SmarterDividends

CAT vs SWK: Which Is the Better Dividend Stock?

As of Oct 25, 2026, CAT and SWK are closely matched. SWK offers the higher yield at 3.39%, SWK has the higher dividend-safety score, and SWK looks like the better value (its fair-value estimate is 15% below its share price).

Key facts: CAT vs SWK

Data as of · Source: SmarterDividends data

  • As of Oct 25, 2026, Stanley Black & Decker, Inc. (SWK) has the higher forward dividend yield at 3.39%, versus 0.95% for Caterpillar Inc. (CAT).
  • As of Oct 25, 2026, SmarterDividends grades CAT's dividend safety A (92/100) and SWK's A (95/100).
  • By SmarterDividends' count as of Oct 25, 2026, CAT has raised its dividend for 32 consecutive years and SWK for 40.
  • As of Oct 25, 2026, CAT pays out 26% of its earnings as dividends and SWK pays out 81%.
  • As of Oct 25, 2026, CAT's fair-value estimate is 45% below its share price and SWK's fair-value estimate is 15% below its share price, so SWK looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "CAT vs SWK: Dividend Yield, Safety & Value Compared," updated Oct 25, 2026, https://smarterdividends.com/compare/cat-vs-swk

MetricCATSWK
Forward yield0.95%3.39%
Annual dividend$6.52$3.36
Payout ratio26%81%
Years of growth32 yr40 yr
5-yr dividend growth7.2%3.5%
5-yr total return255%-43%
Dividend safety score92 (A)95 (A)
Fair value estimate$377.48$84.55
Upside to fair value-45%-15%
Frequencyquarterlyquarterly
Market cap$315.8B$15.0B
P/E ratio29.624.3

Higher yield

SWK

3.39%

Safer dividend

SWK

Grade A

Faster growth

CAT

7.2%

Better value

SWK

-15% upside

CAT vs SWK — FAQ

Is CAT or SWK a better dividend stock?

CAT and SWK are closely matched. SWK has the higher yield; SWK scores better on safety.

Which has a higher dividend yield, CAT or SWK?

SWK has the higher forward dividend yield at 3.39%, versus 0.95% for CAT.

Is CAT or SWK safer?

SWK has the higher dividend-safety score (95/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.

Is CAT or SWK better value right now?

As of Oct 25, 2026, SWK looks like the better value: its fair-value estimate is 15% below its share price (fairly valued). For CAT, its fair-value estimate is 45% below its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.