SmarterDividends

HSBC vs NEWT: Which Is the Better Dividend Stock?

As of Oct 18, 2026, HSBC (HSBC Holdings plc) screens as the stronger dividend stock, winning 5 of 7 head-to-head metrics. NEWT offers the higher yield at 6.90%, 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 NEWT

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, NewtekOne, Inc. (NEWT) has the higher forward dividend yield at 6.90%, versus 3.97% for HSBC Holdings plc (HSBC).
  • As of Oct 18, 2026, SmarterDividends grades HSBC's dividend safety B (72/100) and NEWT's C (60/100).
  • As of Oct 18, 2026, HSBC pays out 54% of its earnings as dividends and NEWT pays out 43%.
  • As of Oct 18, 2026, HSBC's fair-value estimate is 44% above its share price and NEWT's fair-value estimate is 10% above its share price, so HSBC looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "HSBC vs NEWT: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/hsbc-vs-newt

MetricHSBCNEWT
Forward yield3.97%6.90%
Annual dividend$3.75$0.76
Payout ratio54%43%
Years of growth0 yr0 yr
5-yr dividend growth-13.8%-18.0%
5-yr total return242%-64%
Dividend safety score72 (B)60 (C)
Fair value estimate$135.99$12.11
Upside to fair value+44%+10%
Frequencyquarterlyquarterly
Market cap$323.4B$318.0M
P/E ratio13.55.0

Higher yield

NEWT

6.90%

Safer dividend

HSBC

Grade B

Faster growth

HSBC

-13.8%

Better value

HSBC

+44% upside

HSBC vs NEWT — FAQ

Is HSBC or NEWT a better dividend stock?

On the data, HSBC wins more head-to-head categories (5 vs 2). NEWT offers the higher yield (6.90%), 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 NEWT?

NEWT has the higher forward dividend yield at 6.90%, versus 3.97% for HSBC.

Is HSBC or NEWT safer?

HSBC has the higher dividend-safety score (72/100 vs 60/100), reflecting stronger payout coverage and dividend-growth history.

Is HSBC or NEWT 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 NEWT, its fair-value estimate is 10% above its share price.

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