SmarterDividends

BABA vs CAKE: Which Is the Better Dividend Stock?

As of Oct 18, 2026, CAKE (The Cheesecake Factory Incorporated) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. CAKE offers the higher yield at 1.04%, CAKE has the higher dividend-safety score, and BABA looks like the better value (its fair-value estimate is 1% below its share price).

Key facts: BABA vs CAKE

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, The Cheesecake Factory Incorporated (CAKE) has the higher forward dividend yield at 1.04%, versus 0.96% for Alibaba Group Holding Limited (BABA).
  • As of Oct 18, 2026, SmarterDividends grades BABA's dividend safety C (58/100) and CAKE's C (60/100).
  • By SmarterDividends' count as of Oct 18, 2026, BABA has raised its dividend for 2 consecutive years and CAKE for 0.
  • As of Oct 18, 2026, BABA pays out 25% of its earnings as dividends and CAKE pays out 31%.
  • As of Oct 18, 2026, BABA's fair-value estimate is 1% below its share price and CAKE's fair-value estimate is 16% below its share price, so BABA looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "BABA vs CAKE: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/baba-vs-cake

MetricBABACAKE
Forward yield0.96%1.04%
Annual dividend$1.05$1.20
Payout ratio25%31%
Years of growth2 yr0 yr
5-yr dividend growth—-5.6%
5-yr total return-14%200%
Dividend safety score58 (C)60 (C)
Fair value estimate$107.90$96.40
Upside to fair value-1%-16%
Frequencyannualquarterly
Market cap$271.4B$5.7B
P/E ratio26.431.1

Higher yield

CAKE

1.04%

Safer dividend

CAKE

Grade C

Faster growth

CAKE

-5.6%

Better value

BABA

-1% upside

BABA vs CAKE — FAQ

Is BABA or CAKE a better dividend stock?

On the data, CAKE wins more head-to-head categories (4 vs 3). CAKE offers the higher yield (1.04%), while CAKE has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, BABA or CAKE?

CAKE has the higher forward dividend yield at 1.04%, versus 0.96% for BABA.

Is BABA or CAKE safer?

CAKE has the higher dividend-safety score (60/100 vs 58/100), reflecting stronger payout coverage and dividend-growth history.

Is BABA or CAKE better value right now?

As of Oct 18, 2026, BABA looks like the better value: its fair-value estimate is 1% below its share price (fairly valued). For CAKE, its fair-value estimate is 16% below its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.