ARDC vs HSBC: Which Is the Better Dividend Stock?
As of Oct 18, 2026, HSBC (HSBC Holdings plc) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. ARDC offers the higher yield at 11.87%, HSBC has the higher dividend-safety score, and ARDC looks like the better value (its fair-value estimate is 83% above its share price).
Key facts: ARDC vs HSBC
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Ares Dynamic Credit Allocation Fund, Inc. (ARDC) has the higher forward dividend yield at 11.87%, versus 3.97% for HSBC Holdings plc (HSBC).
- As of Oct 18, 2026, SmarterDividends grades ARDC's dividend safety D (44/100) and HSBC's B (72/100).
- As of Oct 18, 2026, ARDC's fair-value estimate is 83% above its share price and HSBC's fair-value estimate is 44% above its share price, so ARDC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "ARDC vs HSBC: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/ardc-vs-hsbc
| Metric | ARDC | HSBC |
|---|---|---|
| Forward yield | 11.87% | 3.97% |
| Annual dividend | $1.35 | $3.75 |
| Payout ratio | 648% | 54% |
| Years of growth | 0 yr | 0 yr |
| 5-yr dividend growth | 2.4% | -13.8% |
| 5-yr total return | -28% | 242% |
| Dividend safety score | 44 (D) | 72 (B) |
| Fair value estimate | $20.80 | $135.99 |
| Upside to fair value | +83% | +44% |
| Frequency | monthly | quarterly |
| Market cap | $272.5M | $323.4B |
| P/E ratio | 54.1 | 13.5 |
Higher yield
ARDC
11.87%
Safer dividend
HSBC
Grade B
Faster growth
ARDC
2.4%
Better value
ARDC
+83% upside
ARDC vs HSBC — FAQ
Is ARDC or HSBC a better dividend stock?
On the data, HSBC wins more head-to-head categories (4 vs 3). ARDC offers the higher yield (11.87%), while HSBC has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, ARDC or HSBC?
ARDC has the higher forward dividend yield at 11.87%, versus 3.97% for HSBC.
Is ARDC or HSBC safer?
HSBC has the higher dividend-safety score (72/100 vs 44/100), reflecting stronger payout coverage and dividend-growth history.
Is ARDC or HSBC better value right now?
As of Oct 18, 2026, ARDC looks like the better value: its fair-value estimate is 83% above its share price (undervalued). For HSBC, its fair-value estimate is 44% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.