Caterpillar Inc. (CAT) receives a strong valuation score of 78 from InvestorsObserver analysis. Our proprietary scoring system considers the overall health of the company by looking at the stock's price, earnings, and growth rate to determine if it represents a good value. CAT holds a better value than 78% of stocks at its current price. Investors who are focused on long-term growth through buy-and-hold investing will find the Valuation Rank especially relevant when allocating their assets.
CAT currently has a 12-month-forward-PE-to-Growth (PEG) ratio of 1.35. The market is currently overvaluing CAT in relation to its projected growth due to the PEG ratio being above the fair market value of 1. CAT's PEG comes from its forward price to earnings ratio being divided by its growth rate. Because PEG ratios include more fundamentals of a company's overall health with additional focus on the future, they are one of the most used valuation metrics by analysts.
Should You Buy Caterpillar Inc. (CAT) Stock Wednesday?
CAT gets a 78 Valuation Rank today. Find out what this means to you and get the rest of the rankings on CAT!