Americans have always loved working on their homes and gardens, and that has been a major boon for Home Depot, the biggest home improvement retailer in the U.S. As the company’s profits have continued to grow over the years and decades, the company has increasingly rewarded its stockholders with cash dividend payments.
Here’s what you need to know about Home Depot’s dividend.
Home Depot dividend quick facts
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Yield: |
2.72% * |
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Payout ratio: |
65% |
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Frequency: |
Quarterly |
*Yield based on Home Depot’s stock price as of early April 2026.
How often does Home Depot pay dividends?
Home Depot pays a cash dividend on a quarterly basis, and payments have typically been made in March, June, September, and December. The company operates on a fiscal-year basis, usually declared at the end of January or February.
For fiscal 2025, the yearly period ended on February 1, 2026.
Home Depot has also rewarded stockholders with stock splits, which benefit investors who held shares before each split. It has conducted nine stock splits since going public in 1987, with the last one occuring in 1999.
Related: Home Depot’s Atlanta headquarters: Everything you need to know
When did Home Depot start paying dividends?
Home Depot paid its first cash dividend on June 22, 1987, to stockholders of record as of June 8 that year. For fiscal 1987, the company’s dividend payments totaled 6 cents per share, according to Home Depot’s 1987 annual report.
That first dividend payment came over three years after Home Depot’s shares started trading on the New York Stock Exchange.
How big is Home Depot’s dividend?
Home Depot’s dividend payments have continued to increase as the company’s earnings have grown.
For example, Home Depot’s net income was $14 billionin 2025, compared to $7 billion in 2015. For March 2026, it paid a dividend of $2.33 a share — up from $2.30 a share from its previous quarterly dividend payment in December 2025 and significantly higher than the 59 cents it paid quarterly in 2015.
For 2025, total annual dividends amounted to $9.20 per share, which indicatinga dividend yield of 2.67% based on Home Depot’s closing price on Dec. 31. That’s more than double the average yield of the S&P 500 (1.15%) based on data compiled by multpl.com.
More on Home Depot:
- Home Depot over the years: A complete history of America’s biggest hardware store
- Home Depot founder Arthur Blank’s net worth: Investments, Atlanta Falcons & ranches
- Home Depot founder Bernard Marcus’s net worth: From fired CEO to entrepreneur
Is Home Depot a dividend aristocrat?
Standard and Poor’s puts out its S&P 500 Dividend Aristocrats Index, and that includes S&P 500 companies that have increased dividend payments for at least 25 consecutive years. Home Depot has consistently paid a dividend for almost 40 years but has only increased its dividends on an annual basis for the past 16 years, with the first increase in this series taking place in 2010.
Still, Home Depot’s indicated dividend yield at the end of March 2026 was 2.81%, just slightly above the 2.64% average of the S&P 500 Dividend Aristocrats Index. A stock split, though, could jeopardize its chances of continued dividend increases on a per-share basis.
Is Home Depot’s dividend safe?
Home Depot’s earnings have risen over the year, and as long as the company continues to grow, dividend payments are likely to remain high. Its payout ratio — total cash dividend payments divided by annual earnings per share — was 65% in 2025, indicating that it focused on returning cash to shareholders. In 2015, its payout ratio was lower, at 43%.
By comparison, Nvidia’s payout ratio was much lower, at 0.8%, as the tech giant prioritized growing its revenue and market share in artificial intelligence.
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