IR vs. CAT
IR (Ingersoll-Rand Plc) and CAT (Caterpillar Inc.) are both stocks. Both are in the Industrials sector — IR in Specialty Industrial Machinery, CAT in Farm & Heavy Construction Machinery. Over the past 5 years, IR returned 9.19%/yr vs 35.17%/yr for CAT. A 0.60 correlation means they provide meaningful diversification when combined.
Performance
IR vs. CAT - Performance Comparison
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Returns By Period
In the year-to-date period, IR achieves a -6.54% return, which is significantly lower than CAT's 59.62% return.
IR
- 1D
- 1.09%
- 1M
- 5.19%
- YTD
- -6.54%
- 6M
- -9.45%
- 1Y
- -7.98%
- 3Y*
- 5.01%
- 5Y*
- 9.19%
- 10Y*
- —
CAT
- 1D
- 1.44%
- 1M
- 2.51%
- YTD
- 59.62%
- 6M
- 52.94%
- 1Y
- 157.79%
- 3Y*
- 57.16%
- 5Y*
- 35.17%
- 10Y*
- 31.33%
IR vs. CAT - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
IR Ingersoll-Rand Plc | -6.54% | -12.34% | 17.06% | 48.21% | -15.41% | 35.85% | 24.21% | 92.80% | -39.73% | 59.67% |
CAT Caterpillar Inc. | 59.62% | 60.30% | 24.66% | 25.95% | 18.60% | 15.95% | 26.97% | 19.51% | -17.56% | 58.10% |
Correlation
The correlation between IR and CAT is 0.62, which is moderate. They share some common price drivers but move independently often enough to provide real diversification benefit when combined.
| Correlation | |
|---|---|
Correlation (1Y) Calculated over the trailing 1-year period | 0.62 |
Correlation (3Y) Calculated over the trailing 3-year period | 0.64 |
Correlation (5Y) Calculated over the trailing 5-year period | 0.63 |
Correlation (All Time) Calculated using the full available price history since May 12, 2017 | 0.60 |
The correlation between IR and CAT has been stable across timeframes, ranging from 0.60 to 0.64 - a consistent structural relationship.
Fundamentals
IR:
$1.96
CAT:
$20.07
IR:
37.72
CAT:
45.37
IR:
8.97
CAT:
3.00
IR:
2.85
CAT:
6.04
IR:
$7.78B
CAT:
$70.76B
IR:
$2.98B
CAT:
$23.01B
IR:
$1.55B
CAT:
$15.31B
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Return for Risk
IR vs. CAT — Risk / Return Rank
IR
CAT
IR vs. CAT - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for Ingersoll-Rand Plc (IR) and Caterpillar Inc. (CAT). 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.
Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.
| IR | CAT | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -4.74 | ||
| Sortino ratioReturn per unit of downside risk | -5.25 | ||
| Omega ratioGain probability vs. loss probability | 0.97 | 1.65 | -0.67 |
| Calmar ratioReturn relative to maximum drawdown | -0.34 | 11.24 | -11.57 |
| Martin ratioReturn relative to average drawdown | -0.76 | 36.80 | -37.56 |
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Drawdowns
IR vs. CAT - Drawdown Comparison
The maximum IR drawdown since its inception was -50.27%, smaller than the maximum CAT drawdown of -73.43%. Use the drawdown chart below to compare losses from any high point for IR and CAT.
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Drawdown Indicators
| IR | CAT | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -50.27% | -73.43% | +23.16% |
Max Drawdown (1Y)Largest decline over 1 year | -30.56% | -13.88% | -16.68% |
Max Drawdown (3Y)Largest decline over 3 years | -36.62% | -34.05% | -2.57% |
Max Drawdown (5Y)Largest decline over 5 years | -36.62% | -34.05% | -2.57% |
Max Drawdown (10Y)Largest decline over 10 years | — | -43.36% | — |
Current DrawdownCurrent decline from peak | -29.65% | -3.18% | -26.47% |
Average DrawdownAverage peak-to-trough decline | -12.83% | -19.73% | +6.90% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 13.51% | 4.23% | +9.28% |
Volatility
IR vs. CAT - Volatility Comparison
The current volatility for Ingersoll-Rand Plc (IR) is 9.29%, while Caterpillar Inc. (CAT) has a volatility of 13.16%. This indicates that IR experiences smaller price fluctuations and is considered to be less risky than CAT based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| IR | CAT | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 9.29% | 13.16% | -3.87% |
Volatility (6M)Calculated over the trailing 6-month period | 25.60% | 28.37% | -2.77% |
Volatility (1Y)Calculated over the trailing 1-year period | 33.43% | 35.19% | -1.76% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 30.08% | 30.79% | -0.71% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 34.36% | 30.98% | +3.38% |
Dividends
IR vs. CAT - Dividend Comparison
IR's dividend yield for the trailing twelve months is around 0.11%, less than CAT's 0.66% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
CAT Caterpillar Inc. | 0.66% | 1.02% | 1.49% | 1.69% | 1.93% | 2.07% | 2.26% | 2.56% | 2.58% | 1.97% | 3.32% | 4.33% |
IR Ingersoll-Rand Plc | 0.11% | 0.10% | 0.09% | 0.10% | 0.15% | 0.03% | 0.00% | 5.78% | 0.00% | 0.00% | 0.00% | 0.00% |
Financials
IR vs. CAT - Financials Comparison
This section allows you to compare key financial metrics between Ingersoll-Rand Plc and Caterpillar Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.
Total Revenue: Total amount of money received from sales and other business activities
IR vs. CAT - Profitability Comparison
IR - Gross Margin
Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Ingersoll-Rand Plc reported a gross profit of 792.40M and revenue of 1.85B. Therefore, the gross margin over that period was 42.9%.
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%.
IR - Operating Margin
Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Ingersoll-Rand Plc reported an operating income of 289.70M and revenue of 1.85B, resulting in an operating margin of 15.7%.
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%.
IR - Net Margin
Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Ingersoll-Rand Plc reported a net income of 192.10M and revenue of 1.85B, resulting in a net margin of 10.4%.
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%.
Frequently Asked Questions
IR and CAT have a correlation of 0.62, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
CAT has higher volatility (13.16%) compared to IR (9.29%). In terms of maximum drawdown, IR dropped -50.27% vs CAT's -73.43%.
CAT currently has the higher Sharpe Ratio (4.43 vs -0.31), 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.
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