SmarterDividends

CAT vs RGR: Which Is the Better Dividend Stock?

As of Oct 18, 2026, CAT (Caterpillar Inc.) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. RGR offers the higher yield at 1.94%, CAT has the higher dividend-safety score, and RGR looks like the better value (its fair-value estimate is 1% below its share price).

Key facts: CAT vs RGR

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, Sturm, Ruger & Company, Inc. (RGR) has the higher forward dividend yield at 1.94%, versus 0.89% for Caterpillar Inc. (CAT).
  • As of Oct 18, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and RGR's C (65/100).
  • By SmarterDividends' count as of Oct 18, 2026, CAT has raised its dividend for 32 consecutive years and RGR for 0.
  • As of Oct 18, 2026, CAT pays out 26% of its earnings as dividends and RGR pays out 52%.
  • As of Oct 18, 2026, CAT's fair-value estimate is 48% below its share price and RGR's fair-value estimate is 1% below its share price, so RGR looks like the better value of the two on SmarterDividends' blended model.
Cite this page

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

MetricCATRGR
Forward yield0.89%1.94%
Annual dividend$6.52$0.84
Payout ratio26%52%
Years of growth32 yr0 yr
5-yr dividend growth7.2%-15.7%
5-yr total return278%-39%
Dividend safety score92 (A)65 (C)
Fair value estimate$377.48$42.91
Upside to fair value-48%-1%
Frequencyquarterlyquarterly
Market cap$335.9B$693.1M
P/E ratio31.557.8

Higher yield

RGR

1.94%

Safer dividend

CAT

Grade A

Faster growth

CAT

7.2%

Better value

RGR

-1% upside

CAT vs RGR — FAQ

Is CAT or RGR a better dividend stock?

On the data, CAT wins more head-to-head categories (6 vs 2). RGR offers the higher yield (1.94%), 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 RGR?

RGR has the higher forward dividend yield at 1.94%, versus 0.89% for CAT.

Is CAT or RGR safer?

CAT has the higher dividend-safety score (92/100 vs 65/100), reflecting stronger payout coverage and dividend-growth history.

Is CAT or RGR better value right now?

As of Oct 18, 2026, RGR looks like the better value: its fair-value estimate is 1% below its share price (fairly valued). 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.