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CAT vs KE

CAT
Caterpillar Inc.
NEUTRAL
Price
$735.35
Market Cap
$344.13B
Sector
Industrials
AI Confidence
90%
KE
Kimball Electronics, Inc.
NEUTRAL
Price
$25.94
Market Cap
$631.3M
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
CAT
39.01
KE
26.74
Forward P/E
CAT
26.48
KE
17.53
P/B Ratio
CAT
16.05
KE
1.08
P/S Ratio
CAT
5.09
KE
0.43
EV/EBITDA
CAT
26.1
KE
7.3

Profitability

Gross Margin
CAT
28.79%
KE
7.8%
Operating Margin
CAT
16.02%
KE
3.83%
Profit Margin
CAT
13.14%
KE
1.65%
ROE
CAT
43.53%
KE
4.32%
ROA
CAT
7.89%
KE
3.63%

Growth

Revenue Growth
CAT
18.0%
KE
-4.5%
Earnings Growth
CAT
-11.4%
KE
7.1%

Financial Health

Debt/Equity
CAT
2.07
KE
0.3
Current Ratio
CAT
1.44
KE
2.21
Quick Ratio
CAT
0.87
KE
1.19

Dividends

Dividend Yield
CAT
0.85%
KE
--
Payout Ratio
CAT
31.05%
KE
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
KE NEUTRAL

Kimball Electronics (KE) presents a mixed profile with a stable Piotroski F-Score of 4/9 and a clean balance sheet, but it currently trades at a premium to its Graham Number ($22.85) and Intrinsic Value ($17.12). While the company has seen a massive 92.6% price increase over the last year, this is not supported by organic growth, as revenue growth is negative (-4.50%). The company's primary strength lies in its low debt-to-equity ratio (0.30) and strong liquidity, but extremely thin profit margins (1.65%) leave little room for operational error.

Strengths
Strong liquidity with a Current Ratio of 2.21
Conservative leverage with Debt/Equity at 0.30
Positive earnings growth (7.10% YoY) despite revenue declines
Risks
Extremely thin profit margins (1.65%) and gross margins (7.80%)
Negative YoY and Q/Q revenue growth (-4.50%)
Current price ($25.94) exceeds both Graham and Intrinsic value estimates

Compare Another Pair

CAT vs KE: Head-to-Head Comparison

This page compares Caterpillar Inc. (CAT) and Kimball Electronics, Inc. (KE) 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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