CAT vs ORCL: Which Is the Better Buy?
Side-by-side comparison of Caterpillar Inc. and Oracle Corporation — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-04-18.
Caterpillar Inc. · Industrials
$792.65
-8.8% upside to fair value
Grade D
VS
Oracle Corporation · Technology
$175.08
+24.7% upside to fair value
Grade B
QuantHub Verdict
ORCL has more upside to fair value
(+24.7%).
ORCL trades at a lower forward P/E
(30.8x).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
CAT |
ORCL |
| Current Price |
$792.65 |
$175.08 |
| Fair Value Estimate |
$723.13 |
$218.26 |
| Upside to Fair Value |
-8.8%
|
+24.7%
|
| Market Cap |
$370.9B |
$503.5B |
| Forward P/E |
41.7x
|
30.8x
|
| EV / EBITDA |
27.2x
|
21.4x
|
| Price / Sales |
5.5x
|
7.9x
|
| Price / FCF |
36.1x
|
-20.4x
|
| Revenue Growth YoY |
+8.5%
|
+7.0%
|
| Gross Margin |
32.3%
|
66.4%
|
| Operating Margin |
16.6%
|
30.8%
|
| Return on Equity |
45.1%
|
57.4%
|
| Dividend Yield |
0% |
0% |
| FCF Yield |
2.77%
|
—
|
| Analyst Consensus |
Buy
|
Strong Buy
|
Investment Thesis
Caterpillar Inc. is the world's leading manufacturer of construction and mining equipment, engines, and industrial machinery, with a strong global footprint and a record $67.6 billion in revenues for 2025. The company benefits from a durable competitive position supported by a broad product portfolio and a large installed base, but faces margin pressure from tariffs and cost inflation. Despite so…
Oracle Corporation is a leading technology company specializing in software infrastructure, with a dominant Cloud and License Business segment generating 85.8% of its $57.4 billion revenue in fiscal 2025. The company benefits from a durable competitive moat driven by decades of leadership continuity, aggressive M&A history, and a strong position in enterprise software and cloud services. Despite …
Accumulation Zones
| Metric |
CAT |
ORCL |
| Zone Low |
$542.35 |
$163.69 |
| Zone High |
$614.66 |
$185.52 |
| In Buy Zone? |
No
|
Yes
|