# Caterpillar CDR (CAD Hedged) (CATR.TO) fundamentals

Data as of 2026-11-04. TSX, Canada. Sector: Industrials / Machinery. Price C$44.15, market value C$374.2 billion.

## Valuation
- **P/E (trailing): 25.1×** (5-yr avg 40.2×, 3-yr avg 40.2×). Caterpillar CDR (CAD Hedged) trades at 25.1× trailing earnings, well below its own five-year average of 40.2×: cheap by its own standards. The Industrials median in the September 2026 study was 25.7×.
- **Price / sales: 5.0×**. Each dollar of revenue is priced at 5.0×.
- **Price / book: 10.7×**. The shares trade at 10.7× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 24.2×**. Enterprise value is 24.2× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 2.4%** (5-yr avg 2.1%). Free cash flow equals 2.4% of the market value, in line with its five-year average of 2.1%.
- **Earnings yield: 4.0%**. The inverse of the P/E: 4.0% of the price is earned each year.

## Profitability
- **Gross margin: 32.5%**. Caterpillar CDR (CAD Hedged) keeps 32.5% of revenue after the direct cost of what it sells.
- **Operating margin: 17.5%**. 17.5% of revenue is left after running the business, a healthy level in most sectors.
- **Net margin: 13.1%**. 13.1% of each dollar of sales reaches the bottom line.
- **Return on equity: 41.7%**. 41.7% on shareholders' equity is excellent if it is not driven by leverage; sustained above 20% usually signals a competitive advantage.
- **Return on invested capital: 18.3%**. Return on all capital, debt included, is 18.3%: comfortably above what that capital costs.
- **Return on assets: 11.0%**. Each dollar of assets produces 11.0% of profit.

## Growth
- **Revenue growth (1 yr): 4.3%** (3-yr 4.4%/yr). Revenue grew 4.3% over the last year.
- **EPS growth (1 yr): -14.7%** (3-yr 14.2%/yr). Earnings per share fell 14.7%, slower than revenue, so margins compressed.
- **Free-cash-flow growth (3 yr): 13.0%/yr**. Free cash flow has compounded at 13.0% a year over three years, keeping pace with earnings: the growth is real cash.

## Financial health
- **Debt to equity: 2.03**. Debt is 2.03 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 2.0×**. It would take 2.0 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 24.7×**. Operating profit covers interest 24.7× over, a safe margin.
- **Current ratio: 1.44** (quick 0.94). Current assets cover the next year's liabilities 1.44 times.
- **Altman Z-score: 4.45**. A Z-score of 4.45 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 6/9**. 6 of 9 checks pass: mixed.

## Dividends
- **Dividend: none**. Caterpillar CDR (CAD Hedged) does not currently pay a dividend, but it returned 2.0% of its market value through buybacks over the last year.

## Price and momentum
- **From 52-week high: -42.2%** (6.8% above the low). Trading 42% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 24**. An RSI of 24 is oversold; bounces are common, but oversold can stay oversold in a real decline.
- **Beta (1 yr): 1.52** (volatility 43%). Beta of 1.52 against the S&P/TSX Composite: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=CATR.TO · Page: https://foliofundamentals.com/stocks/catr.to

Not investment advice.