BABB vs KO: Which Is the Better Dividend Stock?
As of Oct 27, 2026, KO (The Coca-Cola Company) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. BABB offers the higher yield at 4.76%, KO has the higher dividend-safety score, and BABB looks like the better value (its fair-value estimate is 22% above its share price).
Key facts: BABB vs KO
Data as of · Source: SmarterDividends data
- As of Oct 27, 2026, BAB, Inc. (BABB) has the higher forward dividend yield at 4.76%, versus 2.29% for The Coca-Cola Company (KO).
- As of Oct 27, 2026, SmarterDividends grades BABB's dividend safety B (77/100) and KO's A (92/100).
- By SmarterDividends' count as of Oct 27, 2026, BABB has raised its dividend for 0 consecutive years and KO for 55.
- As of Oct 27, 2026, BABB pays out 44% of its earnings as dividends and KO pays out 62%.
- As of Oct 27, 2026, BABB's fair-value estimate is 22% above its share price and KO's fair-value estimate is 49% below its share price, so BABB looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BABB vs KO: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/babb-vs-ko
| Metric | BABB | KO |
|---|---|---|
| Forward yield | 4.76% | 2.29% |
| Annual dividend | $0.04 | $2.12 |
| Payout ratio | 44% | 62% |
| Years of growth | 0 yr | 55 yr |
| 5-yr dividend growth | 0.0% | 4.5% |
| 5-yr total return | 5% | 77% |
| Dividend safety score | 77 (B) | 92 (A) |
| Fair value estimate | $1.02 | $47.17 |
| Upside to fair value | +22% | -49% |
| Frequency | quarterly | quarterly |
| Market cap | $6.1M | $398.8B |
| P/E ratio | 9.3 | 27.8 |
Higher yield
BABB
4.76%
Safer dividend
KO
Grade A
Faster growth
KO
4.5%
Better value
BABB
+22% upside
BABB vs KO — FAQ
Is BABB or KO a better dividend stock?
On the data, KO wins more head-to-head categories (5 vs 3). BABB offers the higher yield (4.76%), while KO has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, BABB or KO?
BABB has the higher forward dividend yield at 4.76%, versus 2.29% for KO.
Is BABB or KO safer?
KO has the higher dividend-safety score (92/100 vs 77/100), reflecting stronger payout coverage and dividend-growth history.
Is BABB or KO better value right now?
As of Oct 27, 2026, BABB looks like the better value: its fair-value estimate is 22% above its share price (undervalued). For KO, its fair-value estimate is 49% below its share price.
Related comparisons
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.