This idea is often quoted as fact, and there is research to back it up. The research was done before the First World War and sample had (wait for it) 3 people in it. But it is now known that coffee counts toward hydration just as much as water does. Caffein does not alter that fact.she refuses to call any of the coffee water--I however argue that only half strength some of that has to count as water; anyway I'm not dehydrated.
But I can tell you that it does stimulate me. About 10 years ago I spent 3 years without any coffee or soda, so my caffein input was very minor. Then I had a cup of caffeinated coffee and within 5 min I could feel my heart pounding and it felt like my eyelids were glued open. I drink coffee now. Generally not much more than a cup of caffeinated, and a varying amount of decaf. I always get a bit of a jolt from the regular coffee. It's particularly useful after lunch when my body starts thinking about a nap.