The Home Depot, Inc.
HDConsumer Cyclical · Stock · quarterly payer
Forward Yield
2.90%
Annual Dividend
$9.32
Payout Ratio
65%
5-Yr Growth
8.9%
Ex-Date
Sep 3, 2026
Frequency
Quarterly
Summary
As of September 2026, The Home Depot, Inc. (HD) yields 2.90% ($9.32 per share annually), with a blended fair-value estimate of $253.54 — -21% downside, so it screens as overvalued. Dividend safety grade: A (85/100). 16 years of dividend growth.
Is HD a good dividend stock?
YesThe Home Depot, Inc. (HD) pays a quarterly dividend yielding 2.90% ($9.32/yr), with 16 years of growth and a dividend-safety grade of A. It scores well across payout coverage, growth history and safety — a dependable income holding.
Advantages
- 16 consecutive years of dividend growth
- Never cut its dividend on record
- Strong 8.9% 5-yr dividend growth
- Top-tier dividend safety score
Risks
- Share price is down over the past 5 years
Key Data
- Dividend Yield
- 2.90%
- Payout Ratio
- 65%
- Annual Dividend
- $9.32
- 5-Yr Avg Growth
- 8.9%
- Ex-Dividend Date
- Sep 3, 2026
- Years of Growth
- 16
- Frequency
- quarterly
- Beta
- 0.95
- Market Cap
- $313.0B
- P/E Ratio
- 22.0
- 5-Yr Total Return
- -2%
- 52-Week Range
- $289.10 – $426.75
- Dividend Safety
- A · 85/100
- Ever Cut?
- No
Frequently Asked Questions
HD Price — Last 12 Months
Daily close
Price Return
1 Year
-21%
3 Years
+6%
5 Years
-2%
52-Week Range
$289.10 – $426.75
Price change over each period (excludes dividends). Past performance doesn't guarantee future results.
What is HD worth?
Overvaluedhigh confidenceOur blended fair-value estimate for The Home Depot, Inc. is $253.54 per share, versus a market price of $321.05. That implies 21% of downside.
Fair Value
$253.54
Current Price
$321.05
Downside
-21%
Margin of Safety
-27%
How we get there
Discounted cash flow
Discounts projected free cash flow back to today.
Dividend discount
Discounts the future dividend stream back to today.
Earnings multiple (Graham)
Graham's earnings-multiple formula, anchored to bond yields.
At today's price, the market is pricing in about 13.2% annual free-cash-flow growth. We model 8.5% — so the price already assumes faster growth than we think is likely.
Assumptions: 9.1% discount rate (CAPM), 8.5% stage-1 growth, 2.5% terminal growth, $14.29 EPS, $9.32 annual dividend. Updated weekly.
Fair-value estimates are model output for educational purposes only — not investment advice or a price target.
HD Dividend Safety Score
Very Safe
SmarterDividends' proprietary score, backtested against which dividends were actually cut over 15+ years (0.78 AUC). It blends a validated cut-risk model (growth streak, cut history) with current payout, cash-flow and debt. Higher is safer · not investment advice.
Dividend Growth
Total dividends per share by year
Dividend History
| Ex-Date | Pay Date | Amount | Type |
|---|---|---|---|
| Sep 3, 2026 | — | $2.3300 | regular |
| Jun 4, 2026 | — | $2.3300 | regular |
| Mar 12, 2026 | — | $2.3300 | regular |
| Dec 4, 2025 | — | $2.3000 | regular |
| Sep 4, 2025 | — | $2.3000 | regular |
| Jun 5, 2025 | — | $2.3000 | regular |
| Mar 13, 2025 | — | $2.3000 | regular |
| Nov 27, 2024 | — | $2.2500 | regular |
| Aug 29, 2024 | — | $2.2500 | regular |
| May 30, 2024 | — | $2.2500 | regular |
| Mar 6, 2024 | — | $2.2500 | regular |
| Nov 29, 2023 | — | $2.0900 | regular |
| Aug 30, 2023 | — | $2.0900 | regular |
| May 31, 2023 | — | $2.0900 | regular |
Income Calculator
At $9.32 / yr per share
