BAC vs PSBD: Which Is the Better Dividend Stock?
As of Nov 8, 2026, BAC and PSBD are closely matched. PSBD offers the higher yield at 14.57%, BAC has the higher dividend-safety score, and PSBD looks like the better value (its fair-value estimate is 118% above its share price).
Key facts: BAC vs PSBD
Data as of · Source: SmarterDividends data
- As of Nov 8, 2026, Palmer Square Capital BDC Inc. (PSBD) has the higher forward dividend yield at 14.57%, versus 2.59% for Bank of America Corporation (BAC).
- As of Nov 8, 2026, SmarterDividends grades BAC's dividend safety A (85/100) and PSBD's D (46/100).
- By SmarterDividends' count as of Nov 8, 2026, BAC has raised its dividend for 12 consecutive years and PSBD for 0.
- As of Nov 8, 2026, BAC pays out 28% of its earnings as dividends and PSBD pays out 398%.
- As of Nov 8, 2026, BAC's fair-value estimate is 29% above its share price and PSBD's fair-value estimate is 118% above its share price, so PSBD looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs PSBD: Dividend Yield, Safety & Value Compared," updated Nov 8, 2026, https://smarterdividends.com/compare/bac-vs-psbd
| Metric | BAC | PSBD |
|---|---|---|
| Forward yield | 2.59% | 14.57% |
| Annual dividend | $1.28 | $1.44 |
| Payout ratio | 28% | 398% |
| Years of growth | 12 yr | 0 yr |
| 5-yr dividend growth | 8.4% | — |
| 5-yr total return | 11% | — |
| Dividend safety score | 85 (A) | 46 (D) |
| Fair value estimate | $63.64 | $21.56 |
| Upside to fair value | +29% | +118% |
| Frequency | quarterly | quarterly |
| Market cap | $341.0B | $297.8M |
| P/E ratio | 11.8 | — |
Higher yield
PSBD
14.57%
Safer dividend
BAC
Grade A
Faster growth
BAC
8.4%
Better value
PSBD
+118% upside
BAC vs PSBD — FAQ
Is BAC or PSBD a better dividend stock?
BAC and PSBD are closely matched. PSBD has the higher yield; BAC scores better on safety.
Which has a higher dividend yield, BAC or PSBD?
PSBD has the higher forward dividend yield at 14.57%, versus 2.59% for BAC.
Is BAC or PSBD safer?
BAC has the higher dividend-safety score (85/100 vs 46/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or PSBD better value right now?
As of Nov 8, 2026, PSBD looks like the better value: its fair-value estimate is 118% above its share price (undervalued). For BAC, its fair-value estimate is 29% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.