HBCYF vs VGM: Which Is the Better Dividend Stock?
As of Nov 8, 2026, HBCYF (HSBC Holdings plc) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. VGM offers the higher yield at 8.24%, HBCYF has the higher dividend-safety score, and HBCYF looks like the better value (its fair-value estimate is 40% above its share price).
Key facts: HBCYF vs VGM
Data as of · Source: SmarterDividends data
- As of Nov 8, 2026, Invesco Trust for Investment Grade Municipals (VGM) has the higher forward dividend yield at 8.24%, versus 2.29% for HSBC Holdings plc (HBCYF).
- As of Nov 8, 2026, SmarterDividends grades HBCYF's dividend safety C (56/100) and VGM's C (55/100).
- By SmarterDividends' count as of Nov 8, 2026, HBCYF has raised its dividend for 0 consecutive years and VGM for 2.
- As of Nov 8, 2026, HBCYF pays out 54% of its earnings as dividends and VGM pays out 250%.
- As of Nov 8, 2026, HBCYF's fair-value estimate is 40% above its share price and VGM's fair-value estimate is 24% above its share price, so HBCYF looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "HBCYF vs VGM: Dividend Yield, Safety & Value Compared," updated Nov 8, 2026, https://smarterdividends.com/compare/hbcyf-vs-vgm
| Metric | HBCYF | VGM |
|---|---|---|
| Forward yield | 2.29% | 8.24% |
| Annual dividend | $0.40 | $0.78 |
| Payout ratio | 54% | 250% |
| Years of growth | 0 yr | 2 yr |
| 5-yr dividend growth | — | 4.8% |
| 5-yr total return | 214% | -31% |
| Dividend safety score | 56 (C) | 55 (C) |
| Fair value estimate | $24.43 | $11.70 |
| Upside to fair value | +40% | +24% |
| Frequency | quarterly | monthly |
| Market cap | $298.7B | $510.3M |
| P/E ratio | 11.4 | 30.4 |
Higher yield
VGM
8.24%
Safer dividend
HBCYF
Grade C
Faster growth
VGM
4.8%
Better value
HBCYF
+40% upside
HBCYF vs VGM — FAQ
Is HBCYF or VGM a better dividend stock?
On the data, HBCYF wins more head-to-head categories (4 vs 3). VGM offers the higher yield (8.24%), while HBCYF has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, HBCYF or VGM?
VGM has the higher forward dividend yield at 8.24%, versus 2.29% for HBCYF.
Is HBCYF or VGM safer?
HBCYF has the higher dividend-safety score (56/100 vs 55/100), reflecting stronger payout coverage and dividend-growth history.
Is HBCYF or VGM better value right now?
As of Nov 8, 2026, HBCYF looks like the better value: its fair-value estimate is 40% above its share price (undervalued). For VGM, 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.