CAT vs CEG: Which Is the Better Buy?

Side-by-side comparison of Caterpillar Inc. and Constellation Energy Corporation — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-08-06.
Caterpillar Inc. · Industrials
$940.12
-39.4% upside to fair value
Grade C High Quality
VS
Constellation Energy Corporation · Utilities
$265.12
+11.3% upside to fair value
Med Conviction Grade B-
QuantHub Verdict
CEG has more upside to fair value (+11.3%). CEG trades at a lower forward P/E (22.6x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric CAT CEG
Current Price $940.12 $265.12
Fair Value Estimate $569.47 $295.00
Upside to Fair Value -39.4% +11.3%
Market Cap $433.1B $95.2B
Forward P/E 46.6x 22.6x
EV / EBITDA 29.7x 12.6x
Price / Sales 6.1x 2.9x
Price / FCF 37.8x 196.2x
Revenue Growth YoY +22.2% +35.3%
Gross Margin 32.5% 44.6%
Operating Margin 16.6% 14.6%
Return on Equity 47.5% 11.1%
Dividend Yield 0% 0.64%
FCF Yield 2.64% 0.51%
Analyst Consensus Hold Buy
Investment Thesis
CAT — Caterpillar Inc.
Caterpillar Inc. is a leading global manufacturer of agricultural and construction machinery, operating within the Industrials sector. The company demonstrates high business quality with a durable competitive moat supported by strong brand recognition, cost advantages, and intangible assets. It posted robust revenue growth of 22.2% and earnings growth of 27.3% in the most recent quarter, reflecti…
CEG — Constellation Energy Corporation
Constellation Energy is the largest private-sector power producer in the world and the largest operator of nuclear plants in the United States, controlling roughly 32,400 megawatts of largely carbon-free generation before its January 2026 acquisition of Calpine added about 23 gigawatts of natural gas and geothermal capacity to create a nearly 60 gigawatt platform spanning nuclear, gas, wind, sola…
Accumulation Zones
Metric CAT CEG
Zone Low $427.10 $221.00
Zone High $484.05 $251.00
In Buy Zone? No No
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