BF-A vs COST: Which Is the Better Dividend Stock?
As of Oct 28, 2026, COST (Costco Wholesale Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. BF-A offers the higher yield at 3.10%, COST has the higher dividend-safety score, and BF-A looks like the better value (its fair-value estimate is 19% above its share price).
Key facts: BF-A vs COST
Data as of · Source: SmarterDividends data
- As of Oct 28, 2026, Brown-Forman Corporation (BF-A) has the higher forward dividend yield at 3.10%, versus 0.59% for Costco Wholesale Corporation (COST).
- As of Oct 28, 2026, SmarterDividends grades BF-A's dividend safety A (92/100) and COST's A (97/100).
- By SmarterDividends' count as of Oct 28, 2026, BF-A has raised its dividend for 38 consecutive years and COST for 21.
- As of Oct 28, 2026, BF-A pays out 59% of its earnings as dividends and COST pays out 27%.
- As of Oct 28, 2026, BF-A's fair-value estimate is 19% above its share price and COST's fair-value estimate is 51% below its share price, so BF-A looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BF-A vs COST: Dividend Yield, Safety & Value Compared," updated Oct 28, 2026, https://smarterdividends.com/compare/bf-a-vs-cost
| Metric | BF-A | COST |
|---|---|---|
| Forward yield | 3.10% | 0.59% |
| Annual dividend | $0.92 | $5.88 |
| Payout ratio | 59% | 27% |
| Years of growth | 38 yr | 21 yr |
| 5-yr dividend growth | 5.4% | 13.0% |
| 5-yr total return | -54% | 86% |
| Dividend safety score | 92 (A) | 97 (A) |
| Fair value estimate | $34.65 | $489.60 |
| Upside to fair value | +19% | -51% |
| Frequency | quarterly | quarterly |
| Market cap | $13.4B | $439.6B |
| P/E ratio | 18.8 | 47.8 |
Higher yield
BF-A
3.10%
Safer dividend
COST
Grade A
Faster growth
COST
13.0%
Better value
BF-A
+19% upside
BF-A vs COST — FAQ
Is BF-A or COST a better dividend stock?
On the data, COST wins more head-to-head categories (5 vs 3). BF-A offers the higher yield (3.10%), while COST has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, BF-A or COST?
BF-A has the higher forward dividend yield at 3.10%, versus 0.59% for COST.
Is BF-A or COST safer?
COST has the higher dividend-safety score (97/100 vs 92/100), reflecting stronger payout coverage and dividend-growth history.
Is BF-A or COST better value right now?
As of Oct 28, 2026, BF-A looks like the better value: its fair-value estimate is 19% above its share price (undervalued). For COST, its fair-value estimate is 51% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.