Caterpillar Inc. P/B Ratio
Data as of June 01, 2026
P/B Ratio
21.62
Stock Price
$875.87
Book Value/Share
$40.51
Sector
Industrials
How It's Calculated
21.62 = $875.87 ÷ $40.51
What This Means
Caterpillar Inc.'s P/B ratio of 21.62 is significantly elevated, often seen in asset-light businesses like tech or services where intangible assets drive most of the value.
About Caterpillar Inc.
Caterpillar Inc. (CAT) operates in the Industrials sector, specifically in Farm & Heavy Construction Machinery. With a market capitalization of about $403.42B, it ranks as a mega-cap stock — one of the largest publicly traded companies.
Shares recently traded near $875.87, within a 52-week range of $339.50 to $931.35 (-6.0% from the high, +158.0% from the low). Beta of 1.62 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
The price-to-book ratio compares market price to net asset value per share. For Caterpillar Inc., P/B is especially useful when earnings are volatile or temporarily depressed. In Industrials, asset-heavy business models often anchor closer to book value, while asset-light models may trade far above book.
Sector Comparison
Among Industrials names on our S&P 100 coverage, Caterpillar Inc.'s P/B ratio of 21.62 can be compared with peers such as GE (18.18), RTX (3.65), BA (30.45). Sector context helps interpretation, but each company's growth profile and balance sheet differ — use multiple metrics before drawing conclusions. View all Industrials stocks.
Key Takeaways
- CAT is grouped in the Industrials sector for peer comparisons.
- Recent beta of 1.62 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.
Other CAT Metrics
Frequently Asked Questions
What does CAT's price-to-book ratio indicate?
P/B compares share price to book value per share. Caterpillar Inc.'s P/B of 21.62 reflects how the market prices net assets — especially relevant for asset-heavy Industrials business models.
Is 21.62 above or below book value?
A P/B above 1.0 (21.62) means the market values CAT above accounting book value — often due to brands, growth, or intangible assets.
How does P/B compare within Industrials?
Peer P/B levels in Industrials (e.g. BA (30.45), MMM (24.48), GE (18.18)) provide context; asset-light vs asset-heavy models differ materially.
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