Having spent years in the water, and under it, I'd go with 440C or ATS34/154CM. Both are corrosion resistant, both will hold and edge. The days of the really clunky dive knives has passed. You need a blade that will cut and keep an edge, not be a rounded prybar like the old ones. 420 has little carbon. It won't rust as easilt as some steels but, in short order, it won't cut.
On the flip side, I don't know where you are diving. Shiny things in murky water can fall into the feeding patterns of some fish, like Great Barracuda and White Sharks. I know a commercial ab diver in California who survived a white shark attack. He carries the rustiest abalone iron he can find, a leaf spring with stainless calipers welded top it. He said that carrying a shiny stainless ab iron was like putting out a jig for white sharks. His scarred arms make a real point.
Go with good steel, you won't regret it. And stainless is stain less, not stain proof. Keep your gear washed down and clean.
Gene