SmarterDividends

COST vs KDP: Which Is the Better Dividend Stock?

As of Nov 5, 2026, COST (Costco Wholesale Corporation) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. KDP offers the higher yield at 2.50%, COST has the higher dividend-safety score, and KDP looks like the better value (its fair-value estimate is 39% below its share price).

Key facts: COST vs KDP

Data as of · Source: SmarterDividends data

  • As of Nov 5, 2026, Keurig Dr Pepper Inc. (KDP) has the higher forward dividend yield at 2.50%, versus 0.56% for Costco Wholesale Corporation (COST).
  • As of Nov 5, 2026, SmarterDividends grades COST's dividend safety A (97/100) and KDP's B (68/100).
  • By SmarterDividends' count as of Nov 5, 2026, COST has raised its dividend for 21 consecutive years and KDP for 5.
  • As of Nov 5, 2026, COST pays out 27% of its earnings as dividends and KDP pays out 93%.
  • As of Nov 5, 2026, COST's fair-value estimate is 54% below its share price and KDP's fair-value estimate is 39% below its share price, so KDP looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "COST vs KDP: Dividend Yield, Safety & Value Compared," updated Nov 5, 2026, https://smarterdividends.com/compare/cost-vs-kdp

MetricCOSTKDP
Forward yield0.56%2.50%
Annual dividend$5.88$0.92
Payout ratio27%93%
Years of growth21 yr5 yr
5-yr dividend growth13.0%8.9%
5-yr total return88%5%
Dividend safety score97 (A)68 (B)
Fair value estimate$491.02$22.71
Upside to fair value-54%-39%
Frequencyquarterlyquarterly
Market cap$474.6B$50.9B
P/E ratio51.633.7

Higher yield

KDP

2.50%

Safer dividend

COST

Grade A

Faster growth

COST

13.0%

Better value

KDP

-39% upside

COST vs KDP — FAQ

Is COST or KDP a better dividend stock?

On the data, COST wins more head-to-head categories (6 vs 2). KDP offers the higher yield (2.50%), while COST has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, COST or KDP?

KDP has the higher forward dividend yield at 2.50%, versus 0.56% for COST.

Is COST or KDP safer?

COST has the higher dividend-safety score (97/100 vs 68/100), reflecting stronger payout coverage and dividend-growth history.

Is COST or KDP better value right now?

As of Nov 5, 2026, KDP looks like the better value: its fair-value estimate is 39% below its share price (overvalued). For COST, its fair-value estimate is 54% below its share price.

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