HSBC vs MSDL: Which Is the Better Dividend Stock?
As of Oct 18, 2026, HSBC (HSBC Holdings plc) screens as the stronger dividend stock, winning 4 of 6 head-to-head metrics. MSDL offers the higher yield at 13.81%, HSBC has the higher dividend-safety score, and HSBC looks like the better value (its fair-value estimate is 44% above its share price).
Key facts: HSBC vs MSDL
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Morgan Stanley Direct Lending Fund (MSDL) has the higher forward dividend yield at 13.81%, versus 3.97% for HSBC Holdings plc (HSBC).
- As of Oct 18, 2026, SmarterDividends grades HSBC's dividend safety B (72/100) and MSDL's D (40/100).
- As of Oct 18, 2026, HSBC pays out 54% of its earnings as dividends and MSDL pays out 275%.
- As of Oct 18, 2026, HSBC's fair-value estimate is 44% above its share price and MSDL's fair-value estimate is 40% above its share price, so HSBC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "HSBC vs MSDL: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/hsbc-vs-msdl
| Metric | HSBC | MSDL |
|---|---|---|
| Forward yield | 3.97% | 13.81% |
| Annual dividend | $3.75 | $1.80 |
| Payout ratio | 54% | 275% |
| Years of growth | 0 yr | 1 yr |
| 5-yr dividend growth | -13.8% | — |
| 5-yr total return | 242% | — |
| Dividend safety score | 72 (B) | 40 (D) |
| Fair value estimate | $135.99 | $18.25 |
| Upside to fair value | +44% | +40% |
| Frequency | quarterly | quarterly |
| Market cap | $323.4B | $1.1B |
| P/E ratio | 13.5 | 18.9 |
Higher yield
MSDL
13.81%
Safer dividend
HSBC
Grade B
Faster growth
HSBC
-13.8%
Better value
HSBC
+44% upside
HSBC vs MSDL — FAQ
Is HSBC or MSDL a better dividend stock?
On the data, HSBC wins more head-to-head categories (4 vs 2). MSDL offers the higher yield (13.81%), while HSBC has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, HSBC or MSDL?
MSDL has the higher forward dividend yield at 13.81%, versus 3.97% for HSBC.
Is HSBC or MSDL safer?
HSBC has the higher dividend-safety score (72/100 vs 40/100), reflecting stronger payout coverage and dividend-growth history.
Is HSBC or MSDL better value right now?
As of Oct 18, 2026, HSBC looks like the better value: its fair-value estimate is 44% above its share price (undervalued). For MSDL, its fair-value estimate is 40% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.