CAT Caterpillar PE ratio, current and historical analysis
- Stocks
- Industrials
- NYSE: CAT
- PE Ratio
As of May 15, 2025, the Caterpillar stock's PE ratio is 16.97. This takes into account the latest EPS of $20.61 and stock price of $349.81. The PE ratio marks an increase of 3.6% from its last 4 quarters average of 16.4.
CAT PE ratio history
The PE ratio of Caterpillar has averaged 39.99 over the last ten years. The current P/E ratio of 16.97 is 58% lower than the historical average. Looking back at the last ten years, CAT's PE ratio peaked in the Jun 2017 quarter at 597, when the price was $107.46 and the EPS was $0.18. The lowest point was in the Sep 2019 quarter, when it reached 11.85 with a price of $126.31 and an EPS of $10.66.
Caterpillar PE ratio by year
Maximum annual increase: 142.69% in 2020
Maximum annual decrease: -90.14% in 2018
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| 2024 | 16.36 | 11.98% | $362.76 | $22.17 |
| 2023 | 14.61 | -22.41% | $295.67 | $20.24 |
| 2022 | 18.83 | 8.66% | $239.56 | $12.72 |
| 2021 | 17.33 | -47.53% | $206.74 | $11.93 |
| 2020 | 33.03 | 142.69% | $182.02 | $5.51 |
| 2019 | 13.61 | 11.28% | $147.68 | $10.85 |
| 2018 | 12.23 | -90.14% | $127.07 | $10.39 |
| 2017 | 124.08 | N/A | $157.58 | $1.27 |
| 2016 | N/A | N/A | $92.74 | -$0.11 |
| 2015 | 16.07 | -30.31% | $67.96 | $4.23 |
| 2014 | 23.06 | 49.06% | $91.53 | $3.97 |
| 2013 | 15.47 | 50.34% | $90.81 | $5.87 |
| 2012 | 10.29 | -13.24% | $89.61 | $8.71 |
| 2011 | 11.86 | -45.8% | $90.6 | $7.64 |
| 2010 | 21.88 | -44.33% | $93.66 | $4.28 |
Caterpillar PE ratio by quarter (TTM)
| Year | PE ratio | PE change | Price | EPS |
|---|---|---|---|---|
| Mar 2025 | 16 | -2.2% | $329.8 | $20.61 |
| Dec 2024 | 16.36 | -9.36% | $362.76 | $22.17 |
| Sep 2024 | 18.05 | 19.54% | $391.12 | $21.67 |
| Jun 2024 | 15.1 | -8.26% | $333.1 | $22.06 |
| Mar 2024 | 16.46 | 12.66% | $366.43 | $22.26 |
| Dec 2023 | 14.61 | -5.07% | $295.67 | $20.24 |
| Sep 2023 | 15.39 | 0.98% | $273 | $17.74 |
| Jun 2023 | 15.24 | -9.45% | $246.05 | $16.15 |
| Mar 2023 | 16.83 | -10.62% | $228.84 | $13.6 |
| Dec 2022 | 18.83 | 58.9% | $239.56 | $12.72 |
| Sep 2022 | 11.85 | -16.61% | $164.08 | $13.85 |
| Jun 2022 | 14.21 | -23.4% | $178.76 | $12.58 |
| Mar 2022 | 18.55 | 7.04% | $222.82 | $12.01 |
| Dec 2021 | 17.33 | -14.8% | $206.74 | $11.93 |
| Sep 2021 | 20.34 | -24.75% | $191.97 | $9.44 |
CAT Price vs fair value
You can ether set your own Fair P/E multiple or use one of the automatically calculated Fair P/E multiples.
Fair P/E calculation
PE Ratio is an attempt to estimate a fair PE ratio of a stock based on its earnings and growth rate.
This formula is a modified version of the classic Graham-Dodd Formula (V= EPS x (8.5+2g)), originally developed by Benjamin Graham, to calculate the fair price of a stock based on its earnings and growth rate.
The formula we have created is an adaptation of this approach, designed to maintain a balance between simplicity and growth sensitivity.
It is calculated using the following formula:
IF g < 5: Fair PE = b
IF g >= 5: Fair PE = m × g
Here’s what each part of the formula means:
g: Growth is calculated as the average of the three-year average EPS growth rate and the one-year EPS growth rate (annually). This approach provides a balanced measure of growth by factoring in both the long-term growth trend and the most recent annual growth performance. If one of the growth metrics is not available, the remaining metric is used to determine growth. Growth is a key driver of a stock's value, and our formula directly connects growth to the Fair PE ratio.
m: This is the long term historical median PEG (Price/Earnings to Growth) ratio of the overall market. It serves as a benchmark, adjusting the Fair PE based on typical market conditions.
b: Base PE (static value set to 8). If the company's growth rate is less than 5, the Fair PE is set at a conservative baseline of 8. This is because declining companies generally deserve a lower PE ratio.
Fixed vs Dynamic
Fixed: The Fair PE ratio for all data points is calculated using a single, constant average EPS growth rate, determined based on the most recent period. This means that the same growth rate is applied to all historical data points. Dynamic: The Fair PE ratio for each historical data point is calculated using the trailing average EPS growth rate specific to that point in time. This means that for each data point, the corresponding trailing EPS growth rate is used, ensuring that the Fair PE ratio reflects the growth conditions that were relevant at that specific point in history.
CAT average PE ratio chart
Currently, CAT's PE ratio is higher than its 3-year average, but it is lower than its 5 and 10-year averages.
CAT PE vs peers
CAT's PE ratio stands lower than its peer stocks GE and DE, but it is higher than CMI's. Caterpillar is currently trading at a lower PE ratio (16.97) than its peers average of 34.16.
| Stock name | PE ratio | Market cap |
|---|---|---|
| CMI Cummins Inc | 16.45 | $45.94B |
| CAT Caterpillar Inc | 17.11 | $166.09B |
| DE Deere & Co | 23.45 | $144.35B |
| GE General Electric Co | 35.75 | $247.02B |
| ASTE Astec Industries Inc | 62.03 | $964.53M |
- Market
- Price
- Valuation
- Dividend
- Earnings
- Per share
- Balance sheet
- Liquidity
- Margins
- Efficiency
- Growth
- Market
- Price
- Valuation
- Dividend
- Earnings
- Per share
- Balance sheet
- Liquidity
- Margins
- Efficiency
- Growth
- Market
- Price
- Valuation
- Dividend
- Earnings
- Per share
- Balance sheet
- Liquidity
- Margins
- Efficiency
- Growth
Frequently asked questions
What is Caterpillar's PE ratio?
As of May 15, 2025, CAT stock has a price to earnings ratio of 16.97.
What is the 3-year average PE ratio for Caterpillar (CAT)?
As an average over the last 3 years, CAT stock has a PE ratio of 15.74.
What is the 5-year average PE ratio for Caterpillar (CAT)?
As an average over the last 5 years, CAT stock has a PE ratio of 19.16.
What is the highest PE ratio for CAT?
Over the last ten years, the quarterly PE ratio reached its highest level at 597 in the Jun 2017 quarter.
How does the current PE ratio for CAT compare to its historical average?
CAT's price to earnings ratio is currently 58% below its 10-year historical average.
How is CAT's PE ratio calculated (Caterpillar PE ratio formula)?
The P/E ratio is calculated by taking the latest stock price and dividing it by the EPS for the last 12 months. As of today (May 15, 2025), Caterpillar's share price is $349.81. The company's earnings per share for the trailing twelve months (TTM) ending Mar 2025 is $20.61. Therefore, Caterpillar's PE ratio for today is 16.97. PE RATIO(16.97) = STOCK PRICE($349.81) / TTM EPS($20.61)
All PE ratio stats are based on quarterly TTM periods, unless otherwise specified.