DOV vs WMT: Dividend Yield, Growth & Safety Comparison
DOVER Corp (DOV) from Industrials and Walmart Inc. (WMT) from Consumer Staples offer different dividend profiles for income-focused portfolios. Both stocks offer similar yields — DOV at 0.90% and WMT at 0.72%. For dividend growth, WMT leads with a 5-year CAGR of 6.4% versus DOV's 1.0%. Both stocks carry a "Safe" dividend safety rating. Both are classified as Dividend Aristocrats.
Key Metrics Comparison
| Metric | DOV | WMT |
|---|
| Dividend Yield | 0.90% | 0.72% |
| Annual Dividend | $2.08 | $0.91 |
| 5-Year CAGR | 1.0% | 6.4% |
| Payout Ratio | 26% | 32% |
| Consecutive Years | 41 | 43 |
| Price | $231.16 | $133.79 |
Yield Comparison
DOVER Corp (DOV) currently yields 0.90%, which is very low for the broader market. That's 0.18% more than Walmart Inc. (WMT), which yields 0.72%. In dollar terms, DOV pays $2.08/share annually versus WMT's $0.91/share.
Dividend Growth
Over the past five years, WMT has grown its dividend at a 6.4% CAGR compared to DOV's 1.0%. DOV: Dividend growth has been steady, with a 3-year CAGR of 1.0% and a 5-year CAGR of 1.0% (10-year: 4.5%). WMT: Dividend growth is accelerating — the 3-year CAGR of 11.2% exceeds the 5-year rate of 6.4% and the 10-year rate of 3.9%.
Dividend Safety
DOV's dividend safety is rated "Safe." The payout ratio of 26% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 3.8x. WMT's dividend safety is rated "Safe." The payout ratio of 32% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 3.1x. DOV's payout ratio of 26% is more conservative than WMT's 32%, suggesting more room for future increases.
Income Comparison
A $10,000 investment in DOV generates approximately $90/year in dividend income, compared to $72/year from WMT — a difference of $18/year. At $100,000, that gap widens to $180/year.
Verdict
- Best for income: DOV
- Best for growth: WMT
- Best for safety: DOV
Frequently Asked Questions
Which has a higher dividend yield, DOV or WMT?
DOVER Corp (DOV) has a higher dividend yield of 0.90% compared to Walmart Inc. (WMT) at 0.72%.
Is DOV or WMT a better dividend growth stock?
Walmart Inc. has the stronger dividend growth with a 5-year CAGR of 6.4%, compared to DOVER Corp's 1.0%.
Which is safer for dividend income, DOV or WMT?
DOVER Corp's dividend safety is rated "Safe" while Walmart Inc. is rated "Safe." The payout ratio of 26% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 3.8x. The payout ratio of 32% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 3.1x.
How much income does $10,000 in DOV vs WMT generate?
A $10,000 investment in DOV generates approximately $90/year in dividends, while the same amount in WMT generates about $72/year.
Is DOV or WMT a Dividend Aristocrat?
DOVER Corp is a Dividend Aristocrat (41 years) and Walmart Inc. is a Dividend Aristocrat (43 years).
Which has a lower payout ratio, DOV or WMT?
DOVER Corp has a lower payout ratio of 26% compared to Walmart Inc.'s 32%. A lower payout ratio generally indicates more room for dividend growth and better sustainability.
DOV vs WMT: which is better for retirement income?
It depends on your priorities. DOV for current income, WMT for dividend growth, DOV for safety. Many retirement investors hold both for diversification.
DOV Dividend Analysis | WMT Dividend Analysis | All Comparisons | Comparison Tool