SmarterDividends

DHI vs TM: Which Is the Better Dividend Stock?

As of September 2026, DHI (D.R. Horton, Inc.) screens as the stronger dividend stock, winning 5 of 8 head-to-head metrics. TM offers the higher yield at 3.27%, DHI has the higher dividend-safety score, and TM trades at the larger discount to fair value (+93%).

MetricDHITM
Forward yield1.30%3.27%
Annual dividend$1.80$6.27
Payout ratio17%26%
Years of growth12 yr3 yr
5-yr dividend growth17.9%10.3%
5-yr total return55%8%
Dividend safety score82 (A)57 (C)
Fair value estimate$79.80$368.92
Upside to fair value-42%+93%
Frequencyquarterlysemiannual
Market cap$38.6B$226.8B
P/E ratio13.28.5

Higher yield

TM

3.27%

Safer dividend

DHI

Grade A

Faster growth

DHI

17.9%

Better value

TM

+93% upside

DHI vs TM — FAQ

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