BAC vs BKU: Which Is the Better Dividend Stock?
As of Oct 18, 2026, BAC and BKU are closely matched. BKU offers the higher yield at 3.15%, BKU has the higher dividend-safety score, and BKU looks like the better value (its fair-value estimate is 37% above its share price).
Key facts: BAC vs BKU
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, BankUnited, Inc. (BKU) has the higher forward dividend yield at 3.15%, versus 2.50% for Bank of America Corporation (BAC).
- As of Oct 18, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and BKU's A (91/100).
- By SmarterDividends' count as of Oct 18, 2026, BAC has raised its dividend for 12 consecutive years and BKU for 6.
- As of Oct 18, 2026, BAC pays out 26% of its earnings as dividends and BKU pays out 35%.
- As of Oct 18, 2026, BAC's fair-value estimate is 24% above its share price and BKU's fair-value estimate is 37% above its share price, so BKU looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs BKU: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/bac-vs-bku
| Metric | BAC | BKU |
|---|---|---|
| Forward yield | 2.50% | 3.15% |
| Annual dividend | $1.28 | $1.32 |
| Payout ratio | 26% | 35% |
| Years of growth | 12 yr | 6 yr |
| 5-yr dividend growth | 8.4% | 6.3% |
| 5-yr total return | 15% | 6% |
| Dividend safety score | 87 (A) | 91 (A) |
| Fair value estimate | $63.43 | $57.46 |
| Upside to fair value | +24% | +37% |
| Frequency | quarterly | quarterly |
| Market cap | $358.2B | $3.0B |
| P/E ratio | 12.2 | 11.5 |
Higher yield
BKU
3.15%
Safer dividend
BKU
Grade A
Faster growth
BAC
8.4%
Better value
BKU
+37% upside
BAC vs BKU — FAQ
Is BAC or BKU a better dividend stock?
BAC and BKU are closely matched. BKU has the higher yield; BKU scores better on safety.
Which has a higher dividend yield, BAC or BKU?
BKU has the higher forward dividend yield at 3.15%, versus 2.50% for BAC.
Is BAC or BKU safer?
BKU has the higher dividend-safety score (91/100 vs 87/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or BKU better value right now?
As of Oct 18, 2026, BKU looks like the better value: its fair-value estimate is 37% above its share price (undervalued). For BAC, its fair-value estimate is 24% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.