ALSN vs CAT vs HWM Stock Comparison

Allison Transmission Holdings, Caterpillar and Howmet Aerospace Prices as of Nov 5, 2026 Peers: Industry group
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CAT Caterpillar Inc
$553.47 -35.9% 1M -2.8% 1Y
Market cap
$253.27B
P/E
21.5x
Revenue (TTM)
$77.77B
Div. yield
1.13%
Heavy Equipment Industrials
2 wins
HWM Howmet Aerospace Inc.
$200.90 -13.3% 1M -2.6% 1Y
Market cap
$79.96B
P/E
38.9x
Revenue (TTM)
$9.73B
Div. yield
0.25%
Commercial Aerospace Industrials
5 wins

Head to Head

12 decided of 12

Allison Transmission Holdings leads on 5 of the 12 questions below (Allison Transmission Holdings 5, Howmet Aerospace 5, Caterpillar 2). Which ones matter depends on what you are buying for; a cheap multiple and slow growth often come together.

QuestionALSNCATHWMLeader
Larger companyMarket capitalisation $9.56B $253.27B $79.96B CAT
Cheaper on earningsLower P/E, profitable companies only 16.6x 21.5x 38.9x ALSN
Cheaper on forward earningsLower price / next fiscal year consensus EPS 15.2x 21.5x 37.7x ALSN
Faster revenue growthRevenue growth, trailing twelve months +70.8% +20.3% +22.0% ALSN
More profitableNet margin, trailing twelve months 11.1% 15.2% 21.1% HWM
Better return on capitalReturn on invested capital 12.3% 16.8% 21.5% HWM
Less leveragedLower net debt / EBITDA 2.8x 2.2x 1.4x HWM
Higher dividend yieldTrailing dividend yield 0.98% 1.13% 0.25% CAT
Better 1-year returnPrice return, last 12 months +44.2% -2.8% -2.6% ALSN
Better 5-year returnAnnualised price return, 5 years +26.9%/yr +21.9%/yr +43.2%/yr HWM
Less volatileAnnualised volatility, 1 year 32.2% 41.1% 37.2% ALSN
Higher overall scoreMean of the five percentile scores vs peers 62/100 57/100 72/100 HWM

Percentile Scorecard

ALSNCATHWM

Each axis is the mean percentile of its metrics against the company's industry group. 100 is the best in the group, 50 the middle.

Scores by Axis

AxisALSNCATHWM
Valuation 78 #46 of 204 37 #129 of 204 39 #62 of 101
Growth 69 #60 of 191 73 #52 of 191 90 #11 of 98
Profitability 86 #27 of 189 92 #16 of 189 99 #2 of 97
Financial Health 17 #184 of 221 19 #180 of 221 47 #57 of 107
Shareholder Returns 60 #65 of 159 64 #58 of 159 87 #9 of 64
Overall 62 57 72
  • ALSN ranked among 223 companies in Machinery
  • CAT ranked among 223 companies in Machinery
  • HWM ranked among 108 companies in Aerospace and Defense

Price Performance

Price return, split-adjusted, before dividends. Click a name to hide or show it.

Returns

PeriodALSNCATHWMSPY
1 month +1.4%-35.9%-13.3% -5.9%
3 months +0.1%-35.4%-30.6% -4.6%
6 months -5.4%-38.2%-26.3% +0.2%
Year to date +18.9%-3.4%-2.0% +7.5%
1 year +44.2%-2.8%-2.6% +8.2%
3 years +123.3%+132.3%+312.3% +68.3%
3 years, per year +30.7%+32.5%+60.4% +19.0%
5 years +229.4%+168.8%+501.5% +56.5%
5 years, per year +26.9%+21.9%+43.2% +9.4%
10 years +308.5%+572.4%+1,381.6% +251.5%
10 years, per year +15.1%+21.0%+30.9% +13.4%

Risk

MeasureALSNCATHWMSPY
Volatility, 1Y 32.2%41.1%37.2% 13.6%
Downside volatility, 1Y 30.9%44.3%38.1% 14.2%
Beta vs S&P 500, 1Y 1.041.771.06 1.00
Return / volatility, 1Y 1.37-0.07-0.07 0.60
Max drawdown, 5Y -34.1%-48.0%-36.5% -25.4%
From 52-week high -14.4%-48.0%-31.4% -5.9%
52-week high $136.00$1,064.90$292.71 $779.14
52-week low $79.27$546.13$185.88 $631.97

Valuation History

Weekly multiples on trailing twelve-month fundamentals. Negative or extreme readings (a loss year, a collapsed denominator) are left out so the chart stays readable.

MultipleALSNCATHWM
P/E now vs peer median 16.6xmedian 23.4x 21.5xmedian 23.4x 38.9xmedian 24.7x
P/S now vs peer median 1.8xmedian 1.7x 3.3xmedian 1.7x 8.2xmedian 2.6x
EV/EBITDA now vs peer median 10.5xmedian 13.4x 17.4xmedian 13.4x 27.6xmedian 14.2x
P/FCF now vs peer median 11.5xmedian 21.9x 26.3xmedian 21.9x 41.4xmedian 26.3x
P/B now vs peer median 4.6xmedian 2.1x 11.8xmedian 2.1x 13.9xmedian 2.4x
PEG now vs peer median -26.90median 1.02 1.65median 1.02 0.79median 0.89

Financial History

Reported figures by fiscal period, placed on the calendar year (or quarter) each period ended in, so companies with different fiscal years line up.

Trailing twelve monthsALSNCATHWM
Revenue $5.24B $77.77B $9.73B
Gross profit $1.78B $27.05B $3.56B
Operating income $961.00M $14.25B $2.73B
Net income $583.00M $11.83B $2.05B
Free cash flow $831.00M $9.62B $1.93B
R&D $215.00M $2.31B $38.00M
EPS (diluted) $7.02 $25.67 $5.13
Cash & equivalents $497.00M $7.93B $507.00M
Total debt $4.04B $45.20B $4.83B
Shares (diluted) 83.00M 460.90M 400.00M
Enterprise value $6.86B $224.57B $75.71B

All Metrics

58 metrics · best in bold

Bold marks the best reading: the lowest positive value for multiples, leverage and payout, the highest for everything else. The bar under each value is its percentile against that company's own peers. Hover a value for its rank and the peer median.

Valuation

12 metrics
MetricALSNCATHWM
P/E 16.6x 21.5x 38.9x
P/FCF 11.5x 26.3x 41.4x
P/Operating cash flow 9.1x 17.9x 33.3x
P/S 1.8x 3.3x 8.2x
P/B 4.6x 11.8x 13.9x
P/Tangible book 19.2x 12.0x 16.3x
EV/EBITDA 10.5x 17.4x 27.6x
EV/EBIT 13.6x 20.4x 30.9x
EV/Revenue 2.5x 3.7x 8.7x
EV/FCF 15.8x 30.2x 43.7x
EV/Operating cash flow 12.4x 20.5x 35.1x
PEG (3Y EPS CAGR) -26.90 1.65 0.79

Growth

14 metrics
MetricALSNCATHWM
Revenue growth (1Y) 70.8% 20.3% 22.0%
Revenue CAGR (3Y) 20.7% 5.3% 14.9%
Gross profit growth (1Y) 19.8% 18.1% 33.7%
Gross profit CAGR (3Y) 7.4% 5.2% 26.3%
Operating income growth (1Y) 1.8% 24.9% 36.4%
Operating income CAGR (3Y) 2.7% 7.4% 35.5%
Net income growth (1Y) -16.6% 27.6% 41.6%
Net income CAGR (3Y) -3.3% 9.1% 47.5%
EPS growth (1Y) -15.6% 30.3% 43.6%
EPS CAGR (3Y) -0.6% 13.0% 49.5%
Operating cash flow growth (1Y) 31.1% 22.9% 40.3%
Operating cash flow CAGR (3Y) 11.0% 6.9% 38.8%
Free cash flow growth (1Y) 32.3% 27.2% 50.9%
Free cash flow CAGR (3Y) 11.2% 3.5% 41.0%

Profitability

14 metrics
MetricALSNCATHWM
Gross margin 33.9% 34.8% 36.6%
EBITDA margin 23.8% 21.4% 31.4%
Operating margin 18.3% 18.3% 28.1%
Pretax margin 14.2% 19.3% 25.8%
Net margin 11.1% 15.2% 21.1%
FCF margin 15.8% 12.4% 19.8%
Operating cash flow margin 20.1% 18.2% 24.7%
Return on equity 28.7% 57.9% 35.7%
Return on assets 6.7% 11.3% 15.5%
Return on invested capital 12.3% 16.8% 21.5%
Return on capital employed 13.1% 22.3% 24.7%
Asset turnover 0.6x 0.7x 0.7x
Cash conversion (OCF / net income) 1.8x 1.2x 1.2x
Stock comp / revenue 0.6% – 1.0%

Financial Health

11 metrics
MetricALSNCATHWM
Debt / assets 45.9% 42.3% 36.4%
Debt / equity 1.9x 2.1x 0.8x
Net debt / EBITDA 2.8x 2.2x 1.4x
Debt / FCF 4.9x 4.7x 2.5x
Liabilities / assets 76.3% 79.9% 56.6%
Equity / assets 23.7% 20.1% 43.4%
Interest coverage – 7.2x –
Current ratio 1.8x 1.4x 1.9x
Quick ratio 1.0x 0.5x 0.7x
Cash ratio 0.4x 0.2x 0.2x
Altman Z-score 2.00 4.10 8.56

Shareholder Returns

7 metrics
MetricALSNCATHWM
Dividend yield 1.0% 1.1% 0.2%
Net buyback yield 1.6% 3.2% 1.6%
Shareholder yield 2.6% 4.4% 1.9%
Payout ratio (earnings) – 24.1% 9.9%
Payout ratio (FCF) – 29.7% 10.5%
Dividend growth (1Y) – 4.8% 23.8%
Dividend CAGR (3Y) – 4.2% 43.3%

Analyst Estimates

Solid lines are reported fiscal-year results; dashed lines are the consensus for the years ahead. Hover a year for the analysts' high and low, and how each result compared with its estimate.

ConsensusALSNCATHWM
Forward P/E 15.2xFY2026 21.5xFY2026 37.7xFY2026
EPS, next fiscal year $7.65FY2026 $25.73FY2026 $5.33FY2026
EPS growth, next FY +4.4%FY2026 +35.0%FY2026 +41.4%FY2026
EPS growth, the year after +47.3% +30.7% +30.6%
Revenue, next fiscal year $6.38BFY2026 $83.62BFY2026 $10.55BFY2026
Revenue growth, next FY +112.0%FY2026 +23.7%FY2026 +27.9%FY2026
Revenue growth, the year after +1.4% +1.8% +15.3%
ALSN estimates →CAT estimates →HWM estimates →

Institutional Ownership

13F filings, quarter ended Jun 30, 2026
HoldersALSNCATHWM
Held by institutions 100.0% 72.3% 91.0%
Institutions holding 568 4,063 1,602
Change in shares held, QoQ +1.1% +0.6% +0.7%
Institutions buying 257 1,892 908
Institutions selling 232 1,597 485
Buyers to sellers 1.11 1.18 1.87
ALSN holders →CAT holders →HWM holders →

Return Correlation

Daily returns, last 12 months

1.00 means two stocks move in lockstep, 0 that they move independently. Pairs below about 0.5 diversify each other.

ALSNCATHWM
ALSN 1.00 0.51 0.37
CAT 0.51 1.00 0.40
HWM 0.37 0.40 1.00

Add a Peer

Largest companies in the same industry
ALSN · Heavy Equipment
+CMICummins +PCARPaccar +BWABorgwarner +OSKOshkosh +FSSFederal Signal +TEXTerex +PHINPhinia +DANDana
Plot all 55 Heavy Equipment stocks → Plot all 87 Commercial Aerospace stocks →

Related Comparisons

ALSN vs CMICummins ALSN vs PCARPaccar ALSN vs BWABorgwarner ALSN vs OSKOshkosh

Frequently Asked Questions

Which is bigger, ALSN, CAT and HWM?

Caterpillar (CAT) is the largest by market capitalisation: Allison Transmission Holdings (ALSN) $9.56B, Caterpillar (CAT) $253.27B, Howmet Aerospace (HWM) $79.96B.

Which stock is cheaper, ALSN, CAT and HWM?

Allison Transmission Holdings (ALSN) trades on the lowest price-to-earnings ratio (Allison Transmission Holdings (ALSN) 16.6x, Caterpillar (CAT) 21.5x, Howmet Aerospace (HWM) 38.9x). On next year's consensus earnings, Allison Transmission Holdings (ALSN) is cheapest (Allison Transmission Holdings (ALSN) 15.2x, Caterpillar (CAT) 21.5x, Howmet Aerospace (HWM) 37.7x). A lower multiple can reflect slower expected growth, so read it next to the growth figures.

Which company is growing faster?

Allison Transmission Holdings (ALSN) grew revenue fastest over the trailing twelve months: Allison Transmission Holdings (ALSN) +70.8%, Caterpillar (CAT) +20.3%, Howmet Aerospace (HWM) +22.0%.

Which company is more profitable?

Howmet Aerospace (HWM) has the highest net margin (Allison Transmission Holdings (ALSN) 11.1%, Caterpillar (CAT) 15.2%, Howmet Aerospace (HWM) 21.1%). On return on invested capital, Howmet Aerospace (HWM) leads (Allison Transmission Holdings (ALSN) 12.3%, Caterpillar (CAT) 16.8%, Howmet Aerospace (HWM) 21.5%).

Which stock has performed better?

Over the past year Allison Transmission Holdings (ALSN) returned the most: Allison Transmission Holdings (ALSN) +44.2%, Caterpillar (CAT) -2.8%, Howmet Aerospace (HWM) -2.6%. Over five years, Howmet Aerospace (HWM) compounded fastest (Allison Transmission Holdings (ALSN) +26.9%/yr, Caterpillar (CAT) +21.9%/yr, Howmet Aerospace (HWM) +43.2%/yr). Returns are price only, before dividends.

Which pays a higher dividend?

Caterpillar (CAT) has the highest dividend yield: Allison Transmission Holdings (ALSN) 0.98%, Caterpillar (CAT) 1.13%, Howmet Aerospace (HWM) 0.25%.

Which stock is riskier?

By one-year price volatility, Allison Transmission Holdings (ALSN) has been the steadiest (Allison Transmission Holdings (ALSN) 32.2%, Caterpillar (CAT) 41.1%, Howmet Aerospace (HWM) 37.2%). Volatility measures how widely the price swings, not the risk of the business.

Which is the better stock, ALSN, CAT and HWM?

There is no single answer; it depends on what you are buying for. On the 12 head-to-head measures on this page, Allison Transmission Holdings (ALSN) leads on 5. Business Quant does not give investment advice; use the comparison as a starting point for your own research.

Data from SEC filings, exchange prices and consensus estimates, via Business Quant. Percentile scores compare each company with its own peer group, so two companies' scores are each relative to different peers unless you rank against the whole market. Price returns exclude dividends. Nothing on this page is investment advice.