SmarterDividends

BABA vs HD: Which Is the Better Dividend Stock?

As of July 2026, HD (The Home Depot, Inc.) screens as the stronger dividend stock, winning 5 of 7 head-to-head metrics. HD offers the higher yield at 2.75%, HD has the higher dividend-safety score, and BABA trades at the larger discount to fair value (+7%).

MetricBABAHD
Forward yield0.91%2.75%
Annual dividend$1.05$9.32
Payout ratio17%66%
Years of growth2 yr16 yr
5-yr dividend growth8.9%
5-yr total return-31%4%
Dividend safety score58 (C)84 (A)
Fair value estimate$123.47$255.76
Upside to fair value+7%-25%
Frequencyannualquarterly
Market cap$288.4B$332.1B
P/E ratio17.724.1

Higher yield

HD

2.75%

Safer dividend

HD

Grade A

Faster growth

HD

8.9%

Better value

BABA

+7% upside

BABA vs HD — FAQ

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