ARES vs BAC: Which Is the Better Dividend Stock?
As of Oct 18, 2026, ARES and BAC are closely matched. ARES offers the higher yield at 4.81%, BAC has the higher dividend-safety score, and BAC looks like the better value (its fair-value estimate is 24% above its share price).
Key facts: ARES vs BAC
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Ares Management Corporation (ARES) has the higher forward dividend yield at 4.81%, versus 2.50% for Bank of America Corporation (BAC).
- As of Oct 18, 2026, SmarterDividends grades ARES's dividend safety C (57/100) and BAC's A (87/100).
- By SmarterDividends' count as of Oct 18, 2026, ARES has raised its dividend for 9 consecutive years and BAC for 12.
- As of Oct 18, 2026, ARES pays out 228% of its earnings as dividends and BAC pays out 26%.
- As of Oct 18, 2026, ARES's fair-value estimate is 35% below its share price and BAC's fair-value estimate is 24% above its share price, so BAC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "ARES vs BAC: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/ares-vs-bac
| Metric | ARES | BAC |
|---|---|---|
| Forward yield | 4.81% | 2.50% |
| Annual dividend | $5.40 | $1.28 |
| Payout ratio | 228% | 26% |
| Years of growth | 9 yr | 12 yr |
| 5-yr dividend growth | 22.9% | 8.4% |
| 5-yr total return | 38% | 15% |
| Dividend safety score | 57 (C) | 87 (A) |
| Fair value estimate | $72.86 | $63.43 |
| Upside to fair value | -35% | +24% |
| Frequency | quarterly | quarterly |
| Market cap | $37.2B | $358.2B |
| P/E ratio | 51.7 | 12.2 |
Higher yield
ARES
4.81%
Safer dividend
BAC
Grade A
Faster growth
ARES
22.9%
Better value
BAC
+24% upside
ARES vs BAC — FAQ
Is ARES or BAC a better dividend stock?
ARES and BAC are closely matched. ARES has the higher yield; BAC scores better on safety.
Which has a higher dividend yield, ARES or BAC?
ARES has the higher forward dividend yield at 4.81%, versus 2.50% for BAC.
Is ARES or BAC safer?
BAC has the higher dividend-safety score (87/100 vs 57/100), reflecting stronger payout coverage and dividend-growth history.
Is ARES or BAC better value right now?
As of Oct 18, 2026, BAC looks like the better value: its fair-value estimate is 24% above its share price (undervalued). For ARES, its fair-value estimate is 35% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.