CAT vs MWA: Which Is the Better Dividend Stock?
As of Oct 18, 2026, CAT and MWA are closely matched. MWA offers the higher yield at 1.29%, MWA has the higher dividend-safety score, and MWA looks like the better value (its fair-value estimate is 30% above its share price).
Key facts: CAT vs MWA
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Mueller Water Products, Inc. (MWA) has the higher forward dividend yield at 1.29%, versus 0.89% for Caterpillar Inc. (CAT).
- As of Oct 18, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and MWA's A (95/100).
- By SmarterDividends' count as of Oct 18, 2026, CAT has raised its dividend for 32 consecutive years and MWA for 11.
- As of Oct 18, 2026, CAT pays out 26% of its earnings as dividends and MWA pays out 20%.
- As of Oct 18, 2026, CAT's fair-value estimate is 48% below its share price and MWA's fair-value estimate is 30% above its share price, so MWA looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs MWA: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/cat-vs-mwa
| Metric | CAT | MWA |
|---|---|---|
| Forward yield | 0.89% | 1.29% |
| Annual dividend | $6.52 | $0.28 |
| Payout ratio | 26% | 20% |
| Years of growth | 32 yr | 11 yr |
| 5-yr dividend growth | 7.2% | 4.8% |
| 5-yr total return | 278% | 60% |
| Dividend safety score | 92 (A) | 95 (A) |
| Fair value estimate | $377.48 | $28.31 |
| Upside to fair value | -48% | +30% |
| Frequency | quarterly | quarterly |
| Market cap | $335.9B | $3.4B |
| P/E ratio | 31.5 | 15.3 |
Higher yield
MWA
1.29%
Safer dividend
MWA
Grade A
Faster growth
CAT
7.2%
Better value
MWA
+30% upside
CAT vs MWA — FAQ
Is CAT or MWA a better dividend stock?
CAT and MWA are closely matched. MWA has the higher yield; MWA scores better on safety.
Which has a higher dividend yield, CAT or MWA?
MWA has the higher forward dividend yield at 1.29%, versus 0.89% for CAT.
Is CAT or MWA safer?
MWA has the higher dividend-safety score (95/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or MWA better value right now?
As of Oct 18, 2026, MWA looks like the better value: its fair-value estimate is 30% above its share price (undervalued). For CAT, its fair-value estimate is 48% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.