SmarterDividends

BAC vs BKT: Which Is the Better Dividend Stock?

As of Oct 18, 2026, BAC (Bank of America Corporation) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. BKT offers the higher yield at 10.95%, BAC has the higher dividend-safety score, and BKT looks like the better value (its fair-value estimate is 76% above its share price).

Key facts: BAC vs BKT

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, BlackRock Income Trust, Inc. (BKT) has the higher forward dividend yield at 10.95%, versus 2.50% for Bank of America Corporation (BAC).
  • As of Oct 18, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and BKT's C (57/100).
  • By SmarterDividends' count as of Oct 18, 2026, BAC has raised its dividend for 12 consecutive years and BKT for 1.
  • As of Oct 18, 2026, BAC pays out 26% of its earnings as dividends and BKT pays out 288%.
  • As of Oct 18, 2026, BAC's fair-value estimate is 24% above its share price and BKT's fair-value estimate is 76% above its share price, so BKT looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "BAC vs BKT: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/bac-vs-bkt

MetricBACBKT
Forward yield2.50%10.95%
Annual dividend$1.28$1.06
Payout ratio26%288%
Years of growth12 yr1 yr
5-yr dividend growth8.4%-2.9%
5-yr total return15%-45%
Dividend safety score87 (A)57 (C)
Fair value estimate$63.43$17.06
Upside to fair value+24%+76%
Frequencyquarterlymonthly
Market cap$358.2B$313.2M
P/E ratio12.226.1

Higher yield

BKT

10.95%

Safer dividend

BAC

Grade A

Faster growth

BAC

8.4%

Better value

BKT

+76% upside

BAC vs BKT — FAQ

Is BAC or BKT a better dividend stock?

On the data, BAC wins more head-to-head categories (6 vs 2). BKT offers the higher yield (10.95%), while BAC has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, BAC or BKT?

BKT has the higher forward dividend yield at 10.95%, versus 2.50% for BAC.

Is BAC or BKT safer?

BAC has the higher dividend-safety score (87/100 vs 57/100), reflecting stronger payout coverage and dividend-growth history.

Is BAC or BKT better value right now?

As of Oct 18, 2026, BKT looks like the better value: its fair-value estimate is 76% above its share price (undervalued). For BAC, its fair-value estimate is 24% above its share price.

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