Home Depot Inc. HD said Tuesday it will raise its quarterly dividend by 10.0%, to $2.09 a share from $1.90 a share. Shareholders of record on March 9 will be paid the dividend on March 23. The home improvement retailer’s stock slumped 3.7% in premarket trading, in the wake of a disappointing quarterly earnings report and full-year guidance. Based on Friday’s stock closing price of $317.95, the new annual dividend rate implies a dividend yield of 2.63%, which compares with rival home improvement retailer Lowe’s Cos.’s LOW yield of 1.97% and the implied yield for the S&P 500 SPX of 1.67%. Home Depot’s stock has lost 8.3% over the past 12 months through Friday, while the S&P 500 has declined 6.2%.

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