CAT vs MGRC: Which Is the Better Dividend Stock?
As of Oct 30, 2026, CAT and MGRC are closely matched. MGRC offers the higher yield at 1.68%, MGRC has the higher dividend-safety score, and MGRC looks like the better value (its fair-value estimate is 42% above its share price).
Key facts: CAT vs MGRC
Data as of · Source: SmarterDividends data
- As of Oct 30, 2026, McGrath RentCorp (MGRC) has the higher forward dividend yield at 1.68%, versus 0.91% for Caterpillar Inc. (CAT).
- As of Oct 30, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and MGRC's A (96/100).
- By SmarterDividends' count as of Oct 30, 2026, CAT has raised its dividend for 32 consecutive years and MGRC for 34.
- As of Oct 30, 2026, CAT pays out 26% of its earnings as dividends and MGRC pays out 31%.
- As of Oct 30, 2026, CAT's fair-value estimate is 42% below its share price and MGRC's fair-value estimate is 42% above its share price, so MGRC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs MGRC: Dividend Yield, Safety & Value Compared," updated Oct 30, 2026, https://smarterdividends.com/compare/cat-vs-mgrc
| Metric | CAT | MGRC |
|---|---|---|
| Forward yield | 0.91% | 1.68% |
| Annual dividend | $6.52 | $1.98 |
| Payout ratio | 26% | 31% |
| Years of growth | 32 yr | 34 yr |
| 5-yr dividend growth | 7.2% | 3.4% |
| 5-yr total return | 255% | 52% |
| Dividend safety score | 92 (A) | 96 (A) |
| Fair value estimate | $377.48 | $169.99 |
| Upside to fair value | -42% | +42% |
| Frequency | quarterly | quarterly |
| Market cap | $297.6B | $2.9B |
| P/E ratio | 27.9 | 18.4 |
Higher yield
MGRC
1.68%
Safer dividend
MGRC
Grade A
Faster growth
CAT
7.2%
Better value
MGRC
+42% upside
CAT vs MGRC — FAQ
Is CAT or MGRC a better dividend stock?
CAT and MGRC are closely matched. MGRC has the higher yield; MGRC scores better on safety.
Which has a higher dividend yield, CAT or MGRC?
MGRC has the higher forward dividend yield at 1.68%, versus 0.91% for CAT.
Is CAT or MGRC safer?
MGRC has the higher dividend-safety score (96/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or MGRC better value right now?
As of Oct 30, 2026, MGRC looks like the better value: its fair-value estimate is 42% above its share price (undervalued). For CAT, its fair-value estimate is 42% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.