuation

Price-to-Earnings Ratio (TTM)

CAT

44.61

Machinery Industry
Max
47.88
Q3
35.02
Median
26.76
Q1
20.55
Min
10.38

A P/E Ratio of 44.61 places CAT in the upper quartile for the Machinery industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

UNP

22.01

Ground Transportation Industry
Max
87.35
Q3
59.41
Median
39.15
Q1
25.56
Min
1.74

In the lower quartile for the Ground Transportation industry, UNP’s P/E Ratio of 22.01 suggests the stock may be undervalued compared to its peers, potentially presenting an attractive entry point for investors.

CAT vs. UNP: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Price-to-Sales Ratio (TTM)

CAT

5.95

Machinery Industry
Max
5.95
Q3
3.76
Median
2.88
Q1
1.41
Min
0.18

CAT’s P/S Ratio of 5.95 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.

UNP

6.43

Ground Transportation Industry
Max
7.59
Q3
4.50
Median
1.51
Q1
0.97
Min
0.22

UNP’s P/S Ratio of 6.43 is in the upper echelon for the Ground Transportation 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.

CAT vs. UNP: A comparison of their Price-to-Sales Ratio (TTM) against their respective Machinery and Ground Transportation industry benchmarks.

Price-to-Book Ratio (MRQ)

CAT

17.66

Machinery Industry
Max
7.73
Q3
4.43
Median
3.08
Q1
1.95
Min
0.61

At 17.66, 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.

UNP

7.42

Ground Transportation Industry
Max
12.34
Q3
6.11
Median
3.58
Q1
1.66
Min
1.20

UNP’s P/B Ratio of 7.42 is in the upper tier for the Ground Transportation industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

CAT vs. UNP: A comparison of their Price-to-Book Ratio (MRQ) against their respective Machinery and Ground Transportation industry benchmarks.

Valuation at a Glance

SymbolCATUNP
Price-to-Earnings Ratio (TTM)44.6122.01
Price-to-Sales Ratio (TTM)5.956.43
Price-to-Book Ratio (MRQ)17.667.42
Price-to-Free Cash Flow Ratio (TTM)53.2427.86