Dividend KingDividend AristocratConsumer Discretionary

Lowe's Companies (LOW) Dividend Profile

Lowe's has raised its dividend every year since going public in 1961. See LOW's dividend history, safety outlook, honest risks, and how to earn its payout.

DividendScope Team|August 13, 2026
64
Years of Increases
2.2%
Dividend Yield
$4.60
Annual Dividend / Share
Quarterly
Payment Schedule

What $10,000 of LOW pays today

About $221/year at the current 2.2% yield, before any future raises or reinvestment.

Project Your Income

Lowe's has paid a dividend every quarter since it went public in 1961 — and raised it every year for more than six decades since, earning a spot on the dividend kings list. Along the way it has pulled off one of the great shrinking acts in market history: buybacks have retired well over half the company's shares since the mid-2000s, turbocharging every remaining shareholder's slice of the dividend pie.

LOW Dividend at a Glance

Public since1961, with a dividend every quarter since
Consecutive annual raisesMore than 60 years
StatusDividend King and Dividend Aristocrat
Payment monthsFebruary, May, August, November
Recent raise paceHealthy — roughly 5% per year, announced around May–June
Payout ratioLow — roughly 35% of earnings

Current yield, annual dividend, and the exact streak length are shown live in the stats bar above.

Lowe's Dividend History: The Milestones

YearMilestone
1946Lowe's opens as a small-town hardware store in North Wilkesboro, NC
1961IPO — the quarterly dividend begins immediately
1960sStart of the unbroken streak of annual increases
2008–2010Raises the dividend straight through the housing crash
2018Marvin Ellison arrives; margins and buybacks accelerate
TodayShare count roughly a third of its mid-2000s peak

Why the Streak Has Lasted This Long

Homes age whether the economy cooperates or not

America's housing stock keeps getting older, and old houses leak, creak, and demand repair. Roughly half of Lowe's sales are the non-discretionary kind — a broken water heater doesn't wait for a better economy — which cushions the business through downturns.

A duopoly with rational pricing

Home improvement is effectively a two-horse race between Lowe's and Home Depot. Neither needs to start a price war, both earn strong returns, and the scale required to challenge them makes a third national entrant close to impossible.

The incredible shrinking share count

Lowe's has bought back stock so aggressively that its share count has fallen from well over a billion shares in the mid-2000s to a fraction of that today. Every retired share makes the next dividend raise cheaper to fund — a quiet flywheel behind six decades of increases.

What Could Break the Streak

  • The housing cycle. High mortgage rates freeze home sales and big renovations; Lowe's comparable sales go negative in those stretches, as recent years showed.
  • Buyback-driven balance sheet. Years of debt-funded repurchases have left Lowe's with negative accounting equity. The cash flow supports it, but it narrows the margin for error if earnings slump.
  • Home Depot's lead with pros. Contractors spend far more per year than DIYers, and Home Depot holds the larger pro business — the market Lowe's is spending heavily to crack.

The realistic downside: a stretch of small raises during a housing slump. With a payout ratio near 35%, an outright cut would take a catastrophe the 2008 crash couldn't produce.

What $10,000 of LOW Pays You

The income callout above shows what a $10,000 position generates at today's yield. The real appeal is what happens next:

  1. Low payout, long runway. A ~35% payout ratio means raises can outrun earnings growth for years — mid-to-high single-digit increases are the norm, not the ceiling.
  2. Reinvestment compounds the rest. Channel payments through a DRIP and map the trajectory with our yield-on-cost calculator.

How LOW Fits in a Dividend Portfolio

Lowe's is a growth-tilted foundation holding: modest starting yield, unusually well-protected payout, cyclical share price.

  • Role: dividend growth with housing-recovery upside
  • Pairs well with: steady defensive payers that smooth the housing cycle — see dividend yield vs. growth
  • Watch annually: the May–June raise announcement and pro-customer sales growth

Every major broker offers LOW with fractional shares and free reinvestment — compare platforms, or meet its retail peers on the full dividend aristocrats list.

LOW Dividend FAQ

Is Lowe's a Dividend King?

Yes. Lowe's has increased its dividend every year for more than six decades — a streak running back to shortly after its 1961 IPO — putting it comfortably above the 50-year bar for Dividend King status. It is also a Dividend Aristocrat.

How often does Lowe's pay dividends?

Lowe's pays dividends quarterly, typically in February, May, August, and November. The annual increase is usually announced in late May or early June.

Is Lowe's dividend safe?

Very. Lowe's pays out only around 35% of its earnings as dividends — one of the lowest payout ratios of any Dividend King — leaving a huge cushion even in a housing downturn. The bigger swing factor for the stock is the housing cycle, not the dividend.

Ready to own LOW?

Every top broker we review offers LOW with $0 commissions, fractional shares, and free dividend reinvestment.