How To Earn $500 A Month From Home Depot Stock Ahead Of Q1 Earnings

Avi Kapoor

Fri, May 16, 2025, 5:44 AM 2 min read

Home Depot, Inc. (NYSE:HD) volition merchandise its first-quarter net results earlier the opening bell connected Tuesday, May 20.

Analysts expect the Atlanta, Georgia-based institution to study quarterly net astatine $3.59 per share. That’s down from $3.63 per stock successful the year-ago period. According to information from Benzinga Pro, Home Depot projects to study quarterly gross astatine $39.14 billion, compared to $36.42 cardinal a twelvemonth earlier.

On May 8, Wells Fargo expert Zachary Fadem maintained Home Depot with an Overweight standing and lowered the terms people from $445 to $420.

With the caller buzz astir Home Depot, immoderate investors whitethorn beryllium eyeing imaginable gains from the company's dividends. Currently, Home Depot offers an yearly dividend output of 2.43%. Its quarterly dividend is $2.30 per stock ($9.20 a year).

So, however tin investors exploit its dividend output to pouch a regular $500 monthly?

To gain $500 per period oregon $6,000 annually from dividends alone, you would request an concern of astir $246,676 oregon astir 652 shares. For a much humble $100 per period oregon $1,200 per year, you would request $49,222 oregon astir 130 shares.

See Also: Citizens And 2 Other Stocks Under $3 Insiders Are Buying

View much net connected HD

To calculate: Divide the desired yearly income ($6,000 oregon $1,200) by the dividend ($9.20 successful this case). So, $6,000 / $9.20 = 652 ($500 per month), and $1,200 / $9.20 = 130 shares ($100 per month).

Note that dividend output tin alteration connected a rolling basis, arsenic the dividend outgo and the banal terms some fluctuate implicit time.

How that works: The dividend output is computed by dividing the yearly dividend outgo by the stock’s existent price.

For example, if a banal pays an yearly dividend of $2 and is presently priced astatine $50, the dividend output would beryllium 4% ($2/$50). However, if the banal terms increases to $60, the dividend output drops to 3.33% ($2/$60). Conversely, if the banal terms falls to $40, the dividend output rises to 5% ($2/$40).

Similarly, changes successful the dividend outgo tin interaction the yield. If a institution increases its dividend, the output volition besides increase, provided the banal terms stays the same. Conversely, if the dividend outgo decreases, truthful volition the yield.

HD Price Action: Shares of Home Depot gained 1.6% to adjacent astatine $378.63 connected Thursday.

Read More:

• Wall Street’s Most Accurate Analysts Give Their Take On 3 Consumer Stocks Delivering High-Dividend Yields

Image: Shutterstock

UNLOCKED: 5 NEW TRADES EVERY WEEK. Click present to get apical commercialized ideas daily, positive unlimited entree to cutting-edge tools and strategies to summation an borderline successful the markets.