CAT vs MA: Which Is the Better Buy?

Side-by-side comparison of Caterpillar Inc. and Mastercard Incorporated — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-17.
Caterpillar Inc. · Industrials
$940.12
-39.4% upside to fair value
Grade C High Quality
VS
Mastercard Incorporated · Financial Services
$543.60
+45.0% upside to fair value
High Conviction Grade A High Quality
QuantHub Verdict
MA has more upside to fair value (+45.0%). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric CAT MA
Current Price $940.12 $543.60
Fair Value Estimate $569.47 $788.22
Upside to Fair Value -39.4% +45.0%
Market Cap $433.1B $480.3B
Forward P/E 46.6x
EV / EBITDA 29.7x 23.3x
Price / Sales 6.1x 14.2x
Price / FCF 37.8x 27.1x
Revenue Growth YoY +22.2% +15.8%
Gross Margin 32.5% 83.0%
Operating Margin 16.6% 59.4%
Return on Equity 47.5% 206.1%
Dividend Yield 0% 0.62%
FCF Yield 2.64% 3.69%
Analyst Consensus Hold Strong 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…
MA — Mastercard Incorporated
Mastercard operates a global two-sided payments network that connects issuers, acquirers, merchants and cardholders, monetizing payment volumes and an expanding set of security, data, authentication and other value-added services. Business quality is high: the network benefits from powerful acceptance and scale effects, 83.0% gross margin, 59.4% operating margin, 45.9% net margin, 206.1% ROE, and…
Accumulation Zones
Metric CAT MA
Zone Low $427.10 $591.16
Zone High $484.05 $669.99
In Buy Zone? No Yes
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