DE vs. CAT, ITW, ETN, ABB, EMR, CTAS, PH, JCI, GWW, and ROK
Should you be buying Deere & Company stock or one of its competitors? The main competitors of Deere & Company include Caterpillar (CAT), Illinois Tool Works (ITW), Eaton (ETN), ABB (ABB), Emerson Electric (EMR), Cintas (CTAS), Parker-Hannifin (PH), Johnson Controls International (JCI), W.W. Grainger (GWW), and Rockwell Automation (ROK). These companies are all part of the "industrial products" sector.
Deere & Company vs.
Deere & Company (NYSE:DE) and Caterpillar (NYSE:CAT) are both large-cap industrial products companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, media sentiment, earnings, community ranking, profitability, valuation and dividends.
Deere & Company has a net margin of 14.71% compared to Caterpillar's net margin of 11.28%. Caterpillar's return on equity of 45.61% beat Deere & Company's return on equity.
In the previous week, Deere & Company had 21 more articles in the media than Caterpillar. MarketBeat recorded 32 mentions for Deere & Company and 11 mentions for Caterpillar. Deere & Company's average media sentiment score of 0.73 beat Caterpillar's score of 0.25 indicating that Deere & Company is being referred to more favorably in the media.
Deere & Company has a beta of 1.05, indicating that its stock price is 5% more volatile than the S&P 500. Comparatively, Caterpillar has a beta of 1.11, indicating that its stock price is 11% more volatile than the S&P 500.
Deere & Company has higher earnings, but lower revenue than Caterpillar. Deere & Company is trading at a lower price-to-earnings ratio than Caterpillar, indicating that it is currently the more affordable of the two stocks.
Caterpillar received 18 more outperform votes than Deere & Company when rated by MarketBeat users. However, 66.63% of users gave Deere & Company an outperform vote while only 62.77% of users gave Caterpillar an outperform vote.
Deere & Company pays an annual dividend of $4.80 per share and has a dividend yield of 1.2%. Caterpillar pays an annual dividend of $4.80 per share and has a dividend yield of 2.1%. Deere & Company pays out 17.8% of its earnings in the form of a dividend. Caterpillar pays out 37.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
75.7% of Deere & Company shares are held by institutional investors. Comparatively, 68.0% of Caterpillar shares are held by institutional investors. 0.3% of Deere & Company shares are held by company insiders. Comparatively, 0.3% of Caterpillar shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.
Deere & Company presently has a consensus target price of $459.86, suggesting a potential upside of 13.59%. Caterpillar has a consensus target price of $238.35, suggesting a potential upside of 5.77%. Given Deere & Company's stronger consensus rating and higher possible upside, equities research analysts clearly believe Deere & Company is more favorable than Caterpillar.
Summary
Deere & Company beats Caterpillar on 13 of the 20 factors compared between the two stocks.
New MarketBeat Followers Over Time
This chart shows the number of new MarketBeat users adding DE and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Media Sentiment Over Time
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Deere & Company Competitors List
