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 2026-07-08.
Caterpillar Inc. · Industrials
$940.12
-39.4% upside to fair value
Grade C High Quality
VS
Visa Inc. · Financial Services
$327.24
+27.8% upside to fair value
Grade A High Quality
QuantHub Verdict
V has more upside to fair value (+27.8%). V trades at a lower forward P/E (28.2x). These are model outputs — not personalized investment advice. See all research →
Valuation & Fundamentals
Metric CAT V
Current Price $940.12 $327.24
Fair Value Estimate $569.47 $418.15
Upside to Fair Value -39.4% +27.8%
Market Cap $433.1B $627.3B
Forward P/E 46.6x 28.2x
EV / EBITDA 29.7x 22.6x
Price / Sales 6.1x 14.6x
Price / FCF 37.8x 29.6x
Revenue Growth YoY +22.2% +17.1%
Gross Margin 32.5% 81.3%
Operating Margin 16.6% 61.1%
Return on Equity 47.5% 58.9%
Dividend Yield 0% 0%
FCF Yield 2.64% 3.38%
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…
V — Visa Inc.
Visa Inc. operates a global payments network that facilitates electronic funds transfers worldwide, primarily through credit and debit cards. The company benefits from a very strong and widening moat driven by its extensive global card network and acceptance infrastructure, supported by a shareholder-friendly capital allocation policy including high buybacks and dividends. Visa's business quality…
Accumulation Zones
Metric CAT V
Zone Low $427.10 $313.61
Zone High $484.05 $355.43
In Buy Zone? No Yes
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