CAT vs SBUX: Which Is the Better Buy?
Side-by-side comparison of Caterpillar Inc. and Starbucks Corporation โ fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-21.
Caterpillar Inc. ยท Industrials
$808.99
-2.2% upside to fair value
Med Conviction
Grade C
High Quality
VS
Starbucks Corporation ยท Consumer Cyclical
$96.67
+12.3% upside to fair value
Med Conviction
Grade C
QuantHub Verdict
SBUX has more upside to fair value
(+12.3%).
These are model outputs โ not personalized investment advice.
See all research โ
Valuation & Fundamentals
| Metric |
CAT |
SBUX |
| Current Price |
$808.99 |
$96.67 |
| Fair Value Estimate |
$790.88 |
$108.52 |
| Upside to Fair Value |
-2.2%
|
+12.3%
|
| Market Cap |
$372.6B |
$110.2B |
| Forward P/E |
โ
|
โ
|
| EV / EBITDA |
23.6x
|
22.0x
|
| Price / Sales |
5.0x
|
2.9x
|
| Price / FCF |
41.4x
|
30.4x
|
| Revenue Growth YoY |
+24.0%
|
-1.4%
|
| Gross Margin |
33.9%
|
31.7%
|
| Operating Margin |
17.5%
|
9.4%
|
| Return on Equity |
54.1%
|
-24.3%
|
| Dividend Yield |
0.76% |
2.57% |
| FCF Yield |
2.41%
|
3.29%
|
| 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%โฆ
Starbucks is the world's largest specialty coffee retailer, operating company-owned and licensed coffeehouses across North America, International, and Channel Development segments, with a brand that has historically supported premium pricing and global scale. The business quality is currently strained: revenue declined 1.4% year over year in the most recent quarter, TTM operating margin is 9.4%, โฆ
Accumulation Zones
| Metric |
CAT |
SBUX |
| Zone Low |
$593.16 |
$81.39 |
| Zone High |
$672.25 |
$92.24 |
| In Buy Zone? |
No
|
No
|