CAT vs TNC: Which Is the Better Dividend Stock?
As of Nov 4, 2026, CAT (Caterpillar Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. TNC offers the higher yield at 1.80%, CAT has the higher dividend-safety score, and TNC looks like the better value (its fair-value estimate is 16% below its share price).
Key facts: CAT vs TNC
Data as of · Source: SmarterDividends data
- As of Nov 4, 2026, Tennant Company (TNC) has the higher forward dividend yield at 1.80%, versus 1.05% for Caterpillar Inc. (CAT).
- As of Nov 4, 2026, SmarterDividends grades CAT's dividend safety A (91/100) and TNC's A (86/100).
- By SmarterDividends' count as of Nov 4, 2026, CAT has raised its dividend for 32 consecutive years and TNC for 38.
- As of Nov 4, 2026, CAT pays out 26% of its earnings as dividends and TNC pays out 91%.
- As of Nov 4, 2026, CAT's fair-value estimate is 33% below its share price and TNC's fair-value estimate is 16% below its share price, so TNC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "CAT vs TNC: Dividend Yield, Safety & Value Compared," updated Nov 4, 2026, https://smarterdividends.com/compare/cat-vs-tnc
| Metric | CAT | TNC |
|---|---|---|
| Forward yield | 1.05% | 1.80% |
| Annual dividend | $6.52 | $1.30 |
| Payout ratio | 26% | 91% |
| Years of growth | 32 yr | 38 yr |
| 5-yr dividend growth | 7.2% | 6.1% |
| 5-yr total return | 222% | -16% |
| Dividend safety score | 91 (A) | 86 (A) |
| Fair value estimate | $400.01 | $61.99 |
| Upside to fair value | -33% | -16% |
| Frequency | quarterly | quarterly |
| Market cap | $273.9B | $1.3B |
| P/E ratio | 23.4 | 54.4 |
Higher yield
TNC
1.80%
Safer dividend
CAT
Grade A
Faster growth
CAT
7.2%
Better value
TNC
-16% upside
CAT vs TNC — FAQ
Is CAT or TNC a better dividend stock?
On the data, CAT wins more head-to-head categories (5 vs 3). TNC offers the higher yield (1.80%), 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 TNC?
TNC has the higher forward dividend yield at 1.80%, versus 1.05% for CAT.
Is CAT or TNC safer?
CAT has the higher dividend-safety score (91/100 vs 86/100), reflecting stronger payout coverage and dividend-growth history.
Is CAT or TNC better value right now?
As of Nov 4, 2026, TNC looks like the better value: its fair-value estimate is 16% below its share price (overvalued). For CAT, its fair-value estimate is 33% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.