BAC vs TFSL: Which Is the Better Dividend Stock?
As of Oct 25, 2026, BAC (Bank of America Corporation) screens as the stronger dividend stock, winning 6 of 8 head-to-head metrics. TFSL offers the higher yield at 7.65%, BAC has the higher dividend-safety score, and TFSL looks like the better value (its fair-value estimate is 45% above its share price).
Key facts: BAC vs TFSL
Data as of · Source: SmarterDividends data
- As of Oct 25, 2026, TFS Financial Corporation (TFSL) has the higher forward dividend yield at 7.65%, versus 2.53% for Bank of America Corporation (BAC).
- As of Oct 25, 2026, SmarterDividends grades BAC's dividend safety A (87/100) and TFSL's B (77/100).
- By SmarterDividends' count as of Oct 25, 2026, BAC has raised its dividend for 12 consecutive years and TFSL for 0.
- As of Oct 25, 2026, BAC pays out 26% of its earnings as dividends and TFSL pays out 314%.
- As of Oct 25, 2026, BAC's fair-value estimate is 25% above its share price and TFSL's fair-value estimate is 45% above its share price, so TFSL looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BAC vs TFSL: Dividend Yield, Safety & Value Compared," updated Oct 25, 2026, https://smarterdividends.com/compare/bac-vs-tfsl
| Metric | BAC | TFSL |
|---|---|---|
| Forward yield | 2.53% | 7.65% |
| Annual dividend | $1.28 | $1.27 |
| Payout ratio | 26% | 314% |
| Years of growth | 12 yr | 0 yr |
| 5-yr dividend growth | 8.4% | 0.2% |
| 5-yr total return | 14% | -8% |
| Dividend safety score | 87 (A) | 77 (B) |
| Fair value estimate | $63.43 | $24.15 |
| Upside to fair value | +25% | +45% |
| Frequency | quarterly | quarterly |
| Market cap | $350.0B | $4.7B |
| P/E ratio | 12.1 | 46.1 |
Higher yield
TFSL
7.65%
Safer dividend
BAC
Grade A
Faster growth
BAC
8.4%
Better value
TFSL
+45% upside
BAC vs TFSL — FAQ
Is BAC or TFSL a better dividend stock?
On the data, BAC wins more head-to-head categories (6 vs 2). TFSL offers the higher yield (7.65%), 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 TFSL?
TFSL has the higher forward dividend yield at 7.65%, versus 2.53% for BAC.
Is BAC or TFSL safer?
BAC has the higher dividend-safety score (87/100 vs 77/100), reflecting stronger payout coverage and dividend-growth history.
Is BAC or TFSL better value right now?
As of Oct 25, 2026, TFSL looks like the better value: its fair-value estimate is 45% above its share price (undervalued). For BAC, its fair-value estimate is 25% above its share price.
Related comparisons
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.