ABBV vs CAT: Which Is the Better Buy?
Side-by-side comparison of AbbVie Inc. and Caterpillar Inc. โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-21.
AbbVie Inc. ยท Healthcare
$261.70
-1.0% upside to fair value
Med Conviction
Grade C
High Quality
VS
Caterpillar Inc. ยท Industrials
$808.99
-2.2% upside to fair value
Med Conviction
Grade C
High Quality
QuantHub Verdict
ABBV has more upside to fair value
(-1.0%).
These are model outputs โ not personalized investment advice.
See all research โ
Valuation & Fundamentals
| Metric |
ABBV |
CAT |
| Current Price |
$261.70 |
$808.99 |
| Fair Value Estimate |
$259.04 |
$790.88 |
| Upside to Fair Value |
-1.0%
|
-2.2%
|
| Market Cap |
$462.4B |
$372.6B |
| Forward P/E |
โ
|
โ
|
| EV / EBITDA |
24.8x
|
23.6x
|
| Price / Sales |
7.2x
|
5.0x
|
| Price / FCF |
23.6x
|
41.4x
|
| Revenue Growth YoY |
+10.2%
|
+24.0%
|
| Gross Margin |
71.5%
|
33.9%
|
| Operating Margin |
29.3%
|
17.5%
|
| Return on Equity |
-136.5%
|
54.1%
|
| Dividend Yield |
2.61% |
0.76% |
| FCF Yield |
4.25%
|
2.41%
|
| Analyst Consensus |
Strong Buy
|
Buy
|
Investment Thesis
AbbVie is a diversified branded-biopharma company spanning immunology, neuroscience, oncology and aesthetics, with high-margin TTM economics including a 71.5% gross margin and 29.3% operating margin. Its successor immunology franchises are performing strongly: Q2 2026 revenue rose 10.2% year over year, with Skyrizi up 24.4% to $5.505 billion and Rinvoq up 24.5% to $2.525 billion, helping offset aโฆ
Caterpillar is the world's premier manufacturer of heavy construction and mining equipment, diesel and natural gas power units, and industrial gas turbines, organized across Construction Industries, Resource Industries, Energy & Transportation, and Financial Products, with 118,000 employees and a century-old brand. Business quality is high: return on equity of 54.1%, TTM operating margin of 17.5%โฆ
Accumulation Zones
| Metric |
ABBV |
CAT |
| Zone Low |
$194.28 |
$593.16 |
| Zone High |
$220.18 |
$672.25 |
| In Buy Zone? |
No
|
No
|