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
| Metric | DDS | HD |
|---|---|---|
| Forward yield | 0.18% | 2.93% |
| Annual dividend | $1.20 | $9.32 |
| Payout ratio | 3% | 65% |
| Years of growth | 15 yr | 16 yr |
| 5-yr dividend growth | 12.9% | 8.9% |
| 5-yr total return | 134% | -18% |
| Dividend safety score | 99 (A) | 85 (A) |
| Fair value estimate | $1,265.20 | $266.02 |
| Upside to fair value | +91% | -19% |
| Frequency | quarterly | quarterly |
| Market cap | $10.3B | $328.2B |
| P/E ratio | 15.2 | 23.0 |
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.
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