BAC vs CAT: Which Is the Better Buy?
Side-by-side comparison of Bank of America Corporation and Caterpillar Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-22.
Bank of America Corporation · Financial Services
$57.96
+15.7% upside to fair value
Med Conviction
Grade B
VS
Caterpillar Inc. · Industrials
$808.99
-2.2% upside to fair value
Med Conviction
Grade C
High Quality
QuantHub Verdict
BAC has more upside to fair value
(+15.7%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
BAC |
CAT |
| Current Price |
$57.96 |
$808.99 |
| Fair Value Estimate |
$67.08 |
$790.88 |
| Upside to Fair Value |
+15.7%
|
-2.2%
|
| Market Cap |
$411.3B |
$372.6B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
24.4x
|
23.6x
|
| Price / Sales |
2.1x
|
5.0x
|
| Price / FCF |
4.4x
|
41.4x
|
| Revenue Growth YoY |
+5.8%
|
+24.0%
|
| Gross Margin |
59.3%
|
33.9%
|
| Operating Margin |
22.5%
|
17.5%
|
| Return on Equity |
11.1%
|
54.1%
|
| Dividend Yield |
2.0% |
0.76% |
| FCF Yield |
22.88%
|
2.41%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
Bank of America Corporation is a diversified U.S. money-center bank operating through Consumer Banking, Global Wealth & Investment Management, Global Banking, and Global Markets, serving roughly 67 million consumer and small business clients through about 4,200 retail financial centers and 16,000 ATMs as of the last detailed disclosure. The franchise quality is solid but not exceptional: TTM net …
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%…
Accumulation Zones
| Metric |
BAC |
CAT |
| Zone Low |
$50.31 |
$593.16 |
| Zone High |
$57.02 |
$672.25 |
| In Buy Zone? |
No
|
No
|