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CAT vs HEI

CAT
Caterpillar Inc.
NEUTRAL
Price
$735.35
Market Cap
$344.13B
Sector
Industrials
AI Confidence
90%
HEI
HEICO Corporation
NEUTRAL
Price
$266.12
Market Cap
$37.13B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
CAT
39.01
HEI
52.59
Forward P/E
CAT
26.48
HEI
41.9
P/B Ratio
CAT
16.05
HEI
8.24
P/S Ratio
CAT
5.09
HEI
8.01
EV/EBITDA
CAT
26.1
HEI
31.56

Profitability

Gross Margin
CAT
28.79%
HEI
39.62%
Operating Margin
CAT
16.02%
HEI
22.24%
Profit Margin
CAT
13.14%
HEI
15.38%
ROE
CAT
43.53%
HEI
16.57%
ROA
CAT
7.89%
HEI
7.85%

Growth

Revenue Growth
CAT
18.0%
HEI
14.4%
Earnings Growth
CAT
-11.4%
HEI
12.5%

Financial Health

Debt/Equity
CAT
2.07
HEI
0.5
Current Ratio
CAT
1.44
HEI
3.06
Quick Ratio
CAT
0.87
HEI
1.27

Dividends

Dividend Yield
CAT
0.85%
HEI
0.09%
Payout Ratio
CAT
31.05%
HEI
4.75%

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
HEI NEUTRAL

HEI demonstrates strong fundamental health with a Piotroski F-Score of 7/9 and exceptional liquidity (Current Ratio 3.06). However, the stock is severely overvalued by deterministic standards, trading significantly above its Graham Number ($60.64) and Intrinsic Value ($130.29). While the company maintains a stellar track record of earnings beats and steady growth, the current technical trend is bearish (0/100) and the PEG ratio of 2.46 indicates a steep premium. The disconnect between fundamental value and market price suggests a high-quality company at an unattractive entry point.

Strengths
Strong Piotroski F-Score (7/9) indicating robust financial health
Exceptional liquidity with a Current Ratio of 3.06
Consistent history of earnings beats over 25 quarters
Risks
Extreme valuation premium (P/E of 52.59 and P/B of 8.24)
Bearish short-term technical trend (0/100 score)
High PEG ratio (2.46) suggesting price is outstripping growth

Compare Another Pair

CAT vs HEI: Head-to-Head Comparison

This page compares Caterpillar Inc. (CAT) and HEICO Corporation (HEI) 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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