CAT vs ISRG: Which Is the Better Buy?
Side-by-side comparison of Caterpillar Inc. and Intuitive Surgical, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-05-13.
Caterpillar Inc. · Industrials
$912.14
-47.9% upside to fair value
Grade D
High Quality
VS
Intuitive Surgical, Inc. · Healthcare
$451.29
+45.0% upside to fair value
Grade B
High Quality
QuantHub Verdict
ISRG has more upside to fair value
(+45.0%).
CAT trades at a lower forward P/E
(44.9x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
CAT |
ISRG |
| Current Price |
$912.14 |
$451.29 |
| Fair Value Estimate |
$475.00 |
$654.37 |
| Upside to Fair Value |
-47.9%
|
+45.0%
|
| Market Cap |
$420.2B |
$160.3B |
| Forward P/E |
44.9x
|
53.8x
|
| EV / EBITDA |
30.0x
|
40.5x
|
| Price / Sales |
5.9x
|
15.2x
|
| Price / FCF |
36.7x
|
64.3x
|
| Revenue Growth YoY |
+22.2%
|
+23.0%
|
| Gross Margin |
32.5%
|
66.3%
|
| Operating Margin |
16.6%
|
30.5%
|
| Return on Equity |
47.5%
|
17.0%
|
| Dividend Yield |
1.5% |
0% |
| FCF Yield |
2.73%
|
1.55%
|
| Analyst Consensus |
Hold
|
Strong Buy
|
Investment Thesis
Caterpillar is the world's leading manufacturer of construction and mining equipment, with diversified revenue across Construction Industries, Resource Industries, Energy & Transportation, and Cat Financial. Q1 2026 results reported April 30 showed revenue of $17.4 billion (+22.2% YoY) and EPS of $5.50 (+30.3% YoY), driven by powerful demand from data center build-outs (large engine and power gen…
Intuitive Surgical, Inc. is a leading healthcare company specializing in robotic-assisted surgery through its flagship da Vinci system, which has established a durable competitive moat with approximately 10,000 systems installed globally and nearly 17 million procedures performed by the end of 2024. The company benefits from a high-quality business model characterized by 85% recurring revenue, st…
Accumulation Zones
| Metric |
CAT |
ISRG |
| Zone Low |
$356.00 |
$490.78 |
| Zone High |
$404.00 |
$556.21 |
| In Buy Zone? |
No
|
Yes
|