CAT
Caterpillar Inc.
CAT has slightly lower modeled downside risk, despite its lower overall score.
OTIS
Otis Worldwide Corporation
OTIS has a slight 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.
OTIS Fundamentals
| Metric | Status |
|---|---|
| Stable | |
| Healthy | |
| Healthy | |
| Stable |
OTIS's profitability and cash flow are currently healthy, and its revenue and balance sheet are 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.
OTIS PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 18x | $77.14 | — |
| Current | 19x | $77.14 | — |
| Cheap | 23x | $94.13 | +22% |
| Fair | 27x | $107 | +39% |
| Expensive | 30x | $122 | +58% |
Historical ranges are pointers, not guarantees.
OTIS 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 | |
| Strongly improving | |
| Moderate | |
| Low |
CAT has the edge over OTIS on the outlook, with more favorable revenue expectations.
OTIS Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Growth | |
| Stable | |
| Improving | |
| Limited | |
| High |
Analysts expect OTIS's earnings to grow and its profitability to improve, with its revenue holding steady.
CAT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $30.32 | +19% |
| 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.
OTIS Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $4.37 | +8.7% |
| Q3 2026 | $4.02 | +18% |
| Q2 2026 | $3.89 | +2.6% |
| Q1 2026 | $3.76 | -1.6% |
| Q4 2025 | $3.50 | -14% |
| Q3 2025 | $3.40 | -15% |
| Q2 2025 | $3.79 | +5.9% |
| Q1 2025 | $3.82 | +10% |
| Q4 2024 | $4.07 | +20% |
OTIS 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 OTIS on profitability, with a higher operating margin.
OTIS Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $3.9B | +6.1% |
| Q2 2026 | $3.9B | +7.3% |
| Q1 2026 | $3.6B | +6.4% |
| Q4 2025 | $3.8B | +3.3% |
| Q3 2025 | $3.7B | +4% |
| Q2 2025 | $3.6B | -0.2% |
| Q1 2025 | $3.4B | -2.5% |
| Q4 2024 | $3.7B | +1.5% |
OTIS's revenue has grown year over year for five quarters in a row: $3.9B last quarter, up 6.1% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 16% | 0 points |
| Q2 2026 | 15% | -0.3 points |
| Q1 2026 | 15% | +2.8 points |
| Q4 2025 | 16% | +1.1 points |
| Q3 2025 | 16% | +5.7 points |
| Q2 2025 | 15% | -0.6 points |
| Q1 2025 | 12% | -3.6 points |
| Q4 2024 | 14% | 0 points |
OTIS's operating margin was 16% last quarter, about level with 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.
OTIS Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $298M | -12% |
| Q2 2026 | $223M | +25% |
| Q1 2026 | $380M | +144% |
| Q4 2025 | $772M | +19% |
| Q3 2025 | $337M | -6.9% |
| Q2 2025 | $179M | -37% |
| Q1 2025 | $156M | +11% |
| Q4 2024 | $651M | +17% |
OTIS 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 461M diluted shares, down 2.1% from a year ago, with $8.1B in buybacks over the past year.
| 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.
OTIS Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.4% | -1.6M shares |
| 1 year | -2.8% | -10.9M shares |
| 3 years | -7.7% | -31.8M shares |
| 5 years | -11% | -48.7M shares |
| Available history | -12% | -51.2M shares |
OTIS has the edge over CAT on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | — |
| Q2 2026 | $407M |
| Q1 2026 | $400M |
| Q4 2025 | — |
| Q3 2025 | $248M |
| Q2 2025 | $308M |
| Q1 2025 | $253M |
| Q4 2024 | $207M |
OTIS spent $807M buying back its own shares over the past year, down 21% 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 OTIS on leverage, with a lower net debt burden relative to earnings.
OTIS Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 3.0x | Moderate |
| Q2 2026 | 3.1x | Elevated |
| Q1 2026 | 2.9x | Moderate |
| Q4 2025 | 3.0x | Moderate |
| Q3 2025 | 3.2x | Elevated |
| Q2 2025 | 3.5x | Elevated |
| Q1 2025 | 3.2x | Elevated |
| Q4 2024 | 2.8x | Moderate |
OTIS's net debt is about 3.0 years of its operating earnings (EBITDA), down from 3.2 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).
OTIS Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 56.8 | Neutral |
| Stochastic | 86.8 | Overbought |
OTIS's weekly RSI is 57 (neutral) and its Stochastic is 87 (overbought).
CAT PE vs Industrials Sector
| Metric | CAT | Sector median | Relative |
|---|---|---|---|
| PE | 24x | 24x | 1.3% below |
| PE % | 69 | 58 | 11 pts above |
CAT is trading at 24x earnings, in line with the Industrials sector's median of 24x.
OTIS PE vs Industrials Sector
| Metric | OTIS | Sector median | Relative |
|---|---|---|---|
| PE | 19x | 24x | 20% below |
| PE % | 6 | 57 | 51 pts below |
OTIS has the edge over CAT on valuation relative to its sector.
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.
OTIS Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $71.8 | 7.5% above |
| 20 week MA | $71.8 | 7.4% above |
| 50 week MA | $77.9 | 1% below |
| 100 week MA | $86.0 | 10% below |
| 200 week MA | $88.1 | 12% below |
OTIS has bounced recently, but its long-term trend is still down: it's above its 8- and 20-week averages, but 12% below its 200-week average.
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 the edge over OTIS on returns for 2026, with the stronger performance.
OTIS Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $45.0 | $65.8 | +46% |
| 2021 | $65.8 | $85.3 | +30% |
| 2022 | $85.3 | $78.4 | -8.1% |
| 2023 | $78.4 | $89.5 | +14% |
| 2024 | $89.5 | $93.5 | +4.5% |
| 2025 | $93.5 | $87.6 | -6.3% |
| 2026 YTD | $87.6 | $77.1 | -12% |
OTIS has finished higher in four of the last six years. It's down 12% so far in 2026.