HSBC vs PSEC-PA: Which Is the Better Dividend Stock?
As of Oct 18, 2026, HSBC (HSBC Holdings plc) screens as the stronger dividend stock, winning 3 of 5 head-to-head metrics. PSEC-PA offers the higher yield at 9.21%, PSEC-PA 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 PSEC-PA
Data as of · Source: SmarterDividends data
- As of Oct 18, 2026, Prospect Capital Corporation (PSEC-PA) has the higher forward dividend yield at 9.21%, versus 3.97% for HSBC Holdings plc (HSBC).
- As of Oct 18, 2026, SmarterDividends grades HSBC's dividend safety B (72/100) and PSEC-PA's B (75/100).
- As of Oct 18, 2026, HSBC's fair-value estimate is 44% above its share price and PSEC-PA's fair-value estimate is 28% above its share price, so HSBC looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "HSBC vs PSEC-PA: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/hsbc-vs-psec-pa
| Metric | HSBC | PSEC-PA |
|---|---|---|
| Forward yield | 3.97% | 9.21% |
| Annual dividend | $3.75 | $1.34 |
| Payout ratio | 54% | — |
| Years of growth | 0 yr | 0 yr |
| 5-yr dividend growth | -13.8% | — |
| 5-yr total return | 242% | -33% |
| Dividend safety score | 72 (B) | 75 (B) |
| Fair value estimate | $135.99 | $18.54 |
| Upside to fair value | +44% | +28% |
| Frequency | quarterly | quarterly |
| Market cap | $323.4B | — |
| P/E ratio | 13.5 | 6.9 |
Higher yield
PSEC-PA
9.21%
Safer dividend
PSEC-PA
Grade B
Faster growth
HSBC
-13.8%
Better value
HSBC
+44% upside
HSBC vs PSEC-PA — FAQ
Is HSBC or PSEC-PA a better dividend stock?
On the data, HSBC wins more head-to-head categories (3 vs 2). PSEC-PA offers the higher yield (9.21%), while PSEC-PA 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 PSEC-PA?
PSEC-PA has the higher forward dividend yield at 9.21%, versus 3.97% for HSBC.
Is HSBC or PSEC-PA safer?
PSEC-PA has the higher dividend-safety score (75/100 vs 72/100), reflecting stronger payout coverage and dividend-growth history.
Is HSBC or PSEC-PA 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 PSEC-PA, its fair-value estimate is 28% above its share price.
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See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.