SmarterDividends

COST vs KO: Which Is the Better Dividend Stock?

As of Nov 5, 2026, COST (Costco Wholesale Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. KO offers the higher yield at 2.21%, COST has the higher dividend-safety score, and KO looks like the better value (its fair-value estimate is 51% below its share price).

Key facts: COST vs KO

Data as of · Source: SmarterDividends data

  • As of Nov 5, 2026, The Coca-Cola Company (KO) has the higher forward dividend yield at 2.21%, versus 0.56% for Costco Wholesale Corporation (COST).
  • As of Nov 5, 2026, SmarterDividends grades COST's dividend safety A (97/100) and KO's A (92/100).
  • By SmarterDividends' count as of Nov 5, 2026, COST has raised its dividend for 21 consecutive years and KO for 55.
  • As of Nov 5, 2026, COST pays out 27% of its earnings as dividends and KO pays out 62%.
  • As of Nov 5, 2026, COST's fair-value estimate is 53% below its share price and KO's fair-value estimate is 51% below its share price, so KO looks like the better value of the two on SmarterDividends' blended model.
Cite this page

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

MetricCOSTKO
Forward yield0.56%2.21%
Annual dividend$5.88$2.12
Payout ratio27%62%
Years of growth21 yr55 yr
5-yr dividend growth13.0%4.5%
5-yr total return88%81%
Dividend safety score97 (A)92 (A)
Fair value estimate$491.02$47.18
Upside to fair value-53%-51%
Frequencyquarterlyquarterly
Market cap$463.7B$412.1B
P/E ratio50.428.3

Higher yield

KO

2.21%

Safer dividend

COST

Grade A

Faster growth

COST

13.0%

Better value

KO

-51% upside

COST vs KO — FAQ

Is COST or KO a better dividend stock?

On the data, COST wins more head-to-head categories (5 vs 3). KO offers the higher yield (2.21%), 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 KO?

KO has the higher forward dividend yield at 2.21%, versus 0.56% for COST.

Is COST or KO safer?

COST has the higher dividend-safety score (97/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.

Is COST or KO better value right now?

As of Nov 5, 2026, KO looks like the better value: its fair-value estimate is 51% below its share price (overvalued). For COST, its fair-value estimate is 53% below its share price.

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