HSBC vs PMO: Which Is the Better Dividend Stock?
As of Oct 18, 2026, HSBC and PMO are closely matched. PMO offers the higher yield at 6.41%, HSBC has the higher dividend-safety score, and PMO looks like the better value (its fair-value estimate is 103% above its share price).
Key facts: HSBC vs PMO
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Franklin Municipal Opportunities Trust (PMO) has the higher forward dividend yield at 6.41%, versus 3.97% for HSBC Holdings plc (HSBC).
- As of Oct 18, 2026, SmarterDividends grades HSBC's dividend safety B (72/100) and PMO's C (53/100).
- As of Oct 18, 2026, HSBC pays out 54% of its earnings as dividends and PMO pays out 55%.
- As of Oct 18, 2026, HSBC's fair-value estimate is 44% above its share price and PMO's fair-value estimate is 103% above its share price, so PMO looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "HSBC vs PMO: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/hsbc-vs-pmo
| Metric | HSBC | PMO |
|---|---|---|
| Forward yield | 3.97% | 6.41% |
| Annual dividend | $3.75 | $0.62 |
| Payout ratio | 54% | 55% |
| Years of growth | 0 yr | 1 yr |
| 5-yr dividend growth | -13.8% | -6.6% |
| 5-yr total return | 242% | -31% |
| Dividend safety score | 72 (B) | 53 (C) |
| Fair value estimate | $135.99 | $19.80 |
| Upside to fair value | +44% | +103% |
| Frequency | quarterly | monthly |
| Market cap | $323.4B | $273.0M |
| P/E ratio | 13.5 | 11.4 |
Higher yield
PMO
6.41%
Safer dividend
HSBC
Grade B
Faster growth
PMO
-6.6%
Better value
PMO
+103% upside
HSBC vs PMO — FAQ
Is HSBC or PMO a better dividend stock?
HSBC and PMO are closely matched. PMO has the higher yield; HSBC scores better on safety.
Which has a higher dividend yield, HSBC or PMO?
PMO has the higher forward dividend yield at 6.41%, versus 3.97% for HSBC.
Is HSBC or PMO safer?
HSBC has the higher dividend-safety score (72/100 vs 53/100), reflecting stronger payout coverage and dividend-growth history.
Is HSBC or PMO better value right now?
As of Oct 18, 2026, PMO looks like the better value: its fair-value estimate is 103% above its share price (undervalued). For HSBC, its fair-value estimate is 44% above its share price.
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