Caterpillar (WBO:CAT) EBIT: €10,916 Mil (TTM As of Mar. 2026)


WBO:CAT Caterpillar Inc WBO:CAT
79 GF Score
Price €863.20
GF Value €351.43
Valuation Significantly Overvalued
! 6 Warning Signs
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What is Caterpillar EBIT?

Caterpillar WBO:CAT -2.79% 79 EBIT is €10,916 Mil as of Mar. 2026. GuruFocus rates WBO:CAT with a GF Score™ of 79/100 and a GF Value™ of €351.43 (Significantly Overvalued). The stock has 6 warning signs investors should review.

Caterpillar's earnings before interest and taxes (EBIT) for the three months ended in Mar. 2026 was €2,893 Mil. Its earnings before interest and taxes (EBIT) for the trailing twelve months (TTM) ended in Mar. 2026 was €10,916 Mil.

EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition. Caterpillar's annualized ROC % for the quarter that ended in Mar. 2026 was 13.48%. Caterpillar's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 38.47%.

EBIT is also linked to Joel Greenblatt's definition of earnings yield. Caterpillar's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 2.53%.


Caterpillar  (WBO:CAT) EBIT Explanation

1. EBIT or Operating Income is linked to Return on Capital for both regular definition and Joel Greenblatt's definition.

Caterpillar's annualized ROC % for the quarter that ended in Mar. 2026 is calculated as:

ROC % (Q: Mar. 2026 )
=NOPAT/Average Invested Capital
=Operating Income * ( 1 - Tax Rate % )/( (Invested Capital (Q: Dec. 2025 ) + Invested Capital (Q: Mar. 2026 ))/ count )
=10674.1 * ( 1 - 20.87% )/( (60457.222 + 64830.885)/ 2 )
=8446.41533/62644.0535
=13.48 %

where

Invested Capital(Q: Dec. 2025 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=84191.59 - 15211.448 - ( 8522.92 - max(0, 31220.532 - 44822.19+8522.92))
=60457.222

Invested Capital(Q: Mar. 2026 )
=Total Assets - Accounts Payable & Accrued Expense - Excess Cash
=Total Assets - Accounts Payable & Accrued Expense - ( Cash, Cash Equivalents, Marketable Securities - max(0, Total Current Liabilities - Total Current Assets+Cash, Cash Equivalents, Marketable Securities))
=82650.75 - 14297.585 - ( 3522.28 - max(0, 31055.23 - 42011.32+3522.28))
=64830.885

Note: The Operating Income data used here is four times the quarterly (Mar. 2026) data.

2. Joel Greenblatt's definition of Return on Capital:

Caterpillar's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 is calculated as:

ROC (Joel Greenblatt) %(Q: Mar. 2026 )
=EBIT/Average of (Net fixed Assets + Net Working Capital)
=EBIT/Average of (Property, Plant and Equipment+Net Working Capital)
     Q: Dec. 2025  Q: Mar. 2026
=EBIT/( ( (Property, Plant and Equipment + Net Working Capital) + (Property, Plant and Equipment + Net Working Capital) )/ count )
=11573.7/( ( (12929.56 + max(15868.174, 0)) + (13190.385 + max(18180.57, 0)) )/ 2 )
=11573.7/( ( 28797.734 + 31370.955 )/ 2 )
=11573.7/30084.3445
=38.47 %

where Working Capital is:

Working Capital(Q: Dec. 2025 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(18419.926 + 15487.29 + 2392.054) - (15211.448 + 2830.156 + 2389.492)
=15868.174

Working Capital(Q: Mar. 2026 )
=(Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Defer. Rev. + Other Current Liabilities)
=(18934.85 + 16976.49 + 2577.7) - (14297.585 + 3790.43 + 2220.455)
=18180.57

When net working capital is negative, 0 is used.

Note: The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.

3. It is also linked to Joel Greenblatt's definition of Earnings Yield:

Caterpillar's Earnings Yield (Joel Greenblatt) % for today is calculated as:

Earnings Yield (Joel Greenblatt) %=EBIT (TTM)/Enterprise Value (Q: Mar. 2026 )
=10916.055/430863.592
=2.53 %

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Caterpillar EBIT Related Terms


Caterpillar EBIT Historical Data

* Premium members only.

The historical data trend for Caterpillar's EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Caterpillar EBIT Chart

Caterpillar Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 7,692.42 8,680.08 12,435.44 13,260.18 10,284.72

Caterpillar Quarterly Data
Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26
EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 2,484.55 2,552.45 2,777.52 2,692.66 2,893.43

WBO:CAT vs DE, PCAR, CNH: EBIT Comparison

For the Farm & Heavy Construction Machinery subindustry, Caterpillar's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Caterpillar EV-to-EBIT vs Farm & Heavy Construction Machinery Industry

For the Farm & Heavy Construction Machinery industry and Industrials sector, Caterpillar's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where Caterpillar's EV-to-EBIT falls into.


WBO:CAT
79GF Score
Caterpillar Inc WBO:CAT
EBIT is just one metric. See GF Score™, valuation, warning signs, and more.
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Caterpillar EBIT Calculation

EBIT, sometimes also called Earnings Before Interest and Taxes, is a measure of a firm's profit that includes all expenses except interest and income tax expenses. It is the difference between operating revenues and operating expenses. When a firm does not have non-operating income, then Operating Income is sometimes used as a synonym for EBIT and operating profit.

EBIT for the trailing twelve months (TTM) ended in Mar. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was €10,916 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Frequently Asked Questions Learn more about EBIT →
What does a EBIT of €10,916 Mil mean?
Caterpillar (WBO:CAT) has a EBIT of €10,916 Mil as of Mar. 2026. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Caterpillar.
Is Caterpillar's EBIT too high?
Caterpillar's current EBIT is €10,916 Mil. Overall, Caterpillar has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Caterpillar's EBIT compare to DE and PCAR?
Caterpillar's EBIT of €10,916 Mil can be compared against companies in the Farm & Heavy Construction Machinery industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EBIT for a Farm & Heavy Construction Machinery company?
A good EBIT depends on the Farm & Heavy Construction Machinery industry context. However, EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EBIT mean?
A high EBIT can signal that a stock is expensive relative to its fundamentals. Earnings before interest and taxes is the difference between operating revenue and operating expenses. View historical data on Caterpillar. Caterpillar's current EBIT is €10,916 Mil. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Caterpillar stock overvalued right now?
Based on GuruFocus' analysis, Caterpillar (WBO:CAT) is currently considered Significantly Overvalued. The stock's GF Value™ is €351.43, compared to a current price of €863.20 — trading 145.6% above its estimated fair value. The current EBIT is €10,916 Mil. Caterpillar's overall GF Score™ is 79/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EBIT calculated?
EBIT is calculated from a company's financial statements. For Caterpillar (WBO:CAT), the current EBIT is €10,916 Mil as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Caterpillar (WBO:CAT) Overvalued in 2026?

Based on GuruFocus' analysis, Caterpillar stock appears to be overvalued. The current stock price of €863.20 is trading 145.6% above its estimated GF Value™ of €351.43. GuruFocus considers Caterpillar to be Significantly Overvalued.

Key valuation signals for WBO:CAT:

  • EBIT: €10,916 Mil
  • GF Value™: €351.43 vs. price of €863.20 (145.6% above fair value)
  • GF Score™: 79/100 with 6 warning signs

No single metric tells the full story. See the WBO:CAT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Caterpillar Business Description

Address 5205 N. O\'Connor Boulevard, Suite 100, Irving, TX, USA, 75039
Caterpillar is the world's leading manufacturer of construction and mining equipment, off-highway diesel and natural gas engines, industrial gas turbines, and diesel-electric locomotives. Its reporting segments are construction, resource, energy, and transportation. Market share approaches 20% across many products. Caterpillar operates a captive finance subsidiary to facilitate sales. The firm has a global reach that is approximately evenly balanced between the US and the rest of the world. Construction skews more domestic, while the other divisions are more geographically diversified. An independent network of over 150 dealers operates approximately 2,800 facilities, giving Caterpillar reach into about 190 countries for sales and support services.
79GF Score

Get the complete analysis for WBO:CAT

EBIT is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€863.20
Price
€351.43
GF Value