Caterpillar Inc EV/EBITDA
Data as of August 04, 2026
EV/EBITDA
30.21
Enterprise Value
$414.33B
EBITDA (TTM)
$13.72B
Sector
Machinery
How It's Calculated
30.21 = $414.33B ÷ $13.72B
What This Means
Caterpillar Inc's EV/EBITDA of 30.2 is elevated, which can reflect growth expectations, scarce assets, or cyclical EBITDA.
About Caterpillar Inc
Caterpillar Inc (CAT) operates in the Machinery sector, specifically in Machinery. With a market capitalization of about $375.33B, it ranks as a mega-cap stock — one of the largest publicly traded companies.
Shares recently traded near $830.03, within a 52-week range of $405.46 to $1073.46 (-22.7% from the high, +104.7% from the low). Beta of 1.60 suggests the stock has been more volatile than the broader market.
Trailing profit margin is about 13.3%, signaling a solid profit margin for its industry.
Understanding This Metric
EV/EBITDA is widely used when comparing companies with different debt loads because enterprise value includes net debt while EBITDA approximates operating cash earnings power. For Caterpillar Inc, the ratio should be read with growth, capex needs, and cycle position in Machinery. Pair EV/EBITDA with free cash flow yield and net debt metrics before drawing conclusions — especially when EBITDA is depressed or boosted by one-time items.
Using This Number in Practice
Near 30.21x EV/EBITDA, Caterpillar Inc (CAT) carries an elevated EV/EBITDA multiple that may embed growth expectations or scarcity within its peer set. Enterprise value of about $414.33B and EBITDA near $13.72B form the ratio — adjust for one-time items before treating the headline multiple as comparable.
Credit and LBO workflows often sort names on EV/EBITDA before drilling into free cash flow and maintenance capex. Pair this view with the EV/EBITDA calculator and the CAT metrics hub for related valuation pages.
Sector Comparison
Among Machinery names on our S&P 100 coverage, Caterpillar Inc's EV/EBITDA of 30.21 can be compared with peers such as DE (18.93). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Machinery stocks.
Key Takeaways
- CAT is grouped in the Machinery sector for peer comparisons.
- Recent beta of 1.60 suggests higher-than-market price sensitivity.
- Trailing profit margin of 13.3% provides context for how much earnings support the headline multiple.
Related Tools & Guides
Explore calculators and guides connected to this metric, or view all metrics for CAT.
Learn the full workflow
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Frequently Asked Questions
What is CAT's EV/EBITDA?
EV/EBITDA compares enterprise value to operating earnings before interest, taxes, depreciation, and amortization. Caterpillar Inc's ratio is about 30.21 — common for comparing leveraged companies in Machinery.
Is 30.21 high or low vs peers?
Among Machinery peers (e.g. DE (18.93)), CAT's 30.21 should be read with growth, capex, and debt levels.
When is EV/EBITDA misleading?
EBITDA ignores capex, working capital, and stock-based comp; negative or tiny EBITDA makes the ratio meaningless. Cross-check with free cash flow and net debt.
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