SmarterDividends

CAT vs HIHO: Which Is the Better Dividend Stock?

As of Oct 18, 2026, CAT (Caterpillar Inc.) screens as the stronger dividend stock, winning 5 of 7 head-to-head metrics. HIHO offers the higher yield at 25.93%, CAT has the higher dividend-safety score, and HIHO looks like the better value (its fair-value estimate is 143% above its share price).

Key facts: CAT vs HIHO

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, Highway Holdings Limited (HIHO) has the higher forward dividend yield at 25.93%, versus 0.89% for Caterpillar Inc. (CAT).
  • As of Oct 18, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and HIHO's D (41/100).
  • By SmarterDividends' count as of Oct 18, 2026, CAT has raised its dividend for 32 consecutive years and HIHO for 0.
  • As of Oct 18, 2026, CAT's fair-value estimate is 48% below its share price and HIHO's fair-value estimate is 143% above its share price, so HIHO looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "CAT vs HIHO: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/cat-vs-hiho

MetricCATHIHO
Forward yield0.89%25.93%
Annual dividend$6.52$0.20
Payout ratio26%600%
Years of growth32 yr0 yr
5-yr dividend growth7.2%—
5-yr total return278%-81%
Dividend safety score92 (A)41 (D)
Fair value estimate$377.48$1.87
Upside to fair value-48%+143%
Frequencyquarterlysemiannual
Market cap$335.9B$3.6M
P/E ratio31.5—

Higher yield

HIHO

25.93%

Safer dividend

CAT

Grade A

Faster growth

CAT

7.2%

Better value

HIHO

+143% upside

CAT vs HIHO — FAQ

Is CAT or HIHO a better dividend stock?

On the data, CAT wins more head-to-head categories (5 vs 2). HIHO offers the higher yield (25.93%), while CAT 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 HIHO?

HIHO has the higher forward dividend yield at 25.93%, versus 0.89% for CAT.

Is CAT or HIHO safer?

CAT has the higher dividend-safety score (92/100 vs 41/100), reflecting stronger payout coverage and dividend-growth history.

Is CAT or HIHO better value right now?

As of Oct 18, 2026, HIHO looks like the better value: its fair-value estimate is 143% above its share price (undervalued). For CAT, its fair-value estimate is 48% below its share price.

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