Estimating The Intrinsic Value Of Caterpillar Inc. (NYSE:CAT)
Jun 24
U.S. Machinery Industry Analysis
UpdatedJun 25, 2024
DataAggregated Company Financials
Companies168
- 7D0.3%
- 3M-8.8%
- 1Y10.1%
- YTD1.8%
Over the last 7 days, the Machinery industry has remained flat, although notably Cummins gained 3.4%. As for the the longer term, the industry is up 10% over the past 12 months. Looking forward, earnings are forecast to grow by 9.5% annually.
Industry Valuation and Performance
Has the U.S. Machinery Industry valuation changed over the past few years?
| Date | Market Cap | Revenue | Earnings | PE | Absolute PE | PS |
|---|---|---|---|---|---|---|
| Wed, 26 Jun 2024 | US$965.6b | US$476.9b | US$52.5b | 21.3x | 18.4x | 2x |
| Fri, 24 May 2024 | US$1.0t | US$477.3b | US$51.3b | 21.8x | 20x | 2.2x |
| Sun, 21 Apr 2024 | US$1.0t | US$478.1b | US$48.2b | 23x | 21x | 2.1x |
| Tue, 19 Mar 2024 | US$1.0t | US$476.8b | US$48.0b | 23.1x | 21.4x | 2.2x |
| Thu, 15 Feb 2024 | US$963.9b | US$476.7b | US$47.3b | 22.9x | 20.4x | 2x |
| Sat, 13 Jan 2024 | US$940.0b | US$485.5b | US$47.8b | 22.2x | 19.7x | 1.9x |
| Mon, 11 Dec 2023 | US$878.3b | US$483.9b | US$47.8b | 21.5x | 18.4x | 1.8x |
| Wed, 08 Nov 2023 | US$845.8b | US$484.2b | US$46.9b | 19.4x | 18x | 1.7x |
| Fri, 06 Oct 2023 | US$857.0b | US$475.1b | US$44.4b | 19.5x | 19.3x | 1.8x |
| Sun, 03 Sep 2023 | US$935.5b | US$475.1b | US$44.5b | 20.8x | 21x | 2x |
| Tue, 01 Aug 2023 | US$951.2b | US$465.5b | US$41.3b | 20.9x | 23.1x | 2x |
| Thu, 29 Jun 2023 | US$889.8b | US$460.9b | US$40.5b | 20.2x | 22x | 1.9x |
| Sat, 27 May 2023 | US$802.3b | US$460.8b | US$40.4b | 18x | 19.8x | 1.7x |
| Mon, 24 Apr 2023 | US$822.7b | US$444.7b | US$38.3b | 20x | 21.5x | 1.9x |
| Wed, 22 Mar 2023 | US$822.8b | US$442.9b | US$38.1b | 21.8x | 21.6x | 1.9x |
| Fri, 17 Feb 2023 | US$868.6b | US$438.3b | US$37.1b | 23.2x | 23.4x | 2x |
| Sun, 15 Jan 2023 | US$867.6b | US$439.6b | US$36.4b | 23.6x | 23.8x | 2x |
| Tue, 13 Dec 2022 | US$830.0b | US$439.7b | US$35.8b | 20.8x | 23.2x | 1.9x |
| Thu, 10 Nov 2022 | US$787.3b | US$434.5b | US$36.2b | 20x | 21.7x | 1.8x |
| Sat, 08 Oct 2022 | US$701.5b | US$422.4b | US$35.4b | 18.7x | 19.8x | 1.7x |
| Mon, 05 Sep 2022 | US$720.4b | US$421.8b | US$35.4b | 19.7x | 20.3x | 1.7x |
| Wed, 03 Aug 2022 | US$745.6b | US$415.3b | US$35.4b | 22.2x | 21.1x | 1.8x |
| Fri, 01 Jul 2022 | US$672.8b | US$410.3b | US$35.3b | 20.2x | 19x | 1.6x |
| Sun, 29 May 2022 | US$763.0b | US$409.8b | US$35.6b | 21.9x | 21.5x | 1.9x |
| Tue, 26 Apr 2022 | US$788.2b | US$402.0b | US$36.3b | 22.5x | 21.7x | 2x |
| Thu, 24 Mar 2022 | US$833.5b | US$402.5b | US$36.1b | 25.8x | 23.1x | 2.1x |
| Sat, 19 Feb 2022 | US$815.0b | US$401.9b | US$36.9b | 27.3x | 22.1x | 2x |
| Mon, 17 Jan 2022 | US$901.1b | US$397.3b | US$36.3b | 29.3x | 24.8x | 2.3x |
| Wed, 15 Dec 2021 | US$875.7b | US$397.0b | US$36.2b | 29.5x | 24.2x | 2.2x |
| Fri, 12 Nov 2021 | US$905.8b | US$395.3b | US$35.6b | 30x | 25.4x | 2.3x |
| Sun, 10 Oct 2021 | US$842.6b | US$384.2b | US$32.6b | 29.4x | 25.9x | 2.2x |
| Tue, 07 Sep 2021 | US$884.3b | US$387.7b | US$32.7b | 30.2x | 27x | 2.3x |
| Thu, 05 Aug 2021 | US$884.4b | US$384.7b | US$31.5b | 29.3x | 28x | 2.3x |
Price to Earnings Ratio
28.7x
Current Industry PE
- Investors are pessimistic on the American Machinery industry, indicating that they anticipate long term growth rates will be lower than they have historically.
- The industry is trading at a PE ratio of 18.4x which is lower than its 3-year average PE of 22.2x.
- The industry is trading close to its 3-year average PS ratio of 2.0x.
Past Earnings Growth
- The earnings for companies in the Machinery industry have grown 20% per year over the last three years.
- Revenues for these companies have grown 8.1% per year.
- This means that more sales are being generated by these companies overall, and subsequently their profits are increasing too.
Industry Trends
Which industries have driven the changes within the U.S. Industrials industry?
| US Market | -0.48% | |
| Industrials | 0.58% | |
| Machinery | 0.29% | |
| Industrial Machinery | 0.73% | |
| Construction Machinery and Vehicles | 0.018% | |
| Agricultural Machinery | -0.63% | |
Industry PE
- Investors are most optimistic about the Industrial Machinery industry, which is trading close to its 3-year average PE ratio of 29.1x.
- Analysts are expecting annual earnings growth of 17.5%, which is higher than its past year's earnings growth of 11.7% per year.
- Investors are most pessimistic about the Agricultural Machinery industry, which is trading below its 3-year average of 15.7x.
Forecasted Growth
- Analysts are most optimistic on the Industrial Machinery industry, expecting annual earnings growth of 17% over the next 5 years.
- This is better than its past earnings growth rate of 12% per year.
- In contrast, the Agricultural Machinery industry is expected to see its earnings decline by 5.0% per year over the next few years.
Top Stock Gainers and Losers
Which companies have driven the market over the last 7 days?
| Company | Last Price | 7D | 1Y | Valuation | |
|---|---|---|---|---|---|
| CMI Cummins | US$283.12 | 3.4% +US$1.3b | 18.2% | PE20x | |
| CAT Caterpillar | US$327.40 | 0.7% +US$1.1b | 36.0% | PE14.2x | |
| MLI Mueller Industries | US$56.98 | 3.3% +US$204.5m | 32.3% | PE11.4x | |
| SPXC SPX Technologies | US$143.33 | 2.6% +US$169.3m | 72.3% | PE42.8x | |
| AIRJ Montana Technologies | US$11.60 | 14.9% +US$80.7m | 11.2% | PE-28.3x |
