SmarterDividends

ALSN vs HD: Which Is the Better Dividend Stock?

As of Oct 18, 2026, ALSN (Allison Transmission Holdings, Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. HD offers the higher yield at 3.01%, ALSN has the higher dividend-safety score, and ALSN looks like the better value (its fair-value estimate is 45% above its share price).

Key facts: ALSN vs HD

Data as of · Source: SmarterDividends data

  • As of Oct 18, 2026, The Home Depot, Inc. (HD) has the higher forward dividend yield at 3.01%, versus 1.04% for Allison Transmission Holdings, Inc. (ALSN).
  • As of Oct 18, 2026, SmarterDividends grades ALSN's dividend safety A (86/100) and HD's A (85/100).
  • By SmarterDividends' count as of Oct 18, 2026, ALSN has raised its dividend for 6 consecutive years and HD for 16.
  • As of Oct 18, 2026, ALSN pays out 18% of its earnings as dividends and HD pays out 65%.
  • As of Oct 18, 2026, ALSN's fair-value estimate is 45% above its share price and HD's fair-value estimate is 14% below its share price, so ALSN looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "ALSN vs HD: Dividend Yield, Safety & Value Compared," updated Oct 18, 2026, https://smarterdividends.com/compare/alsn-vs-hd

MetricALSNHD
Forward yield1.04%3.01%
Annual dividend$1.16$9.32
Payout ratio18%65%
Years of growth6 yr16 yr
5-yr dividend growth9.7%8.9%
5-yr total return223%-23%
Dividend safety score86 (A)85 (A)
Fair value estimate$161.57$266.02
Upside to fair value+45%-14%
Frequencyquarterlyquarterly
Market cap$9.2B$308.9B
P/E ratio17.821.7

Higher yield

HD

3.01%

Safer dividend

ALSN

Grade A

Faster growth

ALSN

9.7%

Better value

ALSN

+45% upside

ALSN vs HD — FAQ

Is ALSN or HD a better dividend stock?

On the data, ALSN wins more head-to-head categories (5 vs 3). HD offers the higher yield (3.01%), while ALSN has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, ALSN or HD?

HD has the higher forward dividend yield at 3.01%, versus 1.04% for ALSN.

Is ALSN or HD safer?

ALSN has the higher dividend-safety score (86/100 vs 85/100), reflecting stronger payout coverage and dividend-growth history.

Is ALSN or HD better value right now?

As of Oct 18, 2026, ALSN looks like the better value: its fair-value estimate is 45% above its share price (undervalued). For HD, its fair-value estimate is 14% below its share price.

See more dividend stock comparisons · data refreshes daily · for informational purposes only, not investment advice.