Shares of Home Depot (NYSE: HD) were moving lower as the home improvement retail giant got swept up in the broader market sell-off. An increase in job openings in August and comments from the Federal Reserve chair helped stoke renewed fears of rising interest rates, and 10-year Treasury yields jumped to 16-year-highs to reflect those concerns. As a result, Home Depot stock was down 3.2% as of 2:31 p.m. ET, while the S&P 500 had given up 1.6% at the same time.
The Dow Jones Industrial Average is a prime stock-hunting ground for income investors. There are often at least a few of these Dow components trading at a relative discount, too, which can boost new investors' potential returns and lift their yields. Home Depot (NYSE: HD) is my favorite pick in that category of stocks on sale today.
Fool.com contributor Parkev Tatevosian highlights one of the reasons investors are willing to pay higher valuations for Home Depot (NYSE: HD) stock compared to its main rival, Lowe's (NYSE: LOW). *Stock prices used were the afternoon prices of Sept.