BABB vs PM: Which Is the Better Dividend Stock?
As of Oct 27, 2026, PM (Philip Morris International Inc.) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. BABB offers the higher yield at 4.76%, BABB 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 PM
Data as of · Source: SmarterDividends data
- As of Oct 27, 2026, BAB, Inc. (BABB) has the higher forward dividend yield at 4.76%, versus 3.17% for Philip Morris International Inc. (PM).
- As of Oct 27, 2026, SmarterDividends grades BABB's dividend safety B (77/100) and PM's B (77/100).
- By SmarterDividends' count as of Oct 27, 2026, BABB has raised its dividend for 0 consecutive years and PM for 13.
- As of Oct 27, 2026, BABB pays out 44% of its earnings as dividends and PM pays out 84%.
- As of Oct 27, 2026, BABB's fair-value estimate is 22% above its share price and PM's fair-value estimate is 21% below its share price, so BABB looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BABB vs PM: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/babb-vs-pm
| Metric | BABB | PM |
|---|---|---|
| Forward yield | 4.76% | 3.17% |
| Annual dividend | $0.04 | $6.40 |
| Payout ratio | 44% | 84% |
| Years of growth | 0 yr | 13 yr |
| 5-yr dividend growth | 0.0% | 3.5% |
| 5-yr total return | 5% | 132% |
| Dividend safety score | 77 (B) | 77 (B) |
| Fair value estimate | $1.02 | $159.37 |
| Upside to fair value | +22% | -21% |
| Frequency | quarterly | quarterly |
| Market cap | $6.1M | $314.6B |
| P/E ratio | 9.3 | 29.5 |
Higher yield
BABB
4.76%
Safer dividend
BABB
Grade B
Faster growth
PM
3.5%
Better value
BABB
+22% upside
BABB vs PM — FAQ
Is BABB or PM a better dividend stock?
On the data, PM wins more head-to-head categories (4 vs 3). BABB offers the higher yield (4.76%), while BABB 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 PM?
BABB has the higher forward dividend yield at 4.76%, versus 3.17% for PM.
Is BABB or PM safer?
BABB has the higher dividend-safety score (77/100 vs 77/100), reflecting stronger payout coverage and dividend-growth history.
Is BABB or PM 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 PM, its fair-value estimate is 21% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.