This Dividend Is Climbing To The MOON!
I love Home Depot. It’s one of my favorite dividend stocks.
They’ve paid dividends for 30 years!
Those payments have increased every year except during the 2007 financial crash.
I don’t mind…not many companies increased their dividends back then!
Home Depot is at it again with another dividend increase.
Now Home Depot is paying $2.30 every quarter.
If you want the payment you have to act FAST. You must own Home Depot before March 13th, 2025.
Miss that date, you miss the money!
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Editor’s Note: If you miss this deadline, don’t worry, we still love the stock. Do your research, then consider buying some HD! Keep reading to understand why we love the stock!
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The higher dividend pushes Home Depot’s yield to nearly 2.4%, which is one of their highest yields in 6 months.
2.4% doesn’t sound amazing, right? Here’s why we love Home Depot: dividend growth.
Home Depot is now paying $2.30 every quarter in dividends.
Do you know what Home Depot paid back in 2018? Only $1.03.
Home Depot has increased their dividends by more than 120% in 7 years!
That is incredible and one of the best growth rates in the entire market.
My favorite way to show this? Yield on cost.
Forget boring dividend charts.
Yield on cost uses your purchase price, not the current price.
Dividend yield matters for new investments. Yield on cost matters for what you already own.
Why? I only care about how much money I am getting. I have no interest in what new investors might get.
Most financial charts move left to right, but yield on cost moves right to left. 0Y is the current 2.4% dividend yield.
As we move farther back in time the yield on cost rises.
The reason is because of the dividend increases!
Let’s go back to 2018 when Home Depot was only paying $1.03 in dividends. The price of Home Depot stock was lower, so the company still had a dividend yield around 2.4%.
Again, 2.4% dividend yield isn’t great.
But if investors bought Home Depot back in 2018 their yield on cost would be almost 6%!
6% is a lot better than 2.4%!
Investors only had to wait 7 years!
If you go back 10 years the yield on cost is over 8%. That’s incredible!
But you only get these yields if you buy now.
If you wait too long you will miss their next payment!
Own Home Depot? Excited about the increase? Email me and let me know!
Michael Jennings, Editor
Dividend Stocks Research
Disclosure: Members of the team own Home Depot (HD) stock!
Category: Dividend Stocks
