CAT
Caterpillar Inc.
CAT offers stronger modeled upside, but that advantage does not outweigh its weaker overall profile.
GRC
The Gorman-Rupp Company
GRC has the edge over CAT overall, supported by stronger valuation.
CAT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Strong | |
| Strong |
CAT's revenue, profitability, cash flow and balance sheet are all currently healthy.
GRC Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Strong | |
| Strong | |
| Healthy |
GRC's profitability, cash flow and balance sheet are currently healthy, and its revenue is stable.
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.
GRC PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 22x | $70.10 | — |
| Cheap | 24x | $67.89 | -3.2% |
| Current | 25x | $70.10 | — |
| Fair | 30x | $85.04 | +21% |
| Expensive | 38x | $106 | +51% |
Historical ranges are pointers, not guarantees.
GRC has the edge over CAT in the historical PE scenario, which offers more potential upside but is not a forecast.
CAT Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Growth | |
| Improving | |
| Moderate | |
| Low |
Analysts expect earnings and revenue growth for CAT, with profitability improving. However, they disagree widely on these estimates.
GRC Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Growth | |
| Strongly improving | |
| Limited | |
| High |
Analysts expect earnings and revenue growth for GRC, with profitability improving.
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 earned $25.48 per share over the past year, up 31% from the year before.
GRC Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $3.15 | +12% |
| Q3 2026 | $2.81 | +47% |
| Q2 2026 | $2.38 | +21% |
| Q1 2026 | $2.24 | +33% |
| Q4 2025 | $2.02 | +32% |
| Q3 2025 | $1.91 | +32% |
| Q2 2025 | $1.97 | +52% |
| Q1 2025 | $1.69 | +22% |
| Q4 2024 | $1.53 | +15% |
GRC has the edge over CAT on earnings, with more consistent year-over-year improvement.
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's revenue has grown year over year for five quarters in a row: $20.7B last quarter, up 17% from the same quarter a year ago.
| 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 GRC on profitability, with a higher operating margin.
GRC Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $193.3M | +12% |
| Q2 2026 | $186.1M | +3.9% |
| Q1 2026 | $176.6M | +7.7% |
| Q4 2025 | $166.6M | +2.4% |
| Q3 2025 | $172.8M | +2.8% |
| Q2 2025 | $179M | +5.6% |
| Q1 2025 | $163.9M | +2.9% |
| Q4 2024 | $162.7M | +1.3% |
GRC's revenue has grown year over year for nine quarters in a row: $193M last quarter, up 12% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 18% | +5.1 points |
| Q2 2026 | 16% | +1.3 points |
| Q1 2026 | 16% | +2.1 points |
| Q4 2025 | 15% | +2 points |
| Q3 2025 | 12% | -1.8 points |
| Q2 2025 | 15% | -0.3 points |
| Q1 2025 | 14% | +0.7 points |
| Q4 2024 | 13% | -0.6 points |
GRC's operating margin was 18% last quarter, up 5.1 points from the same quarter a year ago, near the top of its range since 2019.
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.
GRC Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $45.6M | +27% |
| Q2 2026 | $36.9M | +48% |
| Q1 2026 | $17.7M | -1.9% |
| Q4 2025 | $10.2M | +94% |
| Q3 2025 | $35.8M | +49% |
| Q2 2025 | $24.8M | +28% |
| Q1 2025 | $18.1M | +164% |
| Q4 2024 | $5.2M | -77% |
GRC 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 GRC 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.
GRC Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | 0% | +2.4K shares |
| 1 year | +0.4% | +97.4K shares |
| 3 years | +0.8% | +217K shares |
| 5 years | +1.1% | +284K shares |
| Available history | +1.1% | +283K shares |
GRC has 26M diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | — |
| Q2 2026 | — |
| Q1 2026 | $2.6M |
| Q4 2025 | — |
| Q3 2025 | — |
| Q2 2025 | $11,000 |
| Q1 2025 | $1.1M |
| Q4 2024 | — |
GRC spent $3M buying back its own shares over the past year, up 130% from the year before.
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 GRC on leverage, with a lower net debt burden relative to earnings.
GRC Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 1.4x | Healthy |
| Q2 2026 | 1.9x | Healthy |
| Q1 2026 | 2.2x | Moderate |
| Q4 2025 | 2.4x | Moderate |
| Q3 2025 | 2.5x | Moderate |
| Q2 2025 | 2.7x | Moderate |
| Q1 2025 | 2.9x | Moderate |
| Q4 2024 | 3.1x | Elevated |
GRC's net debt is about 1.4 years of its operating earnings (EBITDA), down from 2.5 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).
GRC Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 44.6 | Neutral |
| Stochastic | 12.1 | Oversold |
GRC's weekly RSI is 45 (neutral) and its Stochastic is 12 (oversold).
CAT PE vs Industrials Sector
| Metric | CAT | Sector median | Relative |
|---|---|---|---|
| PE | 24x | 24x | 1.1% below |
| PE % | 69 | 58 | 11 pts above |
CAT has the edge over GRC on valuation relative to its sector.
GRC PE vs Industrials Sector
| Metric | GRC | Sector median | Relative |
|---|---|---|---|
| PE | 25x | 24x | 3.8% above |
| PE % | 20 | 58 | 38 pts below |
GRC is trading at 25x earnings, in line with the Industrials sector's median of 24x.
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.
GRC Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $72.6 | 3.5% below |
| 20 week MA | $76.5 | 8.3% below |
| 50 week MA | $69.5 | 0.9% above |
| 100 week MA | $54.5 | 29% above |
| 200 week MA | $43.9 | 60% above |
GRC 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.
GRC Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $37.5 | $32.4 | -13% |
| 2021 | $32.4 | $44.3 | +37% |
| 2022 | $44.3 | $25.6 | -42% |
| 2023 | $25.6 | $35.5 | +39% |
| 2024 | $35.5 | $38.2 | +7.6% |
| 2025 | $38.2 | $49.4 | +29% |
| 2026 YTD | $49.4 | $70.1 | +42% |
GRC has the edge over CAT on returns for 2026, with the stronger performance.