HSBC vs LYG: Which Is the Better Dividend Stock?
As of September 2026, LYG (Lloyds Banking Group plc) screens as the stronger dividend stock, winning 4 of 7 head-to-head metrics. LYG offers the higher yield at 3.75%, HSBC has the higher dividend-safety score, and LYG trades at the larger discount to fair value (+108%).
| Metric | HSBC | LYG |
|---|---|---|
| Forward yield | 3.68% | 3.75% |
| Annual dividend | $3.75 | $0.22 |
| Payout ratio | 54% | 47% |
| Years of growth | 0 yr | 4 yr |
| 5-yr dividend growth | -13.8% | — |
| 5-yr total return | 239% | 114% |
| Dividend safety score | 72 (B) | 60 (C) |
| Fair value estimate | $138.49 | $12.09 |
| Upside to fair value | +36% | +108% |
| Frequency | quarterly | quarterly |
| Market cap | $348.5B | $83.9B |
| P/E ratio | 14.5 | 13.5 |
Higher yield
LYG
3.75%
Safer dividend
HSBC
Grade B
Faster growth
HSBC
-13.8%
Better value
LYG
+108% upside
HSBC vs LYG — FAQ
Related comparisons
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.