BABAF vs RECT: Which Is the Better Dividend Stock?
As of Oct 27, 2026, RECT (Rectitude Holdings Ltd) screens as the stronger dividend stock, winning 3 of 5 head-to-head metrics. RECT offers the higher yield at 7.75%, BABAF has the higher dividend-safety score, and RECT looks like the better value (its fair-value estimate is 137% above its share price).
Key facts: BABAF vs RECT
Data as of · Source: SmarterDividends data
- As of Oct 27, 2026, Rectitude Holdings Ltd (RECT) has the higher forward dividend yield at 7.75%, versus 1.03% for Alibaba Group Holding Limited (BABAF).
- By SmarterDividends' count as of Oct 27, 2026, BABAF has raised its dividend for 2 consecutive years and RECT for 0.
- As of Oct 27, 2026, BABAF's fair-value estimate is 36% below its share price and RECT's fair-value estimate is 137% above its share price, so RECT looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BABAF vs RECT: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/babaf-vs-rect
| Metric | BABAF | RECT |
|---|---|---|
| Forward yield | 1.03% | 7.75% |
| Annual dividend | $0.13 | $0.10 |
| Payout ratio | 25% | 0% |
| Years of growth | 2 yr | 0 yr |
| 5-yr dividend growth | — | — |
| 5-yr total return | -22% | — |
| Dividend safety score | 76 (B) | — |
| Fair value estimate | $8.21 | $3.04 |
| Upside to fair value | -36% | +137% |
| Frequency | annual | annual |
| Market cap | $253.7B | $19.8M |
| P/E ratio | 25.5 | 6.7 |
Higher yield
RECT
7.75%
Safer dividend
BABAF
Grade B
Faster growth
BABAF
—
Better value
RECT
+137% upside
BABAF vs RECT — FAQ
Is BABAF or RECT a better dividend stock?
On the data, RECT wins more head-to-head categories (3 vs 2). RECT offers the higher yield (7.75%), while BABAF has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, BABAF or RECT?
RECT has the higher forward dividend yield at 7.75%, versus 1.03% for BABAF.
Is BABAF or RECT safer?
Compare each stock's payout ratio, growth streak and cut history on its detail page to judge safety.
Is BABAF or RECT better value right now?
As of Oct 27, 2026, RECT looks like the better value: its fair-value estimate is 137% above its share price (undervalued). For BABAF, its fair-value estimate is 36% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.