CAT vs DCI: Which Is the Better Dividend Stock?
As of Oct 24, 2026, CAT (Caterpillar Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. DCI offers the higher yield at 1.46%, DCI has the higher dividend-safety score, and DCI looks like the better value (its fair-value estimate is 14% below its share price).
Key facts: CAT vs DCI
Data as of · Source: SmarterDividends data
- As of Oct 24, 2026, Donaldson Company, Inc. (DCI) has the higher forward dividend yield at 1.46%, versus 0.95% for Caterpillar Inc. (CAT).
- As of Oct 24, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and DCI's A (96/100).
- By SmarterDividends' count as of Oct 24, 2026, CAT has raised its dividend for 32 consecutive years and DCI for 30.
- As of Oct 24, 2026, CAT pays out 26% of its earnings as dividends and DCI pays out 32%.
- As of Oct 24, 2026, CAT's fair-value estimate is 45% below its share price and DCI's fair-value estimate is 14% below its share price, so DCI looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs DCI: Dividend Yield, Safety & Value Compared," updated Oct 24, 2026, https://smarterdividends.com/compare/cat-vs-dci
| Metric | CAT | DCI |
|---|---|---|
| Forward yield | 0.95% | 1.46% |
| Annual dividend | $6.52 | $1.24 |
| Payout ratio | 26% | 32% |
| Years of growth | 32 yr | 30 yr |
| 5-yr dividend growth | 7.2% | 6.9% |
| 5-yr total return | 255% | 50% |
| Dividend safety score | 92 (A) | 96 (A) |
| Fair value estimate | $377.48 | $73.00 |
| Upside to fair value | -45% | -14% |
| Frequency | quarterly | quarterly |
| Market cap | $315.8B | $9.8B |
| P/E ratio | 29.6 | 22.0 |
Higher yield
DCI
1.46%
Safer dividend
DCI
Grade A
Faster growth
CAT
7.2%
Better value
DCI
-14% upside
CAT vs DCI — FAQ
Is CAT or DCI a better dividend stock?
On the data, CAT wins more head-to-head categories (5 vs 3). DCI offers the higher yield (1.46%), while DCI has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, CAT or DCI?
DCI has the higher forward dividend yield at 1.46%, versus 0.95% for CAT.
Is CAT or DCI safer?
DCI has the higher dividend-safety score (96/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or DCI better value right now?
As of Oct 24, 2026, DCI looks like the better value: its fair-value estimate is 14% below its share price (fairly valued). 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.