CAT vs. NIO

Last updated Jun 6, 2026

CAT (Caterpillar Inc.) and NIO (NIO Inc.) are both stocks. CAT operates in Farm & Heavy Construction Machinery (Industrials), while NIO operates in Auto Manufacturers (Consumer Cyclical). Over the past 5 years, CAT returned 32.30%/yr vs -33.73%/yr for NIO. At a 0.26 correlation, their price movements are largely independent.

Performance

CAT vs. NIO - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Caterpillar Inc. (CAT) and NIO Inc. (NIO). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, CAT achieves a 58.52% return, which is significantly higher than NIO's 5.10% return.

CAT

• 1D: -3.85%
• 1M: -2.44%
• YTD: 58.52%
• 6M: 50.56%
• 1Y: 161.94%
• 3Y*: 61.01%
• 5Y*: 32.30%
• 10Y*: 30.90%

NIO

• 1D: -5.80%
• 1M: -9.15%
• YTD: 5.10%
• 6M: 6.35%
• 1Y: 48.07%
• 3Y*: -12.05%
• 5Y*: -33.73%
• 10Y*: —

*Multi-year figures are annualized to reflect compound growth (CAGR)

CAT vs. NIO - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018
CAT Caterpillar Inc.	58.52%	60.30%	24.66%	25.95%	18.60%	15.95%	26.97%	19.51%	-11.37%
NIO NIO Inc.	5.10%	16.97%	-51.93%	-6.97%	-69.22%	-35.00%	1,112.44%	-36.89%	-3.48%

Correlation

The correlation between CAT and NIO is 0.15, which is low. Their price movements are largely independent, making them effective diversification partners.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	0.15
Correlation (3Y) Calculated over the trailing 3-year period	0.24
Correlation (5Y) Calculated over the trailing 5-year period	0.26
Correlation (All Time) Calculated using the full available price history since Sep 13, 2018	0.26

The correlation between CAT and NIO shifts across timeframes, from 0.15 (1 year) to 0.26 (5 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap CAT : $421.21B NIO : $13.30B
EPS CAT : $20.07 NIO : -$3.74
PS Ratio CAT : 6.00 NIO : 0.13
PB Ratio CAT : 22.57 NIO : 3.06
Total Revenue (TTM) CAT : $70.76B NIO : $100.51B
Gross Profit (TTM) CAT : $23.01B NIO : $15.77B
EBITDA (TTM) CAT : $15.31B NIO : -$7.54B

Return for Risk

CAT vs. NIO — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

CAT

CAT Risk / Return Rank: 98
CAT Sharpe Ratio Rank: 98
CAT Sortino Ratio Rank: 98
CAT Omega Ratio Rank: 97
CAT Calmar Ratio Rank: 98
CAT Martin Ratio Rank: 98

NIO

NIO Risk / Return Rank: 63
NIO Sharpe Ratio Rank: 66
NIO Sortino Ratio Rank: 66
NIO Omega Ratio Rank: 61
NIO Calmar Ratio Rank: 64
NIO Martin Ratio Rank: 60

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

CAT vs. NIO - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Caterpillar Inc. (CAT) and NIO Inc. (NIO). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	CAT	NIO	Difference
Sharpe ratio: Return per unit of total volatility	4.76	0.77	+3.99
Sortino ratio: Return per unit of downside risk	5.44	1.51	+3.93
Omega ratio: Gain probability vs. loss probability	1.69	1.17	+0.52
Calmar ratio: Return relative to maximum drawdown	11.74	1.10	+10.64
Martin ratio: Return relative to average drawdown	38.98	1.98	+37.00
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

CAT vs. NIO - Sharpe Ratio Comparison

The current CAT Sharpe Ratio is 4.76, which is higher than the NIO Sharpe Ratio of 0.77. The chart below compares the historical Sharpe Ratios of CAT and NIO, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	CAT	NIO	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	4.76	0.77	+3.99
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	1.06	-0.47	+1.53
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	1.00	—	—
Sharpe Ratio (All Time) Calculated using the full available price history	0.35	-0.03	+0.38

Drawdowns

CAT vs. NIO - Drawdown Comparison

The maximum CAT drawdown since its inception was -73.43%, smaller than the maximum NIO drawdown of -95.00%. Use the drawdown chart below to compare losses from any high point for CAT and NIO.

Drawdown Indicators

	CAT	NIO	Difference
Max Drawdown Largest peak-to-trough decline	-73.43%	-95.00%	+21.57%
Max Drawdown (1Y) Largest decline over 1 year	-13.88%	-43.73%	+29.85%
Max Drawdown (3Y) Largest decline over 3 years	-34.05%	-79.69%	+45.64%
Max Drawdown (5Y) Largest decline over 5 years	-34.05%	-94.10%	+60.05%
Max Drawdown (10Y) Largest decline over 10 years	-43.36%	—	—
Current Drawdown Current decline from peak	-3.85%	-91.47%	+87.62%
Average Drawdown Average peak-to-trough decline	-19.74%	-67.88%	+48.14%
Ulcer Index Depth and duration of drawdowns from previous peaks	4.17%	24.39%	-20.22%

Volatility

CAT vs. NIO - Volatility Comparison

The current volatility for Caterpillar Inc. (CAT) is 11.26%, while NIO Inc. (NIO) has a volatility of 19.56%. This indicates that CAT experiences smaller price fluctuations and is considered to be less risky than NIO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	CAT	NIO	Difference
Volatility (1M) Calculated over the trailing 1-month period	11.26%	19.56%	-8.30%
Volatility (6M) Calculated over the trailing 6-month period	27.35%	41.15%	-13.80%
Volatility (1Y) Calculated over the trailing 1-year period	34.24%	62.99%	-28.75%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	30.67%	71.69%	-41.02%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	30.88%	86.71%	-55.83%

Dividends

CAT vs. NIO - Dividend Comparison

CAT's dividend yield for the trailing twelve months is around 0.67%, while NIO has not paid dividends to shareholders.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
CAT Caterpillar Inc.	0.67%	1.02%	1.49%	1.69%	1.93%	2.07%	2.26%	2.56%	2.58%	1.97%	3.32%	4.33%
NIO NIO Inc.	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%	0.00%

Financials

CAT vs. NIO - Profitability Comparison

The chart below illustrates the profitability comparison between Caterpillar Inc. and NIO Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

CAT - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Caterpillar Inc. reported a gross profit of 6.11B and revenue of 17.42B. Therefore, the gross margin over that period was 35.1%.

NIO - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, NIO Inc. reported a gross profit of 4.86B and revenue of 25.53B. Therefore, the gross margin over that period was 19.0%.

CAT - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Caterpillar Inc. reported an operating income of 3.09B and revenue of 17.42B, resulting in an operating margin of 17.7%.

NIO - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, NIO Inc. reported an operating income of -308.81M and revenue of 25.53B, resulting in an operating margin of -1.2%.

CAT - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Caterpillar Inc. reported a net income of 2.55B and revenue of 17.42B, resulting in a net margin of 14.6%.

NIO - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, NIO Inc. reported a net income of -496.01M and revenue of 25.53B, resulting in a net margin of -1.9%.

Frequently Asked Questions

Can I hold both CAT and NIO in my portfolio?

CAT and NIO have a correlation of 0.15, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, CAT or NIO?

NIO has higher volatility (19.56%) compared to CAT (11.26%). In terms of maximum drawdown, CAT dropped -73.43% vs NIO's -95.00%.

Which has better risk-adjusted returns?

CAT currently has the higher Sharpe Ratio (4.76 vs 0.77), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.