BAC vs FAF: Which Is the Better Dividend Stock?
As of Oct 24, 2026, FAF (First American Financial Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. FAF offers the higher yield at 3.77%, FAF has the higher dividend-safety score, and FAF looks like the better value (its fair-value estimate is 80% above its share price).
Key facts: BAC vs FAF
Data as of · Source: SmarterDividends data
- As of Oct 24, 2026, First American Financial Corporation (FAF) has the higher forward dividend yield at 3.77%, versus 2.53% for Bank of America Corporation (BAC).
- As of Oct 24, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and FAF's A (92/100).
- By SmarterDividends' count as of Oct 24, 2026, BAC has raised its dividend for 12 consecutive years and FAF for 14.
- As of Oct 24, 2026, BAC pays out 26% of its earnings as dividends and FAF pays out 30%.
- As of Oct 24, 2026, BAC's fair-value estimate is 25% above its share price and FAF's fair-value estimate is 80% above its share price, so FAF looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs FAF: Dividend Yield, Safety & Value Compared," updated Oct 24, 2026, https://smarterdividends.com/compare/bac-vs-faf
| Metric | BAC | FAF |
|---|---|---|
| Forward yield | 2.53% | 3.77% |
| Annual dividend | $1.28 | $2.44 |
| Payout ratio | 26% | 30% |
| Years of growth | 12 yr | 14 yr |
| 5-yr dividend growth | 8.4% | 4.1% |
| 5-yr total return | 14% | -13% |
| Dividend safety score | 87 (A) | 92 (A) |
| Fair value estimate | $63.43 | $116.22 |
| Upside to fair value | +25% | +80% |
| Frequency | quarterly | quarterly |
| Market cap | $353.6B | $6.6B |
| P/E ratio | 12.1 | 9.0 |
Higher yield
FAF
3.77%
Safer dividend
FAF
Grade A
Faster growth
BAC
8.4%
Better value
FAF
+80% upside
BAC vs FAF — FAQ
Is BAC or FAF a better dividend stock?
On the data, FAF wins more head-to-head categories (5 vs 3). FAF offers the higher yield (3.77%), while FAF 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 FAF?
FAF has the higher forward dividend yield at 3.77%, versus 2.53% for BAC.
Is BAC or FAF safer?
FAF has the higher dividend-safety score (92/100 vs 87/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or FAF better value right now?
As of Oct 24, 2026, FAF looks like the better value: its fair-value estimate is 80% above its share price (undervalued). For BAC, its fair-value estimate is 25% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.