SmarterDividends

CAT vs FDX: Which Is the Better Dividend Stock?

As of Oct 25, 2026, CAT and FDX are closely matched. FDX offers the higher yield at 1.63%, FDX has the higher dividend-safety score, and FDX looks like the better value (its fair-value estimate is 0% above its share price).

Key facts: CAT vs FDX

Data as of · Source: SmarterDividends data

  • As of Oct 25, 2026, FedEx Corporation (FDX) has the higher forward dividend yield at 1.63%, versus 0.95% for Caterpillar Inc. (CAT).
  • As of Oct 25, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and FDX's A (94/100).
  • By SmarterDividends' count as of Oct 25, 2026, CAT has raised its dividend for 32 consecutive years and FDX for 5.
  • As of Oct 25, 2026, CAT pays out 26% of its earnings as dividends and FDX pays out 31%.
  • As of Oct 25, 2026, CAT's fair-value estimate is 45% below its share price and FDX's fair-value estimate is 0% above its share price, so FDX looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "CAT vs FDX: Dividend Yield, Safety & Value Compared," updated Oct 25, 2026, https://smarterdividends.com/compare/cat-vs-fdx

MetricCATFDX
Forward yield0.95%1.63%
Annual dividend$6.52$4.88
Payout ratio26%31%
Years of growth32 yr5 yr
5-yr dividend growth7.2%17.1%
5-yr total return255%61%
Dividend safety score92 (A)94 (A)
Fair value estimate$377.48$298.73
Upside to fair value-45%+0%
Frequencyquarterlyquarterly
Market cap$315.8B$70.7B
P/E ratio29.616.1

Higher yield

FDX

1.63%

Safer dividend

FDX

Grade A

Faster growth

FDX

17.1%

Better value

FDX

+0% upside

CAT vs FDX — FAQ

Is CAT or FDX a better dividend stock?

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

Which has a higher dividend yield, CAT or FDX?

FDX has the higher forward dividend yield at 1.63%, versus 0.95% for CAT.

Is CAT or FDX safer?

FDX has the higher dividend-safety score (94/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.

Is CAT or FDX better value right now?

As of Oct 25, 2026, FDX looks like the better value: its fair-value estimate is 0% above its share price (fairly valued). For CAT, its fair-value estimate is 45% below its share price.

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