BP vs SHEL: Which Is the Better Dividend Stock?
As of Oct 25, 2026, SHEL (Shell plc) screens as the stronger dividend stock, winning 7 of 8 head-to-head metrics. BP offers the higher yield at 3.93%, SHEL has the higher dividend-safety score, and SHEL looks like the better value (its fair-value estimate is 21% below its share price).
Key facts: BP vs SHEL
Data as of · Source: SmarterDividends data
- As of Oct 25, 2026, BP p.l.c. (BP) has the higher forward dividend yield at 3.93%, versus 2.89% for Shell plc (SHEL).
- As of Oct 25, 2026, SmarterDividends grades BP's dividend safety B (68/100) and SHEL's B (74/100).
- By SmarterDividends' count as of Oct 25, 2026, BP has raised its dividend for 4 consecutive years and SHEL for 5.
- As of Oct 25, 2026, BP pays out 95% of its earnings as dividends and SHEL pays out 33%.
- As of Oct 25, 2026, BP's fair-value estimate is 28% below its share price and SHEL's fair-value estimate is 21% below its share price, so SHEL looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "BP vs SHEL: Dividend Yield, Safety & Value Compared," updated Oct 25, 2026, https://smarterdividends.com/compare/bp-vs-shel
| Metric | BP | SHEL |
|---|---|---|
| Forward yield | 3.93% | 2.89% |
| Annual dividend | $2.02 | $3.12 |
| Payout ratio | 95% | 33% |
| Years of growth | 4 yr | 5 yr |
| 5-yr dividend growth | 0.7% | 17.2% |
| 5-yr total return | 98% | 157% |
| Dividend safety score | 68 (B) | 74 (B) |
| Fair value estimate | $37.00 | $85.61 |
| Upside to fair value | -28% | -21% |
| Frequency | quarterly | quarterly |
| Market cap | $132.2B | $307.4B |
| P/E ratio | 25.0 | 11.9 |
Higher yield
BP
3.93%
Safer dividend
SHEL
Grade B
Faster growth
SHEL
17.2%
Better value
SHEL
-21% upside
BP vs SHEL — FAQ
Is BP or SHEL a better dividend stock?
On the data, SHEL wins more head-to-head categories (7 vs 1). BP offers the higher yield (3.93%), while SHEL has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, BP or SHEL?
BP has the higher forward dividend yield at 3.93%, versus 2.89% for SHEL.
Is BP or SHEL safer?
SHEL has the higher dividend-safety score (74/100 vs 68/100), reflecting stronger payout coverage and dividend-growth history.
Is BP or SHEL better value right now?
As of Oct 25, 2026, SHEL looks like the better value: its fair-value estimate is 21% below its share price (overvalued). For BP, its fair-value estimate is 28% below its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.