SmarterDividends

BABA vs RACE: Which Is the Better Dividend Stock?

As of Nov 5, 2026, BABA (Alibaba Group Holding Limited) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. BABA offers the higher yield at 1.00%, BABA has the higher dividend-safety score, and BABA looks like the better value (its fair-value estimate is 39% below its share price).

Key facts: BABA vs RACE

Data as of · Source: SmarterDividends data

  • As of Nov 5, 2026, Alibaba Group Holding Limited (BABA) has the higher forward dividend yield at 1.00%, versus 0.98% for Ferrari N.V. (RACE).
  • As of Nov 5, 2026, SmarterDividends grades BABA's dividend safety C (58/100) and RACE's C (57/100).
  • By SmarterDividends' count as of Nov 5, 2026, BABA has raised its dividend for 2 consecutive years and RACE for 4.
  • As of Nov 5, 2026, BABA pays out 25% of its earnings as dividends and RACE pays out 38%.
  • As of Nov 5, 2026, BABA's fair-value estimate is 39% below its share price and RACE's fair-value estimate is 44% below its share price, so BABA looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "BABA vs RACE: Dividend Yield, Safety & Value Compared," updated Nov 5, 2026, https://smarterdividends.com/compare/baba-vs-race

MetricBABARACE
Forward yield1.00%0.98%
Annual dividend$1.05$4.23
Payout ratio25%38%
Years of growth2 yr4 yr
5-yr dividend growth—22.8%
5-yr total return-23%52%
Dividend safety score58 (C)57 (C)
Fair value estimate$65.48$236.62
Upside to fair value-39%-44%
Frequencyannualannual
Market cap$266.1B$73.9B
P/E ratio25.938.1

Higher yield

BABA

1.00%

Safer dividend

BABA

Grade C

Faster growth

RACE

22.8%

Better value

BABA

-39% upside

BABA vs RACE — FAQ

Is BABA or RACE a better dividend stock?

On the data, BABA wins more head-to-head categories (4 vs 3). BABA offers the higher yield (1.00%), while BABA 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 RACE?

BABA has the higher forward dividend yield at 1.00%, versus 0.98% for RACE.

Is BABA or RACE safer?

BABA has the higher dividend-safety score (58/100 vs 57/100), reflecting stronger payout coverage and dividend-growth history.

Is BABA or RACE better value right now?

As of Nov 5, 2026, BABA looks like the better value: its fair-value estimate is 39% below its share price (overvalued). For RACE, its fair-value estimate is 44% below its share price.

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