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CAT vs IR

CAT
Caterpillar Inc.
NEUTRAL
Price
$735.35
Market Cap
$344.13B
Sector
Industrials
AI Confidence
90%
IR
Ingersoll Rand Inc.
NEUTRAL
Price
$81.19
Market Cap
$31.77B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
CAT
39.01
IR
55.99
Forward P/E
CAT
26.48
IR
20.97
P/B Ratio
CAT
16.05
IR
3.15
P/S Ratio
CAT
5.09
IR
4.15
EV/EBITDA
CAT
26.1
IR
17.73

Profitability

Gross Margin
CAT
28.79%
IR
43.61%
Operating Margin
CAT
16.02%
IR
20.01%
Profit Margin
CAT
13.14%
IR
7.6%
ROE
CAT
43.53%
IR
5.77%
ROA
CAT
7.89%
IR
5.2%

Growth

Revenue Growth
CAT
18.0%
IR
10.1%
Earnings Growth
CAT
-11.4%
IR
18.4%

Financial Health

Debt/Equity
CAT
2.07
IR
0.51
Current Ratio
CAT
1.44
IR
2.06
Quick Ratio
CAT
0.87
IR
1.35

Dividends

Dividend Yield
CAT
0.85%
IR
0.1%
Payout Ratio
CAT
31.05%
IR
5.52%

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
IR NEUTRAL

Ingersoll Rand exhibits a stable financial health profile with a Piotroski F-Score of 4/9 and strong liquidity (Current Ratio 2.06). While the stock trades at a significant premium to its Graham Number ($29.01) and Intrinsic Value ($42.77), its PEG ratio of 0.78 and Forward P/E of 20.97 indicate that the market is pricing in aggressive future growth. However, the combination of bearish insider activity from the CEO and a 0/100 technical trend suggests significant short-term risk. The long-term outlook is supported by a stellar 25-quarter track record of earnings beats.

Strengths
Strong earnings growth of 18.40% YoY
Attractive PEG ratio (0.78) suggesting growth is not yet fully priced in
Robust liquidity with a Current Ratio of 2.06 and Quick Ratio of 1.35
Risks
Severe valuation gap between current price ($81.19) and Intrinsic Value ($42.77)
Bearish insider signal with significant CEO share liquidation ($13.79M)
Technical trend is currently 0/100 (Bearish)

Compare Another Pair

CAT vs IR: Head-to-Head Comparison

This page compares Caterpillar Inc. (CAT) and Ingersoll Rand Inc. (IR) 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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