Cabot Corporation
CBTBasic Materials · Stock · quarterly payer
Forward Yield
2.26%
Annual Dividend
$1.85
Payout Ratio
51%
5-Yr Growth
4.9%
Ex-Date
Aug 28, 2026
Frequency
Quarterly
Summary
As of September 2026, Cabot Corporation (CBT) yields 2.26% ($1.85 per share annually), with a blended fair-value estimate of $108.92 — +34% upside, so it screens as undervalued. Dividend safety grade: A (96/100). 14 years of dividend growth.
Is CBT a good dividend stock?
YesCabot Corporation (CBT) pays a quarterly dividend yielding 2.26% ($1.85/yr), with 14 years of growth and a dividend-safety grade of A. It scores well across payout coverage, growth history and safety — a dependable income holding.
Advantages
- 14 consecutive years of dividend growth
- Never cut its dividend on record
- Comfortable payout ratio (51%)
- 63% total price return over 5 years
- Top-tier dividend safety score
Risks
- Single-stock concentration risk — diversify
Key Data
- Dividend Yield
- 2.26%
- Payout Ratio
- 51%
- Annual Dividend
- $1.85
- 5-Yr Avg Growth
- 4.9%
- Ex-Dividend Date
- Aug 28, 2026
- Years of Growth
- 14
- Frequency
- quarterly
- Beta
- 0.83
- Market Cap
- $4.2B
- P/E Ratio
- 22.8
- 5-Yr Total Return
- 63%
- 52-Week Range
- $58.33 – $94.53
- Dividend Safety
- A · 96/100
- Ever Cut?
- No
Frequently Asked Questions
CBT Price — Last 12 Months
Daily close
Price Return
1 Year
+7%
3 Years
+18%
5 Years
+63%
52-Week Range
$58.33 – $94.53
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is CBT worth?
Undervaluedmedium confidenceOur blended fair-value estimate for Cabot Corporation is $108.92 per share, versus a market price of $81.48. That implies 34% of upside — a margin of safety of about 25%.
Fair Value
$108.92
Current Price
$81.48
Upside
+34%
Margin of Safety
25%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about -3.5% annual free-cash-flow growth. We model 9.8% — below our estimate, leaving room for upside if the business executes.
Assumptions: 8.4% discount rate (CAPM), 9.8% stage-1 growth, 2.5% terminal growth, $3.57 EPS, $1.85 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
CBT Dividend Safety Score
Very Safe
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Aug 28, 2026 | — | $0.4730 | regular |
| May 29, 2026 | — | $0.4730 | regular |
| Feb 27, 2026 | — | $0.4500 | regular |
| Nov 28, 2025 | — | $0.4500 | regular |
| Aug 29, 2025 | — | $0.4500 | regular |
| May 30, 2025 | — | $0.4500 | regular |
| Feb 28, 2025 | — | $0.4300 | regular |
| Nov 29, 2024 | — | $0.4300 | regular |
| Aug 30, 2024 | — | $0.4300 | regular |
| May 31, 2024 | — | $0.4300 | regular |
| Feb 22, 2024 | — | $0.4000 | regular |
| Nov 22, 2023 | — | $0.4000 | regular |
| Aug 24, 2023 | — | $0.4000 | regular |
| May 25, 2023 | — | $0.4000 | regular |
Income Calculator
At $1.85 / yr per share
