No connection

Search Results

CAT vs NOC

CAT
Caterpillar Inc.
NEUTRAL
Price
$735.35
Market Cap
$344.13B
Sector
Industrials
AI Confidence
90%
NOC
Northrop Grumman Corporation
NEUTRAL
Price
$656.98
Market Cap
$93.31B
Sector
Industrials
AI Confidence
85%

Valuation

P/E Ratio
CAT
39.01
NOC
22.6
Forward P/E
CAT
26.48
NOC
21.72
P/B Ratio
CAT
16.05
NOC
5.59
P/S Ratio
CAT
5.09
NOC
2.22
EV/EBITDA
CAT
26.1
NOC
15.65

Profitability

Gross Margin
CAT
28.79%
NOC
19.81%
Operating Margin
CAT
16.02%
NOC
16.53%
Profit Margin
CAT
13.14%
NOC
9.97%
ROE
CAT
43.53%
NOC
26.17%
ROA
CAT
7.89%
NOC
6.64%

Growth

Revenue Growth
CAT
18.0%
NOC
9.6%
Earnings Growth
CAT
-11.4%
NOC
15.2%

Financial Health

Debt/Equity
CAT
2.07
NOC
1.07
Current Ratio
CAT
1.44
NOC
1.1
Quick Ratio
CAT
0.87
NOC
0.95

Dividends

Dividend Yield
CAT
0.85%
NOC
1.39%
Payout Ratio
CAT
31.05%
NOC
30.91%

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
NOC NEUTRAL

Northrop Grumman exhibits a stable financial foundation with a Piotroski F-Score of 4/9 and strong profitability metrics, including an ROE of 26.17%. While the stock trades at a significant premium to its Graham Number ($277.28), it remains below its growth-based intrinsic value of $858.45. However, a very high PEG ratio of 5.05 and bearish insider activity suggest that the current price may be overextended relative to near-term growth. The outlook is balanced between strong aerospace demand and valuation headwinds.

Strengths
Strong Return on Equity (ROE) of 26.17%
Consistent earnings beat track record (3 of last 4 quarters)
Healthy dividend payout ratio (30.91%) ensuring sustainability
Risks
Extreme PEG ratio (5.05) indicating overvaluation relative to growth
Bearish insider sentiment with 10 sell transactions and 0 buys
Tight liquidity indicated by a Quick Ratio of 0.95

Compare Another Pair

CAT vs NOC: Head-to-Head Comparison

This page compares Caterpillar Inc. (CAT) and Northrop Grumman Corporation (NOC) 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.

Home
Terminal
AI Chat
Markets
Profile