Hd Stock: Home Depot Raises Dividend and Lays Out Fiscal 2026 Guidance After Mixed Fiscal 2025 Results

Investors tracking hd stock received a full update when Home Depot released fourth quarter and fiscal 2025 results and announced a 1. 3% quarterly dividend increase. The numbers show a mix of shrinking headline profits, steady comparable-sales trends and explicit guidance for fiscal 2026—details that matter for shareholders watching payout policy and near-term growth prospects.

Hd Stock reaction to fourth quarter and full-year results

For the fourth quarter of fiscal 2025, Home Depot reported sales of $38. 2 billion, a decline of $1. 5 billion, or 3. 8%, from the prior year quarter. The company noted the quarter consisted of 13 weeks compared with 14 weeks in the prior-year period; that extra 14th week in the prior year added roughly $2. 5 billion of sales.

On a comparable-sales basis, the fourth quarter increased 0. 4% overall, with U. S. comparable sales up 0. 3%. Net earnings for the quarter were $2. 6 billion, or $2. 58 per diluted share, down from $3. 0 billion, or $3. 02 per diluted share in the same period a year earlier. Adjusted diluted earnings per share for the quarter were $2. 72 versus $3. 13 in the prior-year period. The prior-year 14th week added about $0. 30 to diluted and adjusted diluted earnings per share.

Dividend move, payout timing and hd stock implications

The board approved a 1. 3% increase in the quarterly dividend to $2. 33 per share, equal to an annual dividend of $9. 32 per share. The dividend is payable on March 26, 2026, to shareholders of record at the close of business on March 12, 2026. This marks the 156th consecutive quarter the company has paid a cash dividend.

That steady dividend record, coupled with the modest increase, frames near-term shareholder returns against the backdrop of lower reported earnings per share for the quarter and fiscal year. For investors focused on hd stock, the dividend raise signals continued priority on consistent cash returns even as reported profits dipped from the prior year.

Fiscal 2025 full-year results and fiscal 2026 guidance

Full-year fiscal 2025 sales were $164. 7 billion, an increase of $5. 2 billion, or 3. 2%, from fiscal 2024. Comparable sales for the year increased 0. 3% overall, with U. S. comparable sales up 0. 5%. Net earnings for fiscal 2025 totaled $14. 2 billion, or $14. 23 per diluted share, down from $14. 8 billion, or $14. 91 per diluted share the prior year. Adjusted diluted earnings per share for fiscal 2025 were $14. 69 versus $15. 24 in fiscal 2024.

Management provided fiscal 2026 guidance that anticipates total sales growth of approximately 2. 5% to 4. 5% and comparable sales growth of approximately flat to 2. 0%. The company projected an operating margin of approximately 12. 4% to 12. 6% and an adjusted operating margin of approximately 12. 8% to 13. 0%. An effective tax rate of roughly 24. 3% and net interest expense near $2. 3 billion were also included in the guidance.

What the results and guidance mean going forward

The results present a mixed picture: headline earnings retreated year over year, but comparable sales held roughly steady and management set out modest growth expectations for fiscal 2026. The dividend increase reinforces a commitment to returning cash to shareholders amid a slower margin and earnings environment.

Recent commentary from the company noted steady underlying demand when adjusting for storm activity and highlighted efforts to engage customers and grow market share throughout the year. Investors in hd stock will likely weigh the trade-off between near-term profit compression and continued shareholder payouts against the conservative growth outlook provided for fiscal 2026.

Details in this article are based solely on the company's fourth quarter and fiscal 2025 announcement and the fiscal 2026 guidance it provided. Recent updates indicate these figures and plans are the company’s published position; details may evolve with future disclosures.