SmarterDividends

FAF vs HSBC: Which Is the Better Dividend Stock?

As of Oct 24, 2026, FAF (First American Financial Corporation) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. HSBC offers the higher yield at 4.14%, FAF has the higher dividend-safety score, and FAF looks like the better value (its fair-value estimate is 80% above its share price).

Key facts: FAF vs HSBC

Data as of · Source: SmarterDividends data

  • As of Oct 24, 2026, HSBC Holdings plc (HSBC) has the higher forward dividend yield at 4.14%, versus 3.77% for First American Financial Corporation (FAF).
  • As of Oct 24, 2026, SmarterDividends grades FAF's dividend safety A (92/100) and HSBC's B (72/100).
  • By SmarterDividends' count as of Oct 24, 2026, FAF has raised its dividend for 14 consecutive years and HSBC for 0.
  • As of Oct 24, 2026, FAF pays out 30% of its earnings as dividends and HSBC pays out 54%.
  • As of Oct 24, 2026, FAF's fair-value estimate is 80% above its share price and HSBC's fair-value estimate is 52% above its share price, so FAF looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "FAF vs HSBC: Dividend Yield, Safety & Value Compared," updated Oct 24, 2026, https://smarterdividends.com/compare/faf-vs-hsbc

MetricFAFHSBC
Forward yield3.77%4.14%
Annual dividend$2.44$3.75
Payout ratio30%54%
Years of growth14 yr0 yr
5-yr dividend growth4.1%-13.8%
5-yr total return-13%228%
Dividend safety score92 (A)72 (B)
Fair value estimate$116.22$138.06
Upside to fair value+80%+52%
Frequencyquarterlyquarterly
Market cap$6.6B$310.1B
P/E ratio9.013.0

Higher yield

HSBC

4.14%

Safer dividend

FAF

Grade A

Faster growth

FAF

4.1%

Better value

FAF

+80% upside

FAF vs HSBC — FAQ

Is FAF or HSBC a better dividend stock?

On the data, FAF wins more head-to-head categories (5 vs 3). HSBC offers the higher yield (4.14%), while FAF has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, FAF or HSBC?

HSBC has the higher forward dividend yield at 4.14%, versus 3.77% for FAF.

Is FAF or HSBC safer?

FAF has the higher dividend-safety score (92/100 vs 72/100), reflecting stronger payout coverage and dividend-growth history.

Is FAF or HSBC better value right now?

As of Oct 24, 2026, FAF looks like the better value: its fair-value estimate is 80% above its share price (undervalued). For HSBC, its fair-value estimate is 52% above its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.