BAC vs SCHW: Which Is the Better Dividend Stock?
As of Nov 5, 2026, BAC and SCHW are closely matched. BAC offers the higher yield at 2.48%, SCHW has the higher dividend-safety score, and BAC looks like the better value (its fair-value estimate is 25% above its share price).
Key facts: BAC vs SCHW
Data as of · Source: SmarterDividends data
- As of Nov 5, 2026, Bank of America Corporation (BAC) has the higher forward dividend yield at 2.48%, versus 1.37% for The Charles Schwab Corporation (SCHW).
- As of Nov 5, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and SCHW's A (93/100).
- By SmarterDividends' count as of Nov 5, 2026, BAC has raised its dividend for 12 consecutive years and SCHW for 1.
- As of Nov 5, 2026, BAC pays out 28% of its earnings as dividends and SCHW pays out 21%.
- As of Nov 5, 2026, BAC's fair-value estimate is 25% above its share price and SCHW's fair-value estimate is 4% below its share price, so BAC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs SCHW: Dividend Yield, Safety & Value Compared," updated Nov 5, 2026, https://smarterdividends.com/compare/bac-vs-schw
| Metric | BAC | SCHW |
|---|---|---|
| Forward yield | 2.48% | 1.37% |
| Annual dividend | $1.28 | $1.28 |
| Payout ratio | 28% | 21% |
| Years of growth | 12 yr | 1 yr |
| 5-yr dividend growth | 8.4% | 8.4% |
| 5-yr total return | 12% | 14% |
| Dividend safety score | 87 (A) | 93 (A) |
| Fair value estimate | $63.43 | $88.72 |
| Upside to fair value | +25% | -4% |
| Frequency | quarterly | quarterly |
| Market cap | $349.9B | $160.6B |
| P/E ratio | 12.1 | 15.9 |
Higher yield
BAC
2.48%
Safer dividend
SCHW
Grade A
Faster growth
BAC
8.4%
Better value
BAC
+25% upside
BAC vs SCHW — FAQ
Is BAC or SCHW a better dividend stock?
BAC and SCHW are closely matched. BAC has the higher yield; SCHW scores better on safety.
Which has a higher dividend yield, BAC or SCHW?
BAC has the higher forward dividend yield at 2.48%, versus 1.37% for SCHW.
Is BAC or SCHW safer?
SCHW has the higher dividend-safety score (93/100 vs 87/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or SCHW better value right now?
As of Nov 5, 2026, BAC looks like the better value: its fair-value estimate is 25% above its share price (undervalued). For SCHW, its fair-value estimate is 4% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.