CAT
Caterpillar Inc.
CAT has the edge over CODI overall, supported by lower modeled downside and stronger modeled upside.
CODI
Compass Diversified
CODI offers stronger valuation, but that advantage does not outweigh its weaker overall profile.
CAT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Strong | |
| Strong |
CAT's revenue, profitability, cash flow and balance sheet are all currently healthy.
CODI Fundamentals
| Metric | Status |
|---|---|
| Under pressure | |
| Stable | |
| Healthy | |
| Weak |
CODI's cash flow is currently healthy, and its profitability is stable, but its revenue and balance sheet are under pressure.
CAT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Cheap | 15x | $380 | -37% |
| Fair | 18x | $461 | -24% |
| Forward | 20x | $605 | — |
| Current | 24x | $605 | — |
| Expensive | 33x | $840 | +39% |
Historical ranges are pointers, not guarantees.
CAT's PE is in its expensive range at 24x. If earnings grow as analysts expect, today's price would be 20x next year's earnings, in its fair range.
CODI PE Valuation
CODI has no meaningful PE right now: it lost money over the past year. If it returns to profit as analysts expect, today's price would be 21x next year's earnings.
CAT Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Growth | |
| Improving | |
| Moderate | |
| Low |
CAT has the edge over CODI on the outlook, with more favorable revenue expectations.
CODI Forward outlook
| Metric | Outlook |
|---|---|
| -- | |
| Returning to profit | |
| Stable | |
| Strongly improving | |
| Limited | |
| Low |
Analysts expect CODI to return to profit, with revenue holding steady. However, they disagree widely on these estimates.
CAT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $29.73 | +17% |
| Q3 2026 | $25.48 | +31% |
| Q2 2026 | $23.23 | +18% |
| Q1 2026 | $20.08 | -2% |
| Q4 2025 | $18.81 | -15% |
| Q3 2025 | $19.46 | -9.7% |
| Q2 2025 | $19.64 | -10% |
| Q1 2025 | $20.50 | -7.4% |
| Q4 2024 | $22.05 | +9.6% |
CAT has the edge over CODI on earnings quality, reporting a profit while its opponent remains loss making.
CODI Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $0.57 | — |
| Q2 2026 | -$2.17 | -$0.04 |
| Q1 2026 | -$3.91 | -$2.21 |
| Q4 2023 | $2.31 | +$2.55 |
| Q3 2023 | $0.27 | +1250% |
| Q2 2023 | $0.39 | -68% |
| Q1 2023 | $0.91 | +40% |
CODI lost $2.17 per share over the past year, about the same as its loss the year before.
CAT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $20.7B | +17% |
| Q2 2026 | $20.5B | +24% |
| Q1 2026 | $17.4B | +22% |
| Q4 2025 | $19.1B | +18% |
| Q3 2025 | $17.6B | +9.5% |
| Q2 2025 | $16.6B | -0.7% |
| Q1 2025 | $14.2B | -9.8% |
| Q4 2024 | $16.2B | -5% |
CAT has the edge over CODI on sales, with more consistent year-over-year improvement.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 20% | +3.1 points |
| Q2 2026 | 21% | +3.6 points |
| Q1 2026 | 18% | -0.4 points |
| Q4 2025 | 14% | -4.1 points |
| Q3 2025 | 17% | -2.2 points |
| Q2 2025 | 17% | -3.6 points |
| Q1 2025 | 18% | -4.2 points |
| Q4 2024 | 18% | -0.3 points |
CAT has the edge over CODI on profitability, with a higher operating margin.
CODI Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $422.9M | -11% |
| Q2 2026 | $424M | -11% |
| Q1 2026 | $426.9M | -5.9% |
| Q4 2025 | $468.6M | -5.1% |
| Q3 2025 | $472.6M | -19% |
| Q2 2025 | $478.7M | -12% |
| Q1 2025 | $453.8M | -13% |
| Q4 2024 | $493.9M | -13% |
CODI's revenue has slid since its 2022 peak: $423M last quarter, down 11% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 7.5% | +9.9 points |
| Q2 2026 | 6.8% | +13 points |
| Q1 2026 | -0.5% | -1.2 points |
| Q4 2025 | 9.8% | +14 points |
| Q3 2025 | -2.3% | -14 points |
| Q2 2025 | -5.7% | -17 points |
| Q1 2025 | 0.8% | -6.6 points |
| Q4 2024 | -3.8% | -3.1 points |
CODI's operating margin was 7.5% last quarter, up 9.9 points from the same quarter a year ago.
CAT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $3.7B | +19% |
| Q2 2026 | $3.8B | +47% |
| Q1 2026 | $1.1B | +97% |
| Q4 2025 | $2.7B | +0.1% |
| Q3 2025 | $3.1B | -1.5% |
| Q2 2025 | $2.6B | -4.2% |
| Q1 2025 | $579M | -63% |
| Q4 2024 | $2.7B | -22% |
CAT generated $11.3B in free cash flow over the past year, up 26% from the year before.
CODI Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $44.9M | +9240% |
| Q2 2026 | $23.5M | +$69.5M |
| Q1 2026 | $18.8M | +$61.3M |
| Q4 2025 | $36.9M | +$75.8M |
| Q3 2025 | $481K | +$45.3M |
| Q2 2025 | -$46M | +$311K |
| Q1 2025 | -$42.4M | -$21.5M |
| Q4 2024 | -$39M | -533% |
CODI has the edge over CAT on cash flow, with more consistent year-over-year improvement.
CAT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.3% | -1.6M shares |
| 1 year | -2.1% | -9.9M shares |
| 3 years | -10% | -51.7M shares |
| 5 years | -16% | -86.7M shares |
| Available history | -19% | -107M shares |
CAT has the edge over CODI on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | $1.2B |
| Q2 2026 | $1.5B |
| Q1 2026 | $5B |
| Q4 2025 | $340M |
| Q3 2025 | $362M |
| Q2 2025 | $828M |
| Q1 2025 | $3.7B |
| Q4 2024 | $640M |
CAT spent $8.1B buying back its own shares over the past year, up 47% from the year before.
CODI Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | 0% | -- |
| 1 year | 0% | -- |
| 3 years | +4.6% | +3.3M shares |
| 5 years | +16% | +10.3M shares |
| Available history | +26% | +15.3M shares |
CODI has 75M diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q4 2024 | $9.6M |
| Q3 2024 | — |
| Q2 2024 | — |
| Q1 2024 | — |
| Q4 2023 | $2M |
| Q3 2023 | $1.5M |
| Q2 2023 | $1.9M |
| Q1 2023 | $4M |
CAT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | -0.5x | Net Cash |
| Q2 2026 | -0.4x | Net Cash |
| Q1 2026 | -0.3x | Net Cash |
| Q4 2025 | 2.0x | Healthy |
| Q3 2025 | -0.6x | Net Cash |
| Q2 2025 | -0.4x | Net Cash |
| Q1 2025 | -0.3x | Net Cash |
| Q4 2024 | 1.6x | Healthy |
CAT has the edge over CODI on leverage, with a lower net debt burden relative to earnings.
CODI Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 5.8x | High |
| Q2 2026 | 7.3x | High |
| Q1 2026 | 12.1x | High |
| Q4 2025 | 11.8x | High |
| Q3 2025 | 23.7x | High |
| Q2 2025 | 11.1x | High |
| Q1 2025 | 6.7x | High |
| Q4 2024 | 5.8x | High |
CODI's net debt is about 5.8 years of its operating earnings (EBITDA), down from more than 20 years a year ago.
CAT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 32.7 | Neutral |
| Stochastic | 6.7 | Oversold |
CAT's weekly RSI is 33 (neutral) and its Stochastic is 7 (oversold).
CODI Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 59.2 | Neutral |
| Stochastic | 47.1 | Neutral |
CODI's weekly RSI is 59 (neutral) and its Stochastic is 47 (neutral).
CAT PE vs Industrials Sector
| Metric | CAT | Sector median | Relative |
|---|---|---|---|
| PE | 24x | 24x | 1.1% below |
| PE % | 69 | 58 | 11 pts above |
CAT is trading at 24x earnings, in line with the Industrials sector's median of 24x.
CODI PE vs Industrials Sector
| Metric | CODI | Sector median | Relative |
|---|---|---|---|
| PE | N/A | 24x | — |
CODI has no meaningful PE right now: it lost money over the past year.
CAT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $709.0 | 15% below |
| 20 week MA | $797.0 | 24% below |
| 50 week MA | $771.3 | 22% below |
| 100 week MA | $586.7 | 3.2% above |
| 200 week MA | $443.1 | 37% above |
CAT has pulled back, but its long-term trend is still up: it's below its 8-, 20- and 50-week averages, but 37% above its 200-week average.
CODI Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $11.0 | 7.7% above |
| 20 week MA | $11.0 | 7.6% above |
| 50 week MA | $9.24 | 28% above |
| 100 week MA | $10.7 | 10% above |
| 200 week MA | $16.0 | 26% below |
CODI has the edge over CAT on trend strength, trading above more of its moving averages.
CAT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $148.3 | $179.6 | +21% |
| 2021 | $179.6 | $206.2 | +15% |
| 2022 | $206.2 | $239.9 | +16% |
| 2023 | $239.9 | $295.7 | +23% |
| 2024 | $295.7 | $364.9 | +23% |
| 2025 | $364.9 | $583.0 | +60% |
| 2026 YTD | $583.0 | $605.3 | +3.8% |
CAT has finished every year since 2020 higher, and it's up 3.8% so far in 2026.
CODI Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $24.9 | $19.6 | -21% |
| 2021 | $19.6 | $29.7 | +51% |
| 2022 | $29.7 | $18.0 | -39% |
| 2023 | $18.0 | $22.5 | +25% |
| 2024 | $22.5 | $23.1 | +2.9% |
| 2025 | $23.1 | $4.89 | -79% |
| 2026 YTD | $4.89 | $11.8 | +141% |
CODI has the edge over CAT on returns for 2026, with the stronger performance.