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CAT vs CPRT

CAT
Caterpillar Inc.
NEUTRAL
Price
$735.35
Market Cap
$344.13B
Sector
Industrials
AI Confidence
90%
CPRT
Copart, Inc.
BULLISH
Price
$41.08
Market Cap
$40.28B
Sector
Industrials
AI Confidence
88%

Valuation

P/E Ratio
CAT
39.01
CPRT
25.84
Forward P/E
CAT
26.48
CPRT
23.61
P/B Ratio
CAT
16.05
CPRT
4.33
P/S Ratio
CAT
5.09
CPRT
8.67
EV/EBITDA
CAT
26.1
CPRT
38.27

Profitability

Gross Margin
CAT
28.79%
CPRT
47.17%
Operating Margin
CAT
16.02%
CPRT
36.67%
Profit Margin
CAT
13.14%
CPRT
33.41%
ROE
CAT
43.53%
CPRT
18.48%
ROA
CAT
7.89%
CPRT
11.83%

Growth

Revenue Growth
CAT
18.0%
CPRT
5.2%
Earnings Growth
CAT
-11.4%
CPRT
24.2%

Financial Health

Debt/Equity
CAT
2.07
CPRT
0.01
Current Ratio
CAT
1.44
CPRT
8.42
Quick Ratio
CAT
0.87
CPRT
7.33

Dividends

Dividend Yield
CAT
0.85%
CPRT
--
Payout Ratio
CAT
31.05%
CPRT
0.0%

AI Verdict

CAT NEUTRAL

CAT shows neutral fundamentals based on deterministic rules. Financial strength is stable (F-Score 4/9). Mixed signals with both opportunities and risks present.

Strengths
Strong revenue growth of 18.0%
Strong ROE of 43.5%
Risks
High valuation with P/E of 39.0
Premium vs Graham Number ($139.4)
High debt burden with D/E of 2.07
CPRT BULLISH

Copart (CPRT) presents a compelling investment opportunity despite near-term price weakness, with strong profitability, robust earnings growth, and a favorable valuation relative to high-quality peers. The company's 33.4% profit margin and 36.7% operating margin are exceptional in the Industrials sector, significantly outpacing sector averages. While 1-year returns are deeply negative (-28.4%), the stock trades below a $53.33 analyst target, implying ~30% upside, and exhibits accelerating earnings growth (24.2% YoY) amid disciplined capital structure. Notably, insider selling introduces caution, but strong fundamentals and sector-relative resilience support a bullish stance.

Strengths
Exceptional profitability: 33.41% net margin vs. sector avg 12.61%
Industry-leading operating efficiency: 36.67% operating margin, among the highest in Industrials
Strong ROE of 18.48% despite low leverage, indicating high asset productivity
Risks
Recent insider selling: $13.09M in sales by executives over last 6 months
Valuation remains elevated at 25.8x P/E despite premium profitability
Revenue growth lags peers at 5.2% YoY vs. sector avg 6.25%

Compare Another Pair

CAT vs CPRT: Head-to-Head Comparison

This page compares Caterpillar Inc. (CAT) and Copart, Inc. (CPRT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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