SmarterDividends

HD vs RECT: Which Is the Better Dividend Stock?

As of Oct 27, 2026, RECT (Rectitude Holdings Ltd) screens as the stronger dividend stock, winning 3 of 5 head-to-head metrics. RECT offers the higher yield at 7.75%, HD has the higher dividend-safety score, and RECT looks like the better value (its fair-value estimate is 137% above its share price).

Key facts: HD vs RECT

Data as of · Source: SmarterDividends data

  • As of Oct 27, 2026, Rectitude Holdings Ltd (RECT) has the higher forward dividend yield at 7.75%, versus 2.92% for The Home Depot, Inc. (HD).
  • By SmarterDividends' count as of Oct 27, 2026, HD has raised its dividend for 16 consecutive years and RECT for 0.
  • As of Oct 27, 2026, HD's fair-value estimate is 17% below its share price and RECT's fair-value estimate is 137% above its share price, so RECT looks like the better value of the two on SmarterDividends' blended model.
Cite this page

SmarterDividends, "HD vs RECT: Dividend Yield, Safety & Value Compared," updated Oct 27, 2026, https://smarterdividends.com/compare/hd-vs-rect

MetricHDRECT
Forward yield2.92%7.75%
Annual dividend$9.32$0.10
Payout ratio65%0%
Years of growth16 yr0 yr
5-yr dividend growth8.9%—
5-yr total return-20%—
Dividend safety score85 (A)—
Fair value estimate$266.02$3.04
Upside to fair value-17%+137%
Frequencyquarterlyannual
Market cap$318.6B$19.8M
P/E ratio22.36.7

Higher yield

RECT

7.75%

Safer dividend

HD

Grade A

Faster growth

HD

8.9%

Better value

RECT

+137% upside

HD vs RECT — FAQ

Is HD or RECT a better dividend stock?

On the data, RECT wins more head-to-head categories (3 vs 2). RECT offers the higher yield (7.75%), while HD has the stronger dividend-safety score. The right pick depends on whether you prioritise income, safety or value.

Which has a higher dividend yield, HD or RECT?

RECT has the higher forward dividend yield at 7.75%, versus 2.92% for HD.

Is HD or RECT safer?

Compare each stock's payout ratio, growth streak and cut history on its detail page to judge safety.

Is HD or RECT better value right now?

As of Oct 27, 2026, RECT looks like the better value: its fair-value estimate is 137% above its share price (undervalued). For HD, its fair-value estimate is 17% below its share price.

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