CAT vs MU: Which Is the Better Buy?

Side-by-side comparison of Caterpillar Inc. and Micron Technology, Inc. — fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-08.
Caterpillar Inc. · Industrials
$940.12
-39.4% upside to fair value
Grade C High Quality
VS
Micron Technology, Inc. · Technology
$1,048.51
-45.0% upside to fair value
Grade C
QuantHub Verdict
CAT has more upside to fair value (-39.4%). MU trades at a lower forward P/E (23.4x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric CAT MU
Current Price $940.12 $1,048.51
Fair Value Estimate $569.47 $576.68
Upside to Fair Value -39.4% -45.0%
Market Cap $433.1B $1,182.4B
Forward P/E 46.6x 23.4x
EV / EBITDA 29.7x 25.9x
Price / Sales 6.1x 13.1x
Price / FCF 37.8x 25.8x
Revenue Growth YoY +22.2% +345.7%
Gross Margin 32.5% 72.6%
Operating Margin 16.6% 65.7%
Return on Equity 47.5% 70.5%
Dividend Yield 0% 0%
FCF Yield 2.64% 3.87%
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…
MU — Micron Technology, Inc.
Micron Technology is a leading semiconductor company specializing in DRAM and NAND memory products, with a strong focus on high-value memory for cloud and AI applications. The company benefits from scale, advanced process technology, and U.S.-based manufacturing, but its competitive moat is narrow and cyclical compared to peers like Samsung and SK Hynix. Micron's recent financial performance is e…
Accumulation Zones
Metric CAT MU
Zone Low $427.10 $432.51
Zone High $484.05 $490.18
In Buy Zone? No No
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