CAT vs DE: Which Is the Better Buy?
Side-by-side comparison of Caterpillar Inc. and Deere & Company — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-23.
Caterpillar Inc. · Industrials
$808.99
-2.2% upside to fair value
Med Conviction
Grade C
High Quality
VS
Deere & Company · Industrials
$703.12
-12.2% upside to fair value
Med Conviction
Grade C
High Quality
QuantHub Verdict
CAT has more upside to fair value
(-2.2%).
These are model outputs — not personalized investment advice.
See all research →
Valuation & Fundamentals
| Metric |
CAT |
DE |
| Current Price |
$808.99 |
$703.12 |
| Fair Value Estimate |
$790.88 |
$616.99 |
| Upside to Fair Value |
-2.2%
|
-12.2%
|
| Market Cap |
$372.6B |
$189.8B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
23.6x
|
22.1x
|
| Price / Sales |
5.0x
|
4.0x
|
| Price / FCF |
41.4x
|
49.1x
|
| Revenue Growth YoY |
+24.0%
|
+7.0%
|
| Gross Margin |
33.9%
|
35.7%
|
| Operating Margin |
17.5%
|
19.0%
|
| Return on Equity |
54.1%
|
18.1%
|
| Dividend Yield |
0.76% |
0.92% |
| FCF Yield |
2.41%
|
2.04%
|
| 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%…
Deere & Company is a 1837-founded global manufacturer of agricultural, turf, and construction equipment organized across Production and Precision Agriculture, Small Agriculture and Turf, Construction and Forestry, and Financial Services, employing roughly 73,100 people under CEO John C. May. Business quality is high on franchise strength but currently strained by the large-agriculture cycle: TTM …
Accumulation Zones
| Metric |
CAT |
DE |
| Zone Low |
$593.16 |
$462.74 |
| Zone High |
$672.25 |
$524.44 |
| In Buy Zone? |
No
|
No
|