PPG vs WMT: Dividend Yield, Growth & Safety Comparison
Ppg Industries Inc (PPG) from Materials and Walmart Inc. (WMT) from Consumer Staples offer different dividend profiles for income-focused portfolios. PPG offers a significantly higher 2.15% yield compared to WMT's 0.72%, a gap of 1.43%. For dividend growth, WMT leads with a 5-year CAGR of 6.4% versus PPG's 5.3%. Both stocks carry a "Safe" dividend safety rating. Both are classified as Dividend Aristocrats.
Key Metrics Comparison
| Metric | PPG | WMT |
|---|
| Dividend Yield | 2.15% | 0.72% |
| Annual Dividend | $2.78 | $0.91 |
| 5-Year CAGR | 5.3% | 6.4% |
| Payout Ratio | 40% | 32% |
| Consecutive Years | 42 | 43 |
| Price | $131.33 | $133.79 |
Yield Comparison
Ppg Industries Inc (PPG) currently yields 2.15%, which is solid for the broader market. That's 1.43% more than Walmart Inc. (WMT), which yields 0.72%. In dollar terms, PPG pays $2.78/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 PPG's 5.3%. PPG: Dividend growth is slowing — the 3-year CAGR of 4.6% trails the 5-year rate of 5.3% and the 10-year rate of 6.6%. 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
PPG's dividend safety is rated "Safe." The payout ratio of 40% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 2.5x. 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. WMT's payout ratio of 32% is more conservative than PPG's 40%, suggesting more room for future increases.
Income Comparison
A $10,000 investment in PPG generates approximately $215/year in dividend income, compared to $72/year from WMT — a difference of $143/year. At $100,000, that gap widens to $1430/year.
Verdict
- Best for income: PPG
- Best for growth: WMT
- Best for safety: WMT
Frequently Asked Questions
Which has a higher dividend yield, PPG or WMT?
Ppg Industries Inc (PPG) has a higher dividend yield of 2.15% compared to Walmart Inc. (WMT) at 0.72%.
Is PPG or WMT a better dividend growth stock?
Walmart Inc. has the stronger dividend growth with a 5-year CAGR of 6.4%, compared to Ppg Industries Inc's 5.3%.
Which is safer for dividend income, PPG or WMT?
Ppg Industries Inc's dividend safety is rated "Safe" while Walmart Inc. is rated "Safe." The payout ratio of 40% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 2.5x. 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 PPG vs WMT generate?
A $10,000 investment in PPG generates approximately $215/year in dividends, while the same amount in WMT generates about $72/year.
Is PPG or WMT a Dividend Aristocrat?
Ppg Industries Inc is a Dividend Aristocrat (42 years) and Walmart Inc. is a Dividend Aristocrat (43 years).
Which has a lower payout ratio, PPG or WMT?
Walmart Inc. has a lower payout ratio of 32% compared to Ppg Industries Inc's 40%. A lower payout ratio generally indicates more room for dividend growth and better sustainability.
PPG vs WMT: which is better for retirement income?
It depends on your priorities. PPG for current income, WMT for dividend growth, WMT for safety. Many retirement investors hold both for diversification.
PPG Dividend Analysis | WMT Dividend Analysis | All Comparisons | Comparison Tool