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VYM vs PM: Dividend Comparison 2026

VYM yields 2.91% · PM yields 4.27% · See full DRIP projection below

vsEnter any two US tickers
After 10 years · $10,000 invested · DRIP enabled
🏆 PM wins by $10.7K in total portfolio value
10 years
VYM
Vanguard High Dividend Yield ETF
2.91%
Share price
$118.40
Annual div
$3.44
5Y div CAGR
7.8%
Payout ratio
45%
After 10 yrs · $10,000 · DRIP
Portfolio value
$31.3K
Annual income
$785.17
Full VYM calculator →
PM
Philip Morris International
4.27%
Share price
$126.50
Annual div
$5.40
5Y div CAGR
2.8%
Payout ratio
84%
After 10 yrs · $10,000 · DRIP
Portfolio value
$42.0K
Annual income
$721.58
Full PM calculator →

Portfolio growth — VYM vs PM

Annual dividend income

MetricVYMPM
Forward yield2.91%4.27%
Annual dividend / share$3.44$5.40
Payout ratio45%84%
1-year div growth6.2%3.9%
5-year div CAGR7.8%2.8%
Portfolio after 10y$31.3K$42.0K
Annual income after 10y$785.17$721.58
Total dividends collected$5.2K$5.8K
Payment frequencyquarterlyquarterly
SectorETFConsumer Staples

Year-by-year: VYM vs PM ($10,000, DRIP)

YearVYM PortfolioVYM Income/yrPM PortfolioPM Income/yrGap
1$11,223$313.20$11,679$438.83$456.00PM
2$12,592$347.33$13,596$468.73$1.0KPM
3$14,123$385.04$15,781$499.06$1.7KPM
4$15,835$426.70$18,267$529.79$2.4KPM
5$17,748$472.73$21,093$560.89$3.3KPM
6$19,887$523.54$24,301$592.34$4.4KPM
7$22,276$579.64$27,939$624.14$5.7KPM
8$24,945$641.54$32,059$656.28$7.1KPM
9$27,925$709.84$36,723$688.76$8.8KPM
10$31,251$785.17$41,999$721.58$10.7KPM

VYM vs PM: Complete Analysis 2026

VYMETF

VYM tracks the FTSE High Dividend Yield Index, holding ~450 large-cap US companies with above-average dividend yields. With an ultra-low 0.06% expense ratio, it's one of the cheapest dividend ETFs available. Excellent core holding for long-term dividend growth investors seeking broad diversification and reliable income.

Full VYM Calculator →

PMConsumer Staples

Philip Morris International operates outside the US with an accelerating shift to smoke-free products. IQOS heated tobacco and ZYN nicotine pouches now represent 40%+ of revenue. PM has raised its dividend 16+ consecutive years since spinning off from Altria in 2008. The company targets $15B+ in smoke-free revenues by 2030.

Full PM Calculator →

Frequently Asked Questions

Is VYM or PM better for dividend income in 2026?
VYM currently offers a 2.91% yield (3.44/share/year) while PM offers 4.27% (5.40/share/year). PM provides higher current income. However, VYM has grown its dividend faster (7.8% 5Y CAGR), which may lead to better long-term income through compounding.
How much would $10,000 in VYM vs PM earn per year?
With $10,000 invested today: VYM pays approximately $291/year. PM pays approximately $427/year. With DRIP reinvestment over 10 years, these grow to $785/year (VYM) and $722/year (PM).
Does VYM or PM pay monthly dividends?
VYM pays quarterly dividends. PM pays quarterly dividends. Neither pay monthly — both use a quarterly schedule, which is preferred by investors who need regular cash flow.
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⚠️ Educational purposes only. Not financial advice. All projections use historical data; actual results will vary.