Question 1

Is CAT or CMI a better dividend stock?

Accepted Answer

On the data, CMI wins more head-to-head categories (4 vs 3). CMI offers the higher yield (1.36%), while CAT has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Question 2

Which has a higher dividend yield, CAT or CMI?

Accepted Answer

CMI has the higher forward dividend yield at 1.36%, versus 0.74% for CAT.

Question 3

Is CAT or CMI safer?

Accepted Answer

CAT has the higher dividend-safety score (89/100 vs 89/100), reflecting stronger payout coverage and dividend-growth history.

Question 4

Is CAT or CMI better value right now?

Accepted Answer

CMI trades at the larger discount to our fair-value estimate (-32% upside, overvalued), versus -45% for CAT.

Metric	CAT	CMI
Forward yield	0.74%	1.36%
Annual dividend	$6.52	$8.80
Payout ratio	30%	41%
Years of growth	32 yr	20 yr
5-yr dividend growth	7.2%	7.7%
5-yr total return	317%	175%
Dividend safety score	89 (A)	89 (A)
Fair value estimate	$485.27	$438.93
Upside to fair value	-45%	-32%
Frequency	quarterly	quarterly
Market cap	$398.1B	$88.2B
P/E ratio	43.9	33.7

CAT vs CMI: Which Is the Better Dividend Stock?

CAT vs CMI — FAQ

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