BAC vs MSD: Which Is the Better Dividend Stock?
As of Oct 18, 2026, BAC (Bank of America Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. MSD offers the higher yield at 8.68%, BAC has the higher dividend-safety score, and MSD looks like the better value (its fair-value estimate is 151% above its share price).
Key facts: BAC vs MSD
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Morgan Stanley Emerging Markets Debt Fund, Inc. (MSD) has the higher forward dividend yield at 8.68%, versus 2.50% for Bank of America Corporation (BAC).
- As of Oct 18, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and MSD's C (60/100).
- By SmarterDividends' count as of Oct 18, 2026, BAC has raised its dividend for 12 consecutive years and MSD for 0.
- As of Oct 18, 2026, BAC pays out 26% of its earnings as dividends and MSD pays out 57%.
- As of Oct 18, 2026, BAC's fair-value estimate is 24% above its share price and MSD's fair-value estimate is 151% above its share price, so MSD looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs MSD: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/bac-vs-msd
| Metric | BAC | MSD |
|---|---|---|
| Forward yield | 2.50% | 8.68% |
| Annual dividend | $1.28 | $0.59 |
| Payout ratio | 26% | 57% |
| Years of growth | 12 yr | 0 yr |
| 5-yr dividend growth | 8.4% | 11.0% |
| 5-yr total return | 15% | -25% |
| Dividend safety score | 87 (A) | 60 (C) |
| Fair value estimate | $63.43 | $16.93 |
| Upside to fair value | +24% | +151% |
| Frequency | quarterly | quarterly |
| Market cap | $358.2B | $136.4M |
| P/E ratio | 12.2 | 6.4 |
Higher yield
MSD
8.68%
Safer dividend
BAC
Grade A
Faster growth
MSD
11.0%
Better value
MSD
+151% upside
BAC vs MSD — FAQ
Is BAC or MSD a better dividend stock?
On the data, BAC wins more head-to-head categories (5 vs 3). MSD offers the higher yield (8.68%), 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 MSD?
MSD has the higher forward dividend yield at 8.68%, versus 2.50% for BAC.
Is BAC or MSD safer?
BAC has the higher dividend-safety score (87/100 vs 60/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or MSD better value right now?
As of Oct 18, 2026, MSD looks like the better value: its fair-value estimate is 151% above its share price (undervalued). For BAC, its fair-value estimate is 24% above its share price.
Related comparisons
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.