CAT vs CRM: Which Is the Better Buy?
Side-by-side comparison of Caterpillar Inc. and Salesforce, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-22.
Caterpillar Inc. · Industrials
$808.99
-2.2% upside to fair value
Med Conviction
Grade C
High Quality
VS
Salesforce, Inc. · Technology
$236.42
+11.6% upside to fair value
Med Conviction
Grade B
High Quality
QuantHub Verdict
CRM has more upside to fair value
(+11.6%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
CAT |
CRM |
| Current Price |
$808.99 |
$236.42 |
| Fair Value Estimate |
$790.88 |
$263.88 |
| Upside to Fair Value |
-2.2%
|
+11.6%
|
| Market Cap |
$372.6B |
$193.6B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
23.6x
|
14.4x
|
| Price / Sales |
5.0x
|
4.4x
|
| Price / FCF |
41.4x
|
12.8x
|
| Revenue Growth YoY |
+24.0%
|
+10.8%
|
| Gross Margin |
33.9%
|
77.3%
|
| Operating Margin |
17.5%
|
21.4%
|
| Return on Equity |
54.1%
|
20.2%
|
| Dividend Yield |
0.76% |
0.73% |
| FCF Yield |
2.41%
|
7.82%
|
| Analyst Consensus |
Buy
|
Buy
|
Investment Thesis
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%…
Salesforce is the leading enterprise customer relationship management platform, spanning Sales, Service, Platform, Marketing, Commerce, Tableau, MuleSoft, and Slack under the Customer 360 umbrella, with 83,334 employees and a business that converts $53.65 of revenue per share into $18.48 of free cash flow per share. Business quality is high: TTM gross margin of 77.3%, TTM operating margin of 21.4…
Accumulation Zones
| Metric |
CAT |
CRM |
| Zone Low |
$593.16 |
$197.91 |
| Zone High |
$672.25 |
$224.30 |
| In Buy Zone? |
No
|
No
|