MO vs PM: Which Is the Better Dividend Stock?
As of Oct 8, 2026, MO (Altria Group, Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. MO offers the higher yield at 6.40%, MO has the higher dividend-safety score, and MO looks like the better value (its fair-value estimate is 24% above its share price).
Key facts: MO vs PM
Data as of · Source: SmarterDividends data
- As of Oct 8, 2026, Altria Group, Inc. (MO) has the higher forward dividend yield at 6.40%, versus 3.32% for Philip Morris International Inc. (PM).
- As of Oct 8, 2026, SmarterDividends grades MO's dividend safety A (81/100) and PM's B (72/100).
- By SmarterDividends' count as of Oct 8, 2026, MO has raised its dividend for 17 consecutive years and PM for 13.
- As of Oct 8, 2026, MO pays out 89% of its earnings as dividends and PM pays out 84%.
- As of Oct 8, 2026, MO's fair-value estimate is 24% above its share price and PM's fair-value estimate is 15% below its share price, so MO looks like the better value of the two on SmarterDividends' blended model.
Cite this page
SmarterDividends, "MO vs PM: Dividend Yield, Safety & Value Compared," updated Oct 8, 2026, https://smarterdividends.com/compare/mo-vs-pm
| Metric | MO | PM |
|---|---|---|
| Forward yield | 6.40% | 3.32% |
| Annual dividend | $4.44 | $6.40 |
| Payout ratio | 89% | 84% |
| Years of growth | 17 yr | 13 yr |
| 5-yr dividend growth | 4.1% | 3.5% |
| 5-yr total return | 53% | 98% |
| Dividend safety score | 81 (A) | 72 (B) |
| Fair value estimate | $86.09 | $162.84 |
| Upside to fair value | +24% | -15% |
| Frequency | quarterly | quarterly |
| Market cap | $115.8B | $300.3B |
| P/E ratio | 14.4 | 27.4 |
Higher yield
MO
6.40%
Safer dividend
MO
Grade A
Faster growth
MO
4.1%
Better value
MO
+24% upside
MO vs PM — FAQ
Is MO or PM a better dividend stock?
On the data, MO wins more head-to-head categories (5 vs 3). MO offers the higher yield (6.40%), while MO has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.
Which has a higher dividend yield, MO or PM?
MO has the higher forward dividend yield at 6.40%, versus 3.32% for PM.
Is MO or PM safer?
MO has the higher dividend-safety score (81/100 vs 72/100), reflecting stronger payout coverage and dividend-growth history.
Is MO or PM better value right now?
As of Oct 8, 2026, MO looks like the better value: its fair-value estimate is 24% above its share price (undervalued). For PM, its fair-value estimate is 15% below its share price.
See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.