Is CAT or LMT cheaper?

On trailing earnings, LMT is cheaper: CAT trades at a 45.30 P/E and LMT at 26.17.

Which has grown faster, CAT or LMT?

Over the past five years, CAT grew revenue faster — CAT at a 10.47% CAGR versus LMT at 2.62%.

Does CAT or LMT pay a bigger dividend?

CAT yields 0.66% and LMT yields 2.53% based on trailing dividends and the latest price.

Is CAT or LMT more profitable?

CAT runs the higher net margin — CAT at 13.31% versus LMT at 6.38%.

Which has been the better investment, CAT or LMT?

Over the past 10-year, CAT delivered the higher annualized total return — CAT at 31.11% versus LMT at 11.34%. Past performance doesn't predict future results.

Caterpillar Inc. (CAT) vs Lockheed Martin Corporation (LMT)

LMT leads on 9 of 16 compared metrics.

A side-by-side comparison of Caterpillar Inc. and Lockheed Martin Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 15, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Lockheed Martin Corporation

$124.58B

$540.33Industrials

Total return — CAT vs LMT

growth of $100 · last 30y

CAT +5472.6%LMT +1192.3%CAT compounded faster

CAT LMT

CAT vs LMT: by the numbers

•CAT is the larger company ($419.44B vs $124.58B market cap).
•LMT trades at the lower earnings multiple (26.17 vs 45.30 P/E).
•CAT converts more revenue to profit (13.31% vs 6.38% net margin).
•CAT grew revenue faster over the past five years (10.47% vs 2.62% CAGR).
•LMT pays the higher dividend yield (2.53% vs 0.66%).

Which is better, CAT or LMT?

Metric tally: CAT 7 · LMT 9

It depends on what you're optimizing for:

ValueLMT(lower P/E)

GrowthCAT(faster 5Y revenue CAGR)

IncomeLMT(higher dividend yield)

QualityLMT(higher ROIC)

Metrics side by side

Valuation

Metric	CAT	LMT
P/E ratio	45.30	26.17●
Forward P/E	36.92	16.87●
P/S ratio	5.99	1.66●
P/B ratio	22.73	16.67●
PEG ratio	1.62	—
EV / EBITDA	29.10	16.97●
FCF yield	2.70%	4.54%●

Profitability

Metric	CAT	LMT
Gross margin	32.52%●	9.82%
Operating margin	16.56%●	9.88%
Net margin	13.31%●	6.38%
ROE	50.48%	64.00%●
ROIC	11.42%	17.39%●

Dividends

Metric	CAT	LMT
Dividend yield	0.66%	2.53%●
Payout ratio	31.96%	63.31%

Growth (annualized)

Metric	CAT	LMT
Revenue CAGR (5Y)	10.47%●	2.62%
EPS CAGR (5Y)	27.96%●	-2.44%
FCF CAGR (5Y)	17.77%●	-0.69%
Total return CAGR (5Y)	35.15%●	9.78%

Frequently asked

Which is better, CAT or LMT?: It depends on your goal. value: LMT (lower P/E); growth: CAT (faster 5Y revenue CAGR); income: LMT (higher dividend yield); quality: LMT (higher ROIC). Across all compared metrics, LMT leads 9 to 7.
Is CAT or LMT cheaper?: On trailing earnings, LMT is cheaper: CAT trades at a 45.30 P/E and LMT at 26.17.
Which has grown faster, CAT or LMT?: Over the past five years, CAT grew revenue faster — CAT at a 10.47% CAGR versus LMT at 2.62%.
Does CAT or LMT pay a bigger dividend?: CAT yields 0.66% and LMT yields 2.53% based on trailing dividends and the latest price.
Is CAT or LMT more profitable?: CAT runs the higher net margin — CAT at 13.31% versus LMT at 6.38%.
Which has been the better investment, CAT or LMT?: Over the past 10-year, CAT delivered the higher annualized total return — CAT at 31.11% versus LMT at 11.34%. Past performance doesn't predict future results.

Go deeper

Full CAT analysis Full LMT analysis Interactive comparison tool

Dig into the metrics

Caterpillar P/E ratio Lockheed Martin P/E ratio Caterpillar dividend yield Lockheed Martin dividend yield Caterpillar ROE Lockheed Martin ROE Caterpillar operating margin Lockheed Martin operating margin Caterpillar revenue growth Lockheed Martin revenue growth Caterpillar free cash flow Lockheed Martin free cash flow

Caterpillar & Lockheed Martin appear in these rankings

Highest Dividend Yield Stocks Highest ROE Stocks Highest FCF Yield Stocks Best 10-Year Total Return Stocks

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 15, 2026.