CAT vs CNI: Which Is the Better Dividend Stock?
As of Oct 25, 2026, CAT and CNI are closely matched. CNI offers the higher yield at 2.10%, CNI has the higher dividend-safety score, and CNI looks like the better value (its fair-value estimate is 20% below its share price).
Key facts: CAT vs CNI
Data as of · Source: SmarterDividends data
- As of Oct 25, 2026, Canadian National Railway Company (CNI) has the higher forward dividend yield at 2.10%, versus 0.95% for Caterpillar Inc. (CAT).
- As of Oct 25, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and CNI's A (93/100).
- By SmarterDividends' count as of Oct 25, 2026, CAT has raised its dividend for 32 consecutive years and CNI for 28.
- As of Oct 25, 2026, CAT pays out 26% of its earnings as dividends and CNI pays out 46%.
- As of Oct 25, 2026, CAT's fair-value estimate is 45% below its share price and CNI's fair-value estimate is 20% below its share price, so CNI looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs CNI: Dividend Yield, Safety & Value Compared," updated Oct 25, 2026, https://smarterdividends.com/compare/cat-vs-cni
| Metric | CAT | CNI |
|---|---|---|
| Forward yield | 0.95% | 2.10% |
| Annual dividend | $6.52 | $2.58 |
| Payout ratio | 26% | 46% |
| Years of growth | 32 yr | 28 yr |
| 5-yr dividend growth | 7.2% | 7.8% |
| 5-yr total return | 255% | -3% |
| Dividend safety score | 92 (A) | 93 (A) |
| Fair value estimate | $377.48 | $98.26 |
| Upside to fair value | -45% | -20% |
| Frequency | quarterly | quarterly |
| Market cap | $315.8B | $74.4B |
| P/E ratio | 29.6 | 21.8 |
Higher yield
CNI
2.10%
Safer dividend
CNI
Grade A
Faster growth
CNI
7.8%
Better value
CNI
-20% upside
CAT vs CNI — FAQ
Is CAT or CNI a better dividend stock?
CAT and CNI are closely matched. CNI has the higher yield; CNI scores better on safety.
Which has a higher dividend yield, CAT or CNI?
CNI has the higher forward dividend yield at 2.10%, versus 0.95% for CAT.
Is CAT or CNI safer?
CNI has the higher dividend-safety score (93/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or CNI better value right now?
As of Oct 25, 2026, CNI looks like the better value: its fair-value estimate is 20% below its share price (overvalued). For CAT, its fair-value estimate is 45% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.