CAT vs SWBI: Which Is the Better Dividend Stock?
As of Oct 18, 2026, CAT (Caterpillar Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. SWBI offers the higher yield at 3.68%, CAT has the higher dividend-safety score, and SWBI looks like the better value (its fair-value estimate is 22% above its share price).
Key facts: CAT vs SWBI
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Smith & Wesson Brands, Inc. (SWBI) has the higher forward dividend yield at 3.68%, versus 0.89% for Caterpillar Inc. (CAT).
- As of Oct 18, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and SWBI's B (77/100).
- By SmarterDividends' count as of Oct 18, 2026, CAT has raised its dividend for 32 consecutive years and SWBI for 5.
- As of Oct 18, 2026, CAT pays out 26% of its earnings as dividends and SWBI pays out 96%.
- As of Oct 18, 2026, CAT's fair-value estimate is 48% below its share price and SWBI's fair-value estimate is 22% above its share price, so SWBI looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs SWBI: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/cat-vs-swbi
| Metric | CAT | SWBI |
|---|---|---|
| Forward yield | 0.89% | 3.68% |
| Annual dividend | $6.52 | $0.52 |
| Payout ratio | 26% | 96% |
| Years of growth | 32 yr | 5 yr |
| 5-yr dividend growth | 7.2% | 21.1% |
| 5-yr total return | 278% | -38% |
| Dividend safety score | 92 (A) | 77 (B) |
| Fair value estimate | $377.48 | $17.28 |
| Upside to fair value | -48% | +22% |
| Frequency | quarterly | quarterly |
| Market cap | $335.9B | $634.0M |
| P/E ratio | 31.5 | 26.2 |
Higher yield
SWBI
3.68%
Safer dividend
CAT
Grade A
Faster growth
SWBI
21.1%
Better value
SWBI
+22% upside
CAT vs SWBI — FAQ
Is CAT or SWBI a better dividend stock?
On the data, CAT wins more head-to-head categories (5 vs 3). SWBI offers the higher yield (3.68%), 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 SWBI?
SWBI has the higher forward dividend yield at 3.68%, versus 0.89% for CAT.
Is CAT or SWBI safer?
CAT has the higher dividend-safety score (92/100 vs 77/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or SWBI better value right now?
As of Oct 18, 2026, SWBI looks like the better value: its fair-value estimate is 22% 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.