BAC vs SDHY: Which Is the Better Dividend Stock?
As of Oct 30, 2026, BAC (Bank of America Corporation) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. SDHY offers the higher yield at 8.53%, BAC has the higher dividend-safety score, and SDHY looks like the better value (its fair-value estimate is 56% above its share price).
Key facts: BAC vs SDHY
Data as of · Source: SmarterDividends data
- As of Oct 30, 2026, PGIM Short Duration High Yield Opportunities Fund (SDHY) has the higher forward dividend yield at 8.53%, versus 2.52% for Bank of America Corporation (BAC).
- As of Oct 30, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and SDHY's B (73/100).
- By SmarterDividends' count as of Oct 30, 2026, BAC has raised its dividend for 12 consecutive years and SDHY for 0.
- As of Oct 30, 2026, BAC pays out 26% of its earnings as dividends and SDHY pays out 199%.
- As of Oct 30, 2026, BAC's fair-value estimate is 24% above its share price and SDHY's fair-value estimate is 56% above its share price, so SDHY looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs SDHY: Dividend Yield, Safety & Value Compared," updated Oct 30, 2026, https://smarterdividends.com/compare/bac-vs-sdhy
| Metric | BAC | SDHY |
|---|---|---|
| Forward yield | 2.52% | 8.53% |
| Annual dividend | $1.28 | $1.30 |
| Payout ratio | 26% | 199% |
| Years of growth | 12 yr | 0 yr |
| 5-yr dividend growth | 8.4% | — |
| 5-yr total return | 12% | -15% |
| Dividend safety score | 87 (A) | 73 (B) |
| Fair value estimate | $63.43 | $23.96 |
| Upside to fair value | +24% | +56% |
| Frequency | quarterly | monthly |
| Market cap | $354.0B | $379.7M |
| P/E ratio | 12.2 | 23.7 |
Higher yield
SDHY
8.53%
Safer dividend
BAC
Grade A
Faster growth
BAC
8.4%
Better value
SDHY
+56% upside
BAC vs SDHY — FAQ
Is BAC or SDHY a better dividend stock?
On the data, BAC wins more head-to-head categories (4 vs 3). SDHY offers the higher yield (8.53%), 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 SDHY?
SDHY has the higher forward dividend yield at 8.53%, versus 2.52% for BAC.
Is BAC or SDHY safer?
BAC has the higher dividend-safety score (87/100 vs 73/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or SDHY better value right now?
As of Oct 30, 2026, SDHY looks like the better value: its fair-value estimate is 56% above its share price (undervalued). For BAC, its fair-value estimate is 24% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.