SmarterDividends

BAESF vs CAT: Which Is the Better Dividend Stock?

As of Nov 5, 2026, BAESF and CAT are closely matched. BAESF offers the higher yield at 1.88%, CAT has the higher dividend-safety score, and BAESF looks like the better value (its fair-value estimate is 25% below its share price).

Key facts: BAESF vs CAT

Data as of · Source: SmarterDividends data

  • As of Nov 5, 2026, BAE Systems plc (BAESF) has the higher forward dividend yield at 1.88%, versus 1.10% for Caterpillar Inc. (CAT).
  • As of Nov 5, 2026, SmarterDividends grades BAESF's dividend safety C (62/100) and CAT's A (91/100).
  • By SmarterDividends' count as of Nov 5, 2026, BAESF has raised its dividend for 3 consecutive years and CAT for 32.
  • As of Nov 5, 2026, BAESF pays out 52% of its earnings as dividends and CAT pays out 24%.
  • As of Nov 5, 2026, BAESF's fair-value estimate is 25% below its share price and CAT's fair-value estimate is 30% below its share price, so BAESF looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "BAESF vs CAT: Dividend Yield, Safety & Value Compared," updated Nov 5, 2026, https://smarterdividends.com/compare/baesf-vs-cat

MetricBAESFCAT
Forward yield1.88%1.10%
Annual dividend$0.51$6.52
Payout ratio52%24%
Years of growth3 yr32 yr
5-yr dividend growth8.2%7.2%
5-yr total return278%222%
Dividend safety score62 (C)91 (A)
Fair value estimate$19.52$400.01
Upside to fair value-25%-30%
Frequencysemiannualquarterly
Market cap$76.0B$260.3B
P/E ratio27.722.3

Higher yield

BAESF

1.88%

Safer dividend

CAT

Grade A

Faster growth

BAESF

8.2%

Better value

BAESF

-25% upside

BAESF vs CAT — FAQ

Is BAESF or CAT a better dividend stock?

BAESF and CAT are closely matched. BAESF has the higher yield; CAT scores better on safety.

Which has a higher dividend yield, BAESF or CAT?

BAESF has the higher forward dividend yield at 1.88%, versus 1.10% for CAT.

Is BAESF or CAT safer?

CAT has the higher dividend-safety score (91/100 vs 62/100), reflecting stronger payout coverage and dividend-growth history.

Is BAESF or CAT better value right now?

As of Nov 5, 2026, BAESF looks like the better value: its fair-value estimate is 25% below its share price (overvalued). For CAT, its fair-value estimate is 30% below its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.