Explain this page
Arphra AIPlain-English read on Caterpillar Inc.’s valuationRatios & metrics
Profitability, returns on capital, growth, and credit — all derived from the historical income statement, balance sheet, and cash flow rows in our data warehouse.
Valuation multiples
Price- and EV-based multiples plus shareholder yields. Snapshot at each fiscal year-end from key_metrics (FMP).
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Headline | |||||||||
| Market cap | — | — | — | — | — | — | — | — | — |
| Enterprise value | — | — | — | — | — | — | — | — | — |
| Multiples | |||||||||
| P / E | — | — | — | — | — | — | — | — | — |
| P / B | — | — | — | — | — | — | — | — | — |
| EV / EBITDA | — | — | — | — | — | — | — | — | — |
| EV / Sales | — | — | — | — | — | — | — | — | — |
| EV / FCF | — | — | — | — | — | — | — | — | — |
| Yields | |||||||||
| Earnings yield | — | — | — | — | — | — | — | — | — |
| Free cash flow yield | — | — | — | — | — | — | — | — | — |
| Dividend yield | — | — | — | — | — | — | — | — | — |
Profitability
Margin structure across the last 5 fiscal years
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Margins | |||||||||
| Gross margin | +29.43% | +29.47% | +34.69% | +35.99% | +32.34% | +34.57% | +34.84% | +35.29% | +34.75% |
| Operating margin | +13.49% | +13.30% | +19.33% | +20.17% | +16.59% | +18.38% | +18.78% | +18.15% | +19.20% |
| EBITDA margin | +21.67% | +19.21% | +23.42% | +24.75% | +21.98% | +23.32% | +22.97% | +24.00% | +23.03% |
| EBIT margin | +17.05% | +15.47% | +20.22% | +21.42% | +18.63% | +20.24% | +20.61% | +19.51% | +20.46% |
| Pre-tax margin | +16.16% | +14.76% | +19.55% | +20.70% | +17.11% | +19.35% | +19.26% | +19.18% | +18.72% |
| Net margin | +12.73% | +11.28% | +15.41% | +16.65% | +13.13% | +14.88% | +15.29% | +15.39% | +14.93% |
| Cost structure | |||||||||
| Cost of revenue / sales | +70.57% | +70.53% | +65.31% | +64.01% | +67.66% | +66.01% | +66.62% | +64.09% | +66.16% |
| R&D intensity | +3.31% | +3.05% | +3.14% | +3.25% | +3.18% | +3.22% | +3.10% | +3.25% | +3.24% |
| SG&A intensity | +10.53% | +9.51% | +9.50% | +10.29% | +10.33% | +9.98% | +10.26% | +10.07% | +10.17% |
| Effective tax rate | +21.15% | +23.57% | +21.21% | +19.59% | +23.94% | +21.92% | +21.04% | +21.96% | +22.41% |
Returns on capital
ROE / ROA / ROC / ROIC over the relevant capital base, plus the 3-step DuPont decomposition of ROE.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Returns | |||||||||
| Return on equity (ROE) | +39.29% | +42.19% | +52.99% | +55.36% | +41.62% | +49.41% | +51.98% | +52.16% | +48.99% |
| Return on assets (ROA) | +7.84% | +8.18% | +11.81% | +12.30% | +9.00% | +10.90% | +11.33% | +11.43% | +11.07% |
| Return on capital (ROC) | +12.67% | +14.95% | +22.60% | +22.58% | +17.34% | +20.19% | +20.69% | +20.54% | +21.45% |
| Return on invested capital (ROIC) | +11.95% | +12.68% | +18.01% | +18.64% | +13.73% | +16.34% | +16.85% | +17.42% | +16.67% |
| Asset turnover | +61.56% | +72.52% | +76.66% | +73.84% | +68.56% | +73.30% | +74.06% | +74.26% | +74.15% |
| DuPont · ROE decomposition | |||||||||
| Net margin | +12.73% | +11.28% | +15.41% | +16.65% | +13.13% | +14.88% | +15.29% | +15.39% | +14.93% |
| Asset turnover (× revenue / assets) | +61.56% | +72.52% | +76.66% | +73.84% | +68.56% | +73.30% | +74.06% | +74.26% | +74.15% |
| Equity multiplier (× assets / equity) | +501.29% | +515.66% | +448.53% | +450.21% | +462.45% | +453.10% | +458.92% | +456.29% | +442.60% |
Activity & efficiency
Turnover ratios and days-outstanding — how efficiently the business converts assets and working capital into sales and cash.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Turnover | |||||||||
| Asset turnover | 0.62 | 0.73 | 0.77 | 0.74 | 0.69 | 0.73 | 0.74 | 0.74 | 0.74 |
| Fixed-asset turnover | 4.22 | 4.94 | 5.29 | 4.85 | 4.46 | — | — | — | — |
| Inventory turnover | 2.56 | 2.58 | 2.64 | 2.47 | 2.52 | — | — | — | — |
| Receivables turnover | 2.93 | 3.33 | 3.56 | 3.44 | 3.13 | — | — | — | — |
| Payables turnover | 4.41 | 4.82 | 5.54 | 5.41 | 5.10 | — | — | — | — |
| Days outstanding | |||||||||
| Days sales outstanding (DSO) | 124.42 | 109.75 | 102.44 | 106.15 | 116.48 | — | — | — | — |
| Days inventory outstanding (DIO) | 142.46 | 141.68 | 138.05 | 148.05 | 144.75 | — | — | — | — |
| Days payables outstanding (DPO) | 82.75 | 75.66 | 65.89 | 67.53 | 71.58 | — | — | — | — |
| Cash conversion cycle | 184.13 | 175.77 | 174.60 | 186.67 | 189.65 | — | — | — | — |
Cash flow quality
How well reported earnings translate into operating and free cash flow, plus reinvestment intensity.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Operating CF / Net income | 1.11 | 1.16 | 1.25 | 1.12 | 1.32 | 1.21 | 1.22 | 1.18 | 1.20 |
| FCF / Net income | 0.73 | 0.77 | 0.95 | 0.82 | 1.16 | 1.00 | 0.95 | 0.95 | 0.98 |
| FCF margin | +9.27% | +8.69% | +14.60% | +13.61% | +15.20% | +14.85% | +14.45% | +14.55% | +14.68% |
| OCF margin | +14.12% | +13.07% | +19.21% | +18.57% | +17.37% | +18.07% | +18.66% | +18.10% | +17.94% |
| CapEx / Revenue | +4.85% | +4.37% | +4.61% | +4.96% | +2.17% | +3.99% | +3.92% | +3.92% | +3.88% |
| CapEx / D&A | 1.05 | 1.17 | 1.44 | 1.49 | 0.65 | — | — | — | — |
| Stock-based comp / Revenue | +0.39% | +0.32% | +0.31% | +0.34% | +0.36% | — | — | — | — |
Per-share & shareholder yield
EPS, book value, sales, cash flow and dividends per share — plus payout / retention.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| EPS · diluted | 11.83 | 12.64 | 20.12 | 22.05 | 18.83 | 24.59 | 30.05 | 36.18 | 37.92 |
| EPS · basic | 11.93 | 12.73 | 20.24 | 22.17 | 18.90 | 24.85 | 29.84 | 36.01 | 38.65 |
| Book value / share | 30.11 | 29.96 | 37.97 | 39.83 | 45.45 | 48.98 | 53.45 | 58.89 | 61.93 |
| Tangible BV / share | 16.68 | 18.56 | 26.54 | 28.31 | 33.59 | 48.98 | 53.45 | 58.89 | 61.93 |
| Sales / share | 92.93 | 112.04 | 130.57 | 132.43 | 144.11 | 162.65 | 181.66 | 199.56 | 203.24 |
| Operating CF / share | 13.12 | 14.64 | 25.09 | 24.59 | 25.03 | 29.40 | 33.89 | 36.11 | 36.46 |
| Free cash flow / share | 8.62 | 9.74 | 19.07 | 18.02 | 21.91 | 24.16 | 26.26 | 29.04 | 29.84 |
| Dividends / share | 4.25 | 4.60 | 4.99 | 5.41 | 5.86 | 6.42 | 7.22 | 7.93 | 8.13 |
| Payout ratio | +35.94% | +36.39% | +24.80% | +24.52% | +30.98% | +26.55% | +25.98% | +25.81% | +26.81% |
| Retention ratio | +64.06% | +63.61% | +75.20% | +75.48% | +69.02% | +73.45% | +74.02% | +74.19% | +73.19% |
Growth
Year-over-year change for headline P&L lines, plus through-cycle CAGR
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E | 8y CAGR |
|---|---|---|---|---|---|---|---|---|---|---|
| Top-line | ||||||||||
| Revenue · YoY | — | +16.59% | +12.84% | -3.36% | +4.29% | +13.18% | +10.41% | +10.89% | +2.10% | +8.18% |
| Gross profit · YoY | — | +16.72% | +32.84% | +0.26% | -6.28% | +20.96% | +11.29% | +12.31% | +0.54% | +10.45% |
| Profit | ||||||||||
| Operating income · YoY | — | +14.92% | +64.04% | +0.82% | -14.24% | +25.45% | +12.80% | +7.13% | +8.03% | +13.06% |
| EBITDA · YoY | — | +3.35% | +37.59% | +2.12% | -7.38% | +20.11% | +8.72% | +15.88% | -2.01% | +9.01% |
| Net income · YoY | — | +3.33% | +54.14% | +4.42% | -17.78% | +28.27% | +13.48% | +11.63% | -0.99% | +10.36% |
| Operating | ||||||||||
| EBIT · YoY | — | +5.79% | +47.48% | +2.39% | -9.31% | +22.95% | +12.44% | +4.95% | +7.09% | +10.67% |
| R&D · YoY | — | +7.59% | +16.21% | -0.05% | +1.95% | +14.71% | +6.32% | +16.04% | +1.98% | +7.91% |
| Per-share | ||||||||||
| EPS · diluted · YoY | — | +6.85% | +59.18% | +9.59% | -14.60% | +30.58% | +22.23% | +20.38% | +4.82% | +15.67% |
| EPS · basic · YoY | — | +6.71% | +58.99% | +9.54% | -14.75% | +31.47% | +20.10% | +20.67% | +7.32% | +15.83% |
Credit & leverage
Balance-sheet health + interest coverage + liquidity. Coverage ratios use period-end debt and trailing interest expense.
ActualEstimate
| In USD | FY 2021 | FY 2022 | FY 2023 | FY 2024 | FY 2025 | 2026E | 2027E | 2028E | 2029E |
|---|---|---|---|---|---|---|---|---|---|
| Leverage | |||||||||
| Total debt | $37.79B | $36.99B | $37.88B | $38.41B | $43.33B | $46.62B | $51.82B | $55.11B | $56.47B |
| Net debt | $28.54B | $29.99B | $30.9B | $31.52B | $33.35B | $37.33B | $42.02B | $44.18B | $44.74B |
| Net debt / EBITDA | 2.58 | 2.63 | 1.97 | 1.97 | 2.25 | 2.09 | 2.17 | 1.97 | 2.03 |
| Debt / equity | 2.29 | 2.33 | 1.94 | 1.97 | 2.03 | 2.02 | 2.09 | 1.99 | 1.94 |
| Debt / assets | +45.64% | +45.14% | +43.30% | +43.76% | +43.95% | +44.67% | +45.44% | +43.70% | +43.79% |
| Equity / assets | +19.95% | +19.39% | +22.30% | +22.21% | +21.62% | +22.07% | +21.79% | +21.92% | +22.59% |
| Coverage | |||||||||
| EBITDA / interest expense | 22.77 | 25.77 | 30.73 | 31.32 | 14.42 | 23.27 | 21.75 | 22.90 | 22.46 |
| Operating income / interest | 14.18 | 17.84 | 25.37 | 25.53 | 10.88 | 18.34 | 17.79 | 17.31 | 18.72 |
| Interest expense | $485M | $443M | $511M | $512M | $1.03B | $766.61M | $891.82M | $981.71M | $980.88M |
| Liquidity | |||||||||
| Current ratio | 1.46 | 1.39 | 1.35 | 1.42 | 1.44 | — | — | — | — |
| Quick ratio | 0.89 | 0.79 | 0.74 | 0.80 | 0.86 | — | — | — | — |
| Cash ratio | 0.31 | 0.22 | 0.20 | 0.21 | 0.27 | — | — | — | — |
| Working capital | $13.61B | $12.25B | $12.22B | $13.41B | $15.93B | — | — | — | — |
| Working capital / revenue | +26.70% | +20.62% | +18.22% | +20.69% | +23.56% | — | — | — | — |
Methodology. ROE / ROA / ROC use period-end balance-sheet denominators (no average-of- period smoothing). ROIC = Operating Income × (1 − inferred effective tax rate) over invested capital, with the effective tax inferred from net-to-operating income when both are positive and a 25% default otherwise. Net debt / EBITDA, debt ratios, and interest-coverage ratios are calculated point-in-time at each fiscal year-end. TTM = trailing 4 quarters (income / cash flow summed, balance sheet = most-recent quarterly snapshot). Through-cycle CAGR in the Growth panel uses the geometric mean of first-to-last period growth across the window (positive values only).