AVK vs BAC: Which Is the Better Dividend Stock?
As of Oct 30, 2026, BAC (Bank of America Corporation) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. AVK offers the higher yield at 12.64%, AVK has the higher dividend-safety score, and AVK looks like the better value (its fair-value estimate is 91% above its share price).
Key facts: AVK vs BAC
Data as of · Source: SmarterDividends data
- As of Oct 30, 2026, Advent Convertible and Income Fund (AVK) has the higher forward dividend yield at 12.64%, versus 2.52% for Bank of America Corporation (BAC).
- As of Oct 30, 2026, SmarterDividends grades AVK's dividend safety A (87/100) and BAC's A (87/100).
- By SmarterDividends' count as of Oct 30, 2026, AVK has raised its dividend for 2 consecutive years and BAC for 12.
- As of Oct 30, 2026, AVK pays out 43% of its earnings as dividends and BAC pays out 26%.
- As of Oct 30, 2026, AVK's fair-value estimate is 91% above its share price and BAC's fair-value estimate is 24% above its share price, so AVK looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "AVK vs BAC: Dividend Yield, Safety & Value Compared," updated Oct 30, 2026, https://smarterdividends.com/compare/avk-vs-bac
| Metric | AVK | BAC |
|---|---|---|
| Forward yield | 12.64% | 2.52% |
| Annual dividend | $1.41 | $1.28 |
| Payout ratio | 43% | 26% |
| Years of growth | 2 yr | 12 yr |
| 5-yr dividend growth | 0.5% | 8.4% |
| 5-yr total return | -37% | 12% |
| Dividend safety score | 87 (A) | 87 (A) |
| Fair value estimate | $21.41 | $63.43 |
| Upside to fair value | +91% | +24% |
| Frequency | monthly | quarterly |
| Market cap | $494.5M | $354.0B |
| P/E ratio | 3.5 | 12.2 |
Higher yield
AVK
12.64%
Safer dividend
AVK
Grade A
Faster growth
BAC
8.4%
Better value
AVK
+91% upside
AVK vs BAC — FAQ
Is AVK or BAC a better dividend stock?
On the data, BAC wins more head-to-head categories (4 vs 3). AVK offers the higher yield (12.64%), while AVK has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, AVK or BAC?
AVK has the higher forward dividend yield at 12.64%, versus 2.52% for BAC.
Is AVK or BAC safer?
AVK has the higher dividend-safety score (87/100 vs 87/100), reflecting stronger payout coverage and dividend-growth history.
Is AVK or BAC better value right now?
As of Oct 30, 2026, AVK looks like the better value: its fair-value estimate is 91% above its share price (undervalued). For BAC, its fair-value estimate is 24% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.