CAT vs V: Which Is the Better Buy?
Side-by-side comparison of Caterpillar Inc. and Visa Inc. — fair value, conviction, valuation metrics, and QuantHub research signals.
Updated 2026-09-21.
Caterpillar Inc. · Industrials
$808.99
-2.2% upside to fair value
Med Conviction
Grade C
High Quality
VS
Visa Inc. · Financial Services
$368.29
+25.7% upside to fair value
Med Conviction
Grade B
High Quality
QuantHub Verdict
V has more upside to fair value
(+25.7%).
These are model outputs — not personalized investment advice.
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Valuation & Fundamentals
| Metric |
CAT |
V |
| Current Price |
$808.99 |
$368.29 |
| Fair Value Estimate |
$790.88 |
$463.00 |
| Upside to Fair Value |
-2.2%
|
+25.7%
|
| Market Cap |
$372.6B |
$687.6B |
| Forward P/E |
—
|
—
|
| EV / EBITDA |
23.6x
|
24.0x
|
| Price / Sales |
5.0x
|
15.5x
|
| Price / FCF |
41.4x
|
33.5x
|
| Revenue Growth YoY |
+24.0%
|
+14.4%
|
| Gross Margin |
33.9%
|
80.2%
|
| Operating Margin |
17.5%
|
60.7%
|
| Return on Equity |
54.1%
|
61.3%
|
| Dividend Yield |
0.76% |
0.73% |
| FCF Yield |
2.41%
|
2.98%
|
| Analyst Consensus |
Buy
|
Strong 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%…
Visa operates the world's largest retail payments network, connecting consumers, merchants, issuers, and acquirers through VisaNet, which authorizes, clears, and settles transactions across more than 200 countries. The business quality is exceptional: TTM gross margin of 80.2%, operating margin of 60.7%, net margin of 50.8%, and ROE of 61.3% reflect a two-sided network with powerful scale economi…
Accumulation Zones
| Metric |
CAT |
V |
| Zone Low |
$593.16 |
$347.25 |
| Zone High |
$672.25 |
$393.55 |
| In Buy Zone? |
No
|
Yes
|