CAT vs DE: Caterpillar Outperforms Deere in Heavy Equipment Market

Caterpillar and Deere are two heavy equipment giants in the market. Caterpillar serves a broad range of end markets, including construction, mining, infrastructure, and oil & gas. Deere dominates agricultural, forestry, and turf equipment markets while expanding precision agriculture capabilities and construction machinery.

Caterpillar has delivered positive revenue growth over the past four quarters and earnings growth in the last three. In the second quarter of 2026, revenues gained 24% year over year to $20.5 billion, driven by higher sales volumes across its businesses. Adjusted earnings per share surged 73% to a record $8.17 in the quarter.

Deere has reported positive revenue growth for four consecutive quarters, while earnings returned to growth in the third quarter of fiscal 2026 after 10 straight quarters of declines. Net sales from Deere's equipment operations were $11 billion in the third-quarter fiscal 2026, up 6.2% year over year.

Both companies have a strong long-term growth outlook, but Caterpillar currently has a stronger setup with record sales and earnings growth, as well as an upgraded 2026 outlook. Deere's near-term performance may be limited due to weak farm economics and pressure in its largest agricultural business.