SmarterDividends

BAC vs FRA: Which Is the Better Dividend Stock?

As of Oct 27, 2026, BAC (Bank of America Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. FRA offers the higher yield at 15.06%, BAC has the higher dividend-safety score, and BAC looks like the better value (its fair-value estimate is 26% above its share price).

Key facts: BAC vs FRA

Data as of · Source: SmarterDividends data

  • As of Oct 27, 2026, BlackRock Floating Rate Income Strategies Fund, Inc. (FRA) has the higher forward dividend yield at 15.06%, versus 2.53% for Bank of America Corporation (BAC).
  • As of Oct 27, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and FRA's C (55/100).
  • By SmarterDividends' count as of Oct 27, 2026, BAC has raised its dividend for 12 consecutive years and FRA for 0.
  • As of Oct 27, 2026, BAC pays out 26% of its earnings as dividends and FRA pays out 383%.
  • As of Oct 27, 2026, BAC's fair-value estimate is 26% above its share price and FRA's fair-value estimate is 3% above its share price, so BAC looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "BAC vs FRA: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/bac-vs-fra

MetricBACFRA
Forward yield2.53%15.06%
Annual dividend$1.28$1.49
Payout ratio26%383%
Years of growth12 yr0 yr
5-yr dividend growth8.4%10.0%
5-yr total return14%-27%
Dividend safety score87 (A)55 (C)
Fair value estimate$63.43$10.19
Upside to fair value+26%+3%
Frequencyquarterlymonthly
Market cap$349.7B$349.7M
P/E ratio12.125.3

Higher yield

FRA

15.06%

Safer dividend

BAC

Grade A

Faster growth

FRA

10.0%

Better value

BAC

+26% upside

BAC vs FRA — FAQ

Is BAC or FRA a better dividend stock?

On the data, BAC wins more head-to-head categories (5 vs 3). FRA offers the higher yield (15.06%), 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 FRA?

FRA has the higher forward dividend yield at 15.06%, versus 2.53% for BAC.

Is BAC or FRA safer?

BAC has the higher dividend-safety score (87/100 vs 55/100), reflecting stronger payout coverage and dividend-growth history.

Is BAC or FRA better value right now?

As of Oct 27, 2026, BAC looks like the better value: its fair-value estimate is 26% above its share price (undervalued). For FRA, its fair-value estimate is 3% above its share price.

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