SmarterDividends

DDS vs HD: Which Is the Better Dividend Stock?

As of Oct 30, 2026, DDS (Dillard's, Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. HD offers the higher yield at 2.93%, DDS has the higher dividend-safety score, and DDS looks like the better value (its fair-value estimate is 91% above its share price).

Key facts: DDS vs HD

Data as of · Source: SmarterDividends data

  • As of Oct 30, 2026, The Home Depot, Inc. (HD) has the higher forward dividend yield at 2.93%, versus 0.18% for Dillard's, Inc. (DDS).
  • As of Oct 30, 2026, SmarterDividends grades DDS's dividend safety A (99/100) and HD's A (85/100).
  • By SmarterDividends' count as of Oct 30, 2026, DDS has raised its dividend for 15 consecutive years and HD for 16.
  • As of Oct 30, 2026, DDS pays out 3% of its earnings as dividends and HD pays out 65%.
  • As of Oct 30, 2026, DDS's fair-value estimate is 91% above its share price and HD's fair-value estimate is 19% below its share price, so DDS looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "DDS vs HD: Dividend Yield, Safety & Value Compared," updated Oct 30, 2026, https://smarterdividends.com/compare/dds-vs-hd

MetricDDSHD
Forward yield0.18%2.93%
Annual dividend$1.20$9.32
Payout ratio3%65%
Years of growth15 yr16 yr
5-yr dividend growth12.9%8.9%
5-yr total return134%-18%
Dividend safety score99 (A)85 (A)
Fair value estimate$1,265.20$266.02
Upside to fair value+91%-19%
Frequencyquarterlyquarterly
Market cap$10.3B$328.2B
P/E ratio15.223.0

Higher yield

HD

2.93%

Safer dividend

DDS

Grade A

Faster growth

DDS

12.9%

Better value

DDS

+91% upside

DDS vs HD — FAQ

Is DDS or HD a better dividend stock?

On the data, DDS wins more head-to-head categories (5 vs 3). HD offers the higher yield (2.93%), while DDS has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, DDS or HD?

HD has the higher forward dividend yield at 2.93%, versus 0.18% for DDS.

Is DDS or HD safer?

DDS has the higher dividend-safety score (99/100 vs 85/100), reflecting stronger payout coverage and dividend-growth history.

Is DDS or HD better value right now?

As of Oct 30, 2026, DDS looks like the better value: its fair-value estimate is 91% above its share price (undervalued). For HD, its fair-value estimate is 19% below its share price.

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