COST vs KHC: Which Is the Better Dividend Stock?
As of Oct 27, 2026, COST (Costco Wholesale Corporation) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. KHC offers the higher yield at 6.47%, COST has the higher dividend-safety score, and KHC looks like the better value (its fair-value estimate is 50% above its share price).
Key facts: COST vs KHC
Data as of · Source: SmarterDividends data
- As of Oct 27, 2026, The Kraft Heinz Company (KHC) has the higher forward dividend yield at 6.47%, versus 0.59% for Costco Wholesale Corporation (COST).
- As of Oct 27, 2026, SmarterDividends grades COST's dividend safety A (97/100) and KHC's C (64/100).
- By SmarterDividends' count as of Oct 27, 2026, COST has raised its dividend for 21 consecutive years and KHC for 0.
- As of Oct 27, 2026, COST pays out 27% of its earnings as dividends and KHC pays out 73%.
- As of Oct 27, 2026, COST's fair-value estimate is 51% below its share price and KHC's fair-value estimate is 50% above its share price, so KHC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "COST vs KHC: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/cost-vs-khc
| Metric | COST | KHC |
|---|---|---|
| Forward yield | 0.59% | 6.47% |
| Annual dividend | $5.88 | $1.60 |
| Payout ratio | 27% | 73% |
| Years of growth | 21 yr | 0 yr |
| 5-yr dividend growth | 13.0% | 0.0% |
| 5-yr total return | 86% | -26% |
| Dividend safety score | 97 (A) | 64 (C) |
| Fair value estimate | $489.60 | $37.16 |
| Upside to fair value | -51% | +50% |
| Frequency | quarterly | quarterly |
| Market cap | $445.4B | $29.3B |
| P/E ratio | 48.4 | — |
Higher yield
KHC
6.47%
Safer dividend
COST
Grade A
Faster growth
COST
13.0%
Better value
KHC
+50% upside
COST vs KHC — FAQ
Is COST or KHC a better dividend stock?
On the data, COST wins more head-to-head categories (6 vs 2). KHC offers the higher yield (6.47%), 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 KHC?
KHC has the higher forward dividend yield at 6.47%, versus 0.59% for COST.
Is COST or KHC safer?
COST has the higher dividend-safety score (97/100 vs 64/100), reflecting stronger payout coverage and dividend-growth history.
Is COST or KHC better value right now?
As of Oct 27, 2026, KHC looks like the better value: its fair-value estimate is 50% above its share price (undervalued). For COST, its fair-value estimate is 51% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.