CAT vs NOC: Which Is the Better Dividend Stock?
As of Oct 24, 2026, NOC (Northrop Grumman Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. NOC offers the higher yield at 1.79%, NOC has the higher dividend-safety score, and NOC looks like the better value (its fair-value estimate is 29% below its share price).
Key facts: CAT vs NOC
Data as of · Source: SmarterDividends data
- As of Oct 24, 2026, Northrop Grumman Corporation (NOC) has the higher forward dividend yield at 1.79%, versus 0.95% for Caterpillar Inc. (CAT).
- As of Oct 24, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and NOC's A (96/100).
- By SmarterDividends' count as of Oct 24, 2026, CAT has raised its dividend for 32 consecutive years and NOC for 22.
- As of Oct 24, 2026, CAT pays out 26% of its earnings as dividends and NOC pays out 30%.
- As of Oct 24, 2026, CAT's fair-value estimate is 45% below its share price and NOC's fair-value estimate is 29% below its share price, so NOC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs NOC: Dividend Yield, Safety & Value Compared," updated Oct 24, 2026, https://smarterdividends.com/compare/cat-vs-noc
| Metric | CAT | NOC |
|---|---|---|
| Forward yield | 0.95% | 1.79% |
| Annual dividend | $6.52 | $9.88 |
| Payout ratio | 26% | 30% |
| Years of growth | 32 yr | 22 yr |
| 5-yr dividend growth | 7.2% | 9.7% |
| 5-yr total return | 255% | 58% |
| Dividend safety score | 92 (A) | 96 (A) |
| Fair value estimate | $377.48 | $392.66 |
| Upside to fair value | -45% | -29% |
| Frequency | quarterly | quarterly |
| Market cap | $315.8B | $78.3B |
| P/E ratio | 29.6 | 17.4 |
Higher yield
NOC
1.79%
Safer dividend
NOC
Grade A
Faster growth
NOC
9.7%
Better value
NOC
-29% upside
CAT vs NOC — FAQ
Is CAT or NOC a better dividend stock?
On the data, NOC wins more head-to-head categories (5 vs 3). NOC offers the higher yield (1.79%), while NOC 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 NOC?
NOC has the higher forward dividend yield at 1.79%, versus 0.95% for CAT.
Is CAT or NOC safer?
NOC has the higher dividend-safety score (96/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or NOC better value right now?
As of Oct 24, 2026, NOC looks like the better value: its fair-value estimate is 29% below its share price (overvalued). 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.