Caterpillar Inc. (CAT) Return on Invested Capital (ROIC): 11.42%
Is Caterpillar Inc.’s return on invested capital (ROIC) high or low?
Caterpillar Inc.'s return on invested capital (ROIC) of 11.42% is in line with its 5-year average of 11.03%, around the middle of its 5-year range (5.35%–15.79%).
As of Sunday, June 14, 2026. 16.06% below its 12-month average of 13.61%.
CAT Return on Invested Capital (ROIC) Chart
CAT Average Return on Invested Capital (ROIC) Chart
CAT Current vs Average Return on Invested Capital (ROIC) Chart
CAT Return on Invested Capital (ROIC) Metrics
RETURN ON INVESTED CAPITAL (ROIC)
11.42%
RETURN ON INVESTED CAPITAL (ROIC) AVG TTM
13.61%
RETURN ON INVESTED CAPITAL (ROIC) AVG 3Y
13.11%
RETURN ON INVESTED CAPITAL (ROIC) AVG 5Y
11.03%
RETURN ON INVESTED CAPITAL (ROIC) AVG 10Y
8.33%
RETURN ON INVESTED CAPITAL (ROIC) AVG 15Y
7.76%
RETURN ON INVESTED CAPITAL (ROIC) AVG 20Y
7.39%
CURRENT VS TTM AVG
-16.06%
CURRENT VS 3Y AVG
-12.89%
CURRENT VS 5Y AVG
+3.55%
CURRENT VS 10Y AVG
+37.02%
CURRENT VS 15Y AVG
+47.12%
CURRENT VS 20Y AVG
+54.51%
CAT Competitors' Return on Invested Capital (ROIC)
| NAME | MARKET CAP | RETURN ON INVESTED CAPITAL (ROIC) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Caterpillar Inc. (CAT) | $419.44B | 11.42% | 13.61% | 13.11% | 11.03% |
| GE Aerospace (GE) | $350.33B | 8.12% | 7.21% | 4.90% | 3.40% |
| RTX Corporation (RTX) | $247.16B | 6.49% | 5.57% | 4.45% | 3.27% |
| Siemens AG (SIEGY) | $235.51B | 5.37% | 6.08% | 5.69% | 5.11% |
| The Boeing Company (BA) | $172.68B | -6.67% | -11.95% | -8.08% | -8.72% |
| Union Pacific Corporation (UNP) | $161.91B | 11.70% | 11.65% | 11.67% | 11.45% |
| Deere & Company (DE) | $155.88B | 7.13% | 7.13% | 9.73% | 9.30% |
| Eaton Corporation plc (ETN) | $151.98B | 13.14% | 13.05% | 11.55% | 10.10% |
| Honeywell International Inc. (HON) | $139.60B | 9.22% | 9.07% | 9.79% | 9.60% |
| Lockheed Martin Corporation (LMT) | $124.58B | 17.39% | 16.86% | 18.35% | 18.91% |
Capital Efficiency
ROIC
11.4%
ROE
50.5%
Caterpillar Inc. Return on Invested Capital (ROIC) Formula & Definition
ROIC = NOPAT / Invested Capital
Return on invested capital measures the after-tax return a company earns on all capital (debt and equity) invested in the business.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Caterpillar Inc. Return on Invested Capital (ROIC) FAQ
- What is the return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The return on invested capital (ROIC) for CAT stock is 11.42%.
- Is Caterpillar Inc.'s return on invested capital (ROIC) high or low?
- Caterpillar Inc.'s return on invested capital (ROIC) of 11.42% is in line with its 5-year average of 11.03%, around the middle of its 5-year range (5.35%–15.79%).
- What is the TTM average return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The TTM average return on invested capital (ROIC) for CAT stock is 13.61%.
- What is the 3Y average return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The 3Y average return on invested capital (ROIC) for CAT stock is 13.11%.
- What is the 5Y average return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The 5Y average return on invested capital (ROIC) for CAT stock is 11.03%.
- What is the 10Y average return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The 10Y average return on invested capital (ROIC) for CAT stock is 8.33%.
- What is the 15Y average return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The 15Y average return on invested capital (ROIC) for CAT stock is 7.76%.
- What is the 20Y average return on invested capital (ROIC) for Caterpillar Inc. (CAT)?
- The 20Y average return on invested capital (ROIC) for CAT stock is 7.39%.
Caterpillar Inc. Return on Invested Capital (ROIC) History
| DATE | RETURN ON INVESTED CAPITAL (ROIC) |
|---|---|
| 2025-12-31 | 11.42% |
| 2024-12-31 | 15.79% |
| 2023-12-31 | 15.44% |
| 2022-12-31 | 9.79% |
| 2021-12-31 | 8.38% |
| 2020-12-31 | 5.35% |
| 2019-12-31 | 10.19% |
| 2018-12-31 | 10.51% |
| 2017-12-31 | 1.35% |
| 2016-12-31 | -0.82% |
| 2015-12-31 | 4.28% |
| 2014-12-31 | 3.79% |
| 2013-12-31 | 6.09% |
| 2012-12-31 | 8.26% |
| 2011-12-31 | 8.51% |
| 2010-12-31 | 5.87% |
| 2009-12-31 | 1.13% |
| 2008-12-31 | 6.41% |
| 2007-12-31 | 7.82% |
| 2006-12-31 | 8.54% |
| 2005-12-31 | 7.11% |
| 2004-12-31 | 5.92% |
| 2003-12-31 | 4.18% |
| 2002-12-31 | 3.52% |
| 2001-12-31 | 3.50% |
| 2000-12-31 | 7.20% |
| 1999-12-31 | 6.21% |
| 1998-12-31 | 9.42% |
| 1997-12-31 | 11.80% |
| 1996-12-31 | 10.77% |
Related Metrics
About Caterpillar Inc.
Caterpillar Inc., a global enterprise founded in 1925 and headquartered in Deerfield, Illinois (having previously operated as Caterpillar Tractor Co. until its rebranding in 1986), is a premier manufacturer and vendor of heavy construction and mining equipment, diesel and natural gas power units, and industrial gas turbines across the world. The company's extensive offerings are organized into several operational divisions: Construction Industries: This segment delivers a broad spectrum of machinery for construction projects, including asphalt pavers, versatile backhoe and skid steer loaders, various sizes of excavators (from compact to heavy-duty), compactors, road-building equipment like cold planers and motorgraders, pipelayers, site preparation tractors, telehandlers, and utility vehicles, alongside a range of wheel loaders and track-type equipment. Resource Industries: Dedicated to the mining sector, this division supplies powerful equipment such as electric rope and hydraulic shovels, draglines, rotary drills, specialized hard rock vehicles, and a diverse fleet of mining, off-highway, and articulated trucks. It also offers longwall miners, wheel dozers, fleet management systems, autonomous vehicle solutions, crucial machinery components, selected work tools, and comprehensive safety and performance solutions for mining operations. Energy & Transportation: This segment focuses on power generation and propulsion systems. It provides reciprocating engines, generator sets, integrated power solutions, industrial turbines and associated services, remanufactured engines and parts, centrifugal gas compressors, and diesel-electric locomotives with related components and services. These products serve critical sectors including marine, oil and gas, industrial applications, and electric power generation. Financial Products: This segment supports customers with a variety of financial services, such as operating and finance leases, installment sale agreements, working capital loans, and wholesale financing schemes. It also offers insurance and risk management products tailored for vehicles, power generation facilities, and marine vessels. All Other: This encompassing segment is responsible for manufacturing essential consumables and components like filters, fluids, undercarriage parts, and ground engaging tools.
- Sector
- Industrials
- Industry
- Agricultural - Machinery
- CEO
- Joseph E. Creed