CAT vs SFL: Which Is the Better Dividend Stock?
As of Oct 27, 2026, CAT (Caterpillar Inc.) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. SFL offers the higher yield at 6.89%, CAT has the higher dividend-safety score, and SFL looks like the better value (its fair-value estimate is 50% above its share price).
Key facts: CAT vs SFL
Data as of · Source: SmarterDividends data
- As of Oct 27, 2026, SFL Corporation Ltd. (SFL) has the higher forward dividend yield at 6.89%, versus 0.94% for Caterpillar Inc. (CAT).
- As of Oct 27, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and SFL's D (47/100).
- By SmarterDividends' count as of Oct 27, 2026, CAT has raised its dividend for 32 consecutive years and SFL for 4.
- As of Oct 27, 2026, CAT pays out 26% of its earnings as dividends and SFL pays out 173%.
- As of Oct 27, 2026, CAT's fair-value estimate is 45% below its share price and SFL's fair-value estimate is 50% above its share price, so SFL looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs SFL: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/cat-vs-sfl
| Metric | CAT | SFL |
|---|---|---|
| Forward yield | 0.94% | 6.89% |
| Annual dividend | $6.52 | $0.88 |
| Payout ratio | 26% | 173% |
| Years of growth | 32 yr | 4 yr |
| 5-yr dividend growth | 7.2% | 1.6% |
| 5-yr total return | 255% | 52% |
| Dividend safety score | 92 (A) | 47 (D) |
| Fair value estimate | $377.48 | $19.16 |
| Upside to fair value | -45% | +50% |
| Frequency | quarterly | quarterly |
| Market cap | $318.2B | $1.8B |
| P/E ratio | 29.8 | 26.6 |
Higher yield
SFL
6.89%
Safer dividend
CAT
Grade A
Faster growth
CAT
7.2%
Better value
SFL
+50% upside
CAT vs SFL — FAQ
Is CAT or SFL a better dividend stock?
On the data, CAT wins more head-to-head categories (6 vs 2). SFL offers the higher yield (6.89%), 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 SFL?
SFL has the higher forward dividend yield at 6.89%, versus 0.94% for CAT.
Is CAT or SFL safer?
CAT has the higher dividend-safety score (92/100 vs 47/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or SFL better value right now?
As of Oct 27, 2026, SFL looks like the better value: its fair-value estimate is 50% above its share price (undervalued). For CAT, its fair-value estimate is 45% below its share price.
Related comparisons
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.
