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CaterpillarCAT -1.82%81 EV-to-EBITDA is 29.10 as of Jul. 20, 2026, which is 121% above its 10-year median of 13.16. GuruFocus rates CAT with a GF Score™ of 81/100 and a GF Value™ of $421.77 (Significantly Overvalued). The stock has 1 warning sign investors should review. Among 179 Farm & Heavy Construction Machinery companies, Caterpillar ranks worse than 88.83% on this metric.
EV-to-EBITDA is calculated as enterprise value divided by its EBITDA. As of today, Caterpillar's enterprise value is $437,083 Mil.
Caterpillar's EBITDA for the trailing twelve months (TTM) ended in Mar. 2026 was $15,019 Mil. Therefore, Caterpillar's EV-to-EBITDA for today is 29.10.
The historical rank and industry rank for Caterpillar's EV-to-EBITDA or its related term are showing as below:
CAT'
s EV-to-EBITDA Range Over the Past 10 Years
Min: 7.65 Med: 13.16 Max: 33.53
Current: 29.1
During the past 13 years, the highest EV-to-EBITDA of Caterpillar was 33.53. The lowest was 7.65. And the median was 13.16.
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio to determine the fair market value of a company.
The "classic" EV-to-EBITDA is much better in capturing debt and net cash than the PE Ratio (TTM).
Caterpillar (NYSE:CAT) EV-to-EBITDA Explanation
EV-to-EBITDA is a valuation multiple used in finance and investment to measure the value of a company. This important multiple is often used in conjunction with, or as an alternative to, the PE Ratio (TTM) to determine the fair market value of a company.
Caterpillar's PE Ratio (TTM) for today is calculated as:
Caterpillar's share price for today is $864.30.
Caterpillar's Earnings per Share (Diluted) 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 $20.090.
* 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.
Study has found that the companies with the lowest EV-to-EBITDA outperforms companies measured as cheap by other ratios such as PE Ratio (TTM).
The historical data trend for Caterpillar's EV-to-EBITDA 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.
For the Farm & Heavy Construction Machinery subindustry, Caterpillar's EV-to-EBITDA, along with its competitors' market caps and EV-to-EBITDA 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-EBITDA vs Farm & Heavy Construction Machinery Industry
For the Farm & Heavy Construction Machinery industry and Industrials sector, Caterpillar's EV-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Caterpillar's EV-to-EBITDA falls into.
Caterpillar's current Enterprise Value is $437,083 Mil.
Caterpillar's EBITDA 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 $15,019 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.
Caterpillar (CAT) has a EV-to-EBITDA of 29.10 as of Jul. 20, 2026. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Caterpillar. This is 121% above median its historical median of 13.16. Over the past decade, Caterpillar's EV-to-EBITDA has ranged from 7.65 to 33.53. According to the industry distribution chart, Caterpillar ranks #159 out of 179 companies in the Farm & Heavy Construction Machinery industry, placing it in the top 88.8%.
Is Caterpillar's EV-to-EBITDA too high?
Caterpillar's current EV-to-EBITDA of 29.10 is 121% above median its 10-year median of 13.16. Over the past 10 years, this metric has ranged from a low of 7.65 to a high of 33.53. The Farm & Heavy Construction Machinery industry median EV-to-EBITDA is 9.24. Caterpillar's value of 29.10 is 214.9% above this industry median. Based on the distribution chart, Caterpillar ranks #159 out of 179 companies in the Farm & Heavy Construction Machinery industry, which is in the bottom quartile relative to peers. Overall, Caterpillar has a GF Score™ of 81/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Caterpillar's EV-to-EBITDA compare to DE and PCAR?
According to the Farm & Heavy Construction Machinery industry distribution chart, Caterpillar ranks #159 out of 179 companies for EV-to-EBITDA. This places Caterpillar in the lower half of its industry. The industry median EV-to-EBITDA is 9.24. Caterpillar's value of 29.10 is 214.9% above this benchmark. Historically, Caterpillar's own EV-to-EBITDA has ranged from 7.65 to 33.53 over the past decade. While the company's 10-year median is 13.16 vs. the industry median of 9.24, Caterpillar has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBITDA for a Farm & Heavy Construction Machinery company?
The median EV-to-EBITDA among Farm & Heavy Construction Machinery companies is 9.24, based on 179 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Caterpillar's current EV-to-EBITDA of 29.10 is 214.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBITDA mean?
A high EV-to-EBITDA can signal that a stock is expensive relative to its fundamentals. EV to EBITDA ratio is the company's enterprise value divided by earnings before interest, taxes, depreciation and amortization. View historical data on Caterpillar. For the Farm & Heavy Construction Machinery industry, the median EV-to-EBITDA is 9.24 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Caterpillar's current EV-to-EBITDA is 29.10, which is 121% above median its own 10-year median of 13.16. 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 (CAT) is currently considered Significantly Overvalued. The stock's GF Value™ is $421.77, compared to a current price of $864.30 — trading 104.9% above its estimated fair value. The current EV-to-EBITDA is 29.10, which is 121% above median its 10-year median of 13.16 and 214.9% above the Farm & Heavy Construction Machinery industry median of 9.24. Caterpillar's overall GF Score™ is 81/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBITDA calculated?
EV-to-EBITDA is calculated from a company's financial statements. For Caterpillar (CAT), the current EV-to-EBITDA is 29.10 as of Jul. 20, 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 (CAT) Overvalued in 2026?
Based on GuruFocus' analysis, Caterpillar stock appears to be overvalued.
The current stock price of $864.30 is trading 104.9% above its estimated GF Value™ of $421.77.
GuruFocus considers Caterpillar to be Significantly Overvalued.
Key valuation signals for CAT:
EV-to-EBITDA: 29.10 (121% above median its 10-year median of 13.16)
GF Value™: $421.77 vs. price of $864.30 (104.9% above fair value)
Industry Position: 214.9% above the Farm & Heavy Construction Machinery median (#159 of 179)
No single metric tells the full story. See the CAT stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
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.
81GF Score
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