CAT vs. WCN: A Head-to-Head Stock Comparison
Updated onHere’s a clear look at CAT and WCN, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.
Company Profile
| Symbol | CAT | WCN |
|---|---|---|
| Company Name | Caterpillar Inc. | Waste Connections, Inc. |
| Country | United States | Canada |
| GICS Sector | Industrials | Industrials |
| GICS Industry | Machinery | Commercial Services & Supplies |
| Market Capitalization | 262.89 billion USD | 43.60 billion USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | May 22, 1998 |
| Security Type | Common Stock | Common Stock |
Historical Performance
This chart compares the performance of CAT and WCN 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.
Historical Performance at a Glance
| Symbol | CAT | WCN |
|---|---|---|
| 5-Day Price Return | -2.95% | 1.84% |
| 13-Week Price Return | 35.86% | -7.19% |
| 26-Week Price Return | 57.15% | -9.21% |
| 52-Week Price Return | 43.13% | -8.34% |
| Month-to-Date Return | -4.02% | 0.71% |
| Year-to-Date Return | 52.73% | -3.94% |
| 10-Day Avg. Volume | 2.54M | 0.34M |
| 3-Month Avg. Volume | 2.93M | 0.33M |
| 3-Month Volatility | 35.47% | 15.47% |
| Beta | 1.58 | 0.40 |
Profitability
Return on Equity (TTM)
CAT
48.25%
Machinery Industry
- Max
- 30.85%
- Q3
- 19.99%
- Median
- 12.37%
- Q1
- 8.44%
- Min
- -7.69%
CAT’s Return on Equity of 48.25% 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.
WCN
7.70%
Commercial Services & Supplies Industry
- Max
- 31.86%
- Q3
- 17.95%
- Median
- 10.20%
- Q1
- 6.64%
- Min
- -9.69%
WCN’s Return on Equity of 7.70% is on par with the norm for the Commercial Services & Supplies industry, indicating its profitability relative to shareholder equity is typical for the sector.
Net Profit Margin (TTM)
CAT
14.34%
Machinery Industry
- Max
- 19.28%
- Q3
- 10.99%
- Median
- 7.89%
- Q1
- 5.16%
- Min
- -1.46%
A Net Profit Margin of 14.34% places CAT in the upper quartile for the Machinery industry, signifying strong profitability and more effective cost management than most of its peers.
WCN
6.65%
Commercial Services & Supplies Industry
- Max
- 17.54%
- Q3
- 10.35%
- Median
- 5.85%
- Q1
- 3.23%
- Min
- -2.31%
WCN’s Net Profit Margin of 6.65% is aligned with the median group of its peers in the Commercial Services & Supplies industry. This indicates its ability to convert revenue into profit is typical for the sector.
Operating Profit Margin (TTM)
CAT
17.65%
Machinery Industry
- Max
- 27.20%
- Q3
- 15.91%
- Median
- 11.33%
- Q1
- 7.73%
- Min
- 0.23%
An Operating Profit Margin of 17.65% 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.
WCN
11.65%
Commercial Services & Supplies Industry
- Max
- 25.57%
- Q3
- 15.63%
- Median
- 8.06%
- Q1
- 4.76%
- Min
- -7.48%
WCN’s Operating Profit Margin of 11.65% is around the midpoint for the Commercial Services & Supplies industry, indicating that its efficiency in managing core business operations is typical for the sector.
Profitability at a Glance
| Symbol | CAT | WCN |
|---|---|---|
| Return on Equity (TTM) | 48.25% | 7.70% |
| Return on Assets (TTM) | 10.40% | 3.05% |
| Net Profit Margin (TTM) | 14.34% | 6.65% |
| Operating Profit Margin (TTM) | 17.65% | 11.65% |
| Gross Profit Margin (TTM) | 35.53% | 42.10% |
Financial Strength
Current Ratio (MRQ)
CAT
1.38
Machinery Industry
- Max
- 3.27
- Q3
- 2.16
- Median
- 1.75
- Q1
- 1.32
- Min
- 0.70
CAT’s Current Ratio of 1.38 aligns with the median group of the Machinery industry, indicating that its short-term liquidity is in line with its sector peers.
WCN
0.67
Commercial Services & Supplies Industry
- Max
- 3.94
- Q3
- 2.24
- Median
- 1.28
- Q1
- 0.91
- Min
- 0.58
WCN’s Current Ratio of 0.67 falls into the lower quartile for the Commercial Services & Supplies industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.
Debt-to-Equity Ratio (MRQ)
CAT
2.01
Machinery Industry
- Max
- 1.49
- Q3
- 0.75
- Median
- 0.45
- Q1
- 0.23
- Min
- 0.00
With a Debt-to-Equity Ratio of 2.01, 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.
WCN
1.07
Commercial Services & Supplies Industry
- Max
- 2.24
- Q3
- 1.11
- Median
- 0.73
- Q1
- 0.30
- Min
- 0.00
WCN’s Debt-to-Equity Ratio of 1.07 is typical for the Commercial Services & Supplies industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.
Interest Coverage Ratio (TTM)
CAT
12.53
Machinery Industry
- Max
- 67.55
- Q3
- 36.46
- Median
- 13.55
- Q1
- 7.73
- 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.
WCN
3.42
Commercial Services & Supplies Industry
- Max
- 24.70
- Q3
- 24.47
- Median
- 9.83
- Q1
- 3.74
- Min
- -10.97
In the lower quartile for the Commercial Services & Supplies industry, WCN’s Interest Coverage Ratio of 3.42 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.
Financial Strength at a Glance
| Symbol | CAT | WCN |
|---|---|---|
| Current Ratio (MRQ) | 1.38 | 0.67 |
| Quick Ratio (MRQ) | 0.78 | 0.57 |
| Debt-to-Equity Ratio (MRQ) | 2.01 | 1.07 |
| Interest Coverage Ratio (TTM) | 12.53 | 3.42 |
Growth
Revenue Growth
EPS Growth
Dividend
Dividend Yield (TTM)
CAT
1.04%
Machinery Industry
- Max
- 4.98%
- Q3
- 2.83%
- Median
- 1.89%
- Q1
- 1.17%
- Min
- 0.00%
CAT’s Dividend Yield of 1.04% is in the lower quartile for the Machinery industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
WCN
0.76%
Commercial Services & Supplies Industry
- Max
- 4.46%
- Q3
- 2.38%
- Median
- 1.70%
- Q1
- 0.89%
- Min
- 0.00%
WCN’s Dividend Yield of 0.76% is in the lower quartile for the Commercial Services & Supplies industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.
Dividend Payout Ratio (TTM)
CAT
29.36%
Machinery Industry
- Max
- 209.29%
- Q3
- 102.41%
- Median
- 62.34%
- Q1
- 29.36%
- Min
- 0.00%
CAT’s Dividend Payout Ratio of 29.36% is within the typical range for the Machinery industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
WCN
29.82%
Commercial Services & Supplies Industry
- Max
- 137.88%
- Q3
- 72.93%
- Median
- 50.54%
- Q1
- 29.39%
- Min
- 0.00%
WCN’s Dividend Payout Ratio of 29.82% is within the typical range for the Commercial Services & Supplies industry, suggesting a balanced approach between shareholder payouts and company reinvestment.
Dividend at a Glance
| Symbol | CAT | WCN |
|---|---|---|
| Dividend Yield (TTM) | 1.04% | 0.76% |
| Dividend Payout Ratio (TTM) | 29.36% | 29.82% |
Valuation
Price-to-Earnings Ratio (TTM)
CAT
28.18
Machinery Industry
- Max
- 46.28
- Q3
- 29.52
- Median
- 24.18
- Q1
- 16.92
- Min
- 7.99
CAT’s P/E Ratio of 28.18 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.
WCN
68.50
Commercial Services & Supplies Industry
- Max
- 57.06
- Q3
- 35.30
- Median
- 21.86
- Q1
- 16.24
- Min
- 6.18
At 68.50, WCN’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Commercial Services & Supplies industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.
Price-to-Sales Ratio (TTM)
CAT
4.04
Machinery Industry
- Max
- 5.25
- Q3
- 2.82
- Median
- 1.74
- Q1
- 0.99
- Min
- 0.27
CAT’s P/S Ratio of 4.04 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.
WCN
4.56
Commercial Services & Supplies Industry
- Max
- 6.55
- Q3
- 3.15
- Median
- 1.07
- Q1
- 0.68
- Min
- 0.06
WCN’s P/S Ratio of 4.56 is in the upper echelon for the Commercial Services & Supplies 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.
Price-to-Book Ratio (MRQ)
CAT
10.82
Machinery Industry
- Max
- 7.18
- Q3
- 4.18
- Median
- 2.71
- Q1
- 1.54
- Min
- 0.52
At 10.82, 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.
WCN
5.55
Commercial Services & Supplies Industry
- Max
- 6.18
- Q3
- 4.19
- Median
- 2.44
- Q1
- 1.61
- Min
- 0.40
WCN’s P/B Ratio of 5.55 is in the upper tier for the Commercial Services & Supplies 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.
Valuation at a Glance
| Symbol | CAT | WCN |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 28.18 | 68.50 |
| Price-to-Sales Ratio (TTM) | 4.04 | 4.56 |
| Price-to-Book Ratio (MRQ) | 10.82 | 5.55 |
| Price-to-Free Cash Flow Ratio (TTM) | 27.29 | 34.51 |