The best replacement for dnsmasq is bind.

The best alternatives to dnsmasq are rated as following:
★★★★★  bind
★★★  dhcp
★★★  unbound
★★★  nscd
★★★  udhcpd
★★★  named
★★  isc-dhcp-server
★★  powerdns
★★  pdnsd
★★  isc- dhcp
★  djbdns
★  bind9
  dhcpd

Your alternative for dnsmasq is not listed? Suggest!
Speaking about dnsmasq, one probably shouldn't forget about libvirt.

Other search terms related to dnsmasq and their ratings are:
★★★★★ libvirt
You have in mind a companion for dnsmasq and it is not yet here? Propose!



Google Trends

Scale is based on the average worldwide traffic of dnsmasq in all years. Click on graph for more.
dnsmasq
bind
dhcp