4 High-Yield Dividend Dogs of the Dow Crushing 2025 and Still the Best Bets

Four 2025 Dogs of the Dow stocks are not only higher on the year but still offer big yields and a degree of safety from tariffs. The post 4 High-Yield Dividend Dogs of the Dow Crushing 2025 and Still the Best Bets appeared first on 24/7 Wall St..

Apr 16, 2025 - 12:45
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4 High-Yield Dividend Dogs of the Dow Crushing 2025 and Still the Best Bets

The Dogs of the Dow is a well-known strategy first published in 1991 by Michael Higgins. The plan seeks to maximize the yield of investments by buying the 10 highest-paying dividend stocks available from the Dow Jones industrial average each year. The highest-yielding stocks are also the lowest-priced stocks in the venerable average, as the lower a stock (or bond) goes in price, the higher the attached yield or coupon becomes. This year, some of the top dogs have survived the brutal selling and volatility much better than most and still offer outstanding entry points.

24/7 Wall St. Key Points:

  • The Dow Jones industrials have outperformed the S&P 500 and the Nasdaq so far in 2025.

  • While stocks have rallied some off the lows, volatility remains a cloud over Wall Street.

  • Trade tariff uncertainty remains the biggest issue for investors.

  • Are the highest-yielding Dow Jones industrials a good fit for you? Contact a financial advisor near you for a complete portfolio review. Click here to get started finding one today. (Sponsored)

     

After lagging the S&P 500 for the past two years, the Dow Jones industrials were down less than 5% as a group as of mid-April, while the S&P 500 and the Nasdaq still reside in correction territory, both down more than 10%. We screened the highest-yielding stocks in the venerable index, those that were awarded Dogs of the Dow status to start 2025, to see how they have responded so far in 2025, and four are not only higher on the year but still offer big yields, a degree of safety from tariffs, and a long history of corporate success. All also remain Buy-rated by the top Wall Street firms we cover.

Why do we cover the Dogs of the Dow?

Since the turn of the century, the Dogs of the Dow have significantly outperformed the overall Dow Jones industrials and the Small Dogs of the Dow, which are the five highest-yielding stocks, even more. The fact that investors are buying the highest-yielding companies in the venerable index improves the chances for total return gains.

Verizon

Verizon Communications Inc. (NYSE: VZ), commonly known as Verizon, is an American multinational telecommunications conglomerate that still offers tremendous value. It trades 9.13 times its estimated 2026 earnings and is up almost 10% in 2025. Verizon provides a range of communications, technology, information, and entertainment products and services to consumers, businesses, and government entities worldwide.

It operates in two segments:

  • Verizon Consumer Group
  • Verizon Business Group

The Consumer segment provides wireless services across the United States through Verizon and TracFone networks, as well as through wholesale and other arrangements.

It also provides fixed wireless access (FWA) broadband through its wireless networks and related equipment and devices, such as:

  • Smartphones
  • Tablets
  • Smartwatches and other wireless-enabled connected devices

The segment also offers wireline services in the Mid-Atlantic (including the District of Columbia) and northeastern United States through its fiber-optic network, Verizon Fios product portfolio, and copper-based network.

The Business segment provides wireless and wireline communications services and products, including:

  • FWA broadband
  • Data
  • Video and conferencing
  • Corporate networking
  • Security and managed network
  • Local and long-distance voice

Network access services to deliver various IoT services and products to businesses, government customers, and wireless and wireline carriers in the United States and internationally.

 Goldman Sachs has given the company a Buy rating and a price target of $52.

Amgen

This biotech giant discovers, develops, manufactures, and delivers human therapeutics worldwide. Amgen Inc. (NASDAQ: AMGN) remains a top stock for investors to buy and a safer way to play the massive potential growth in biosimilars, and it is up almost 10% in 2025.

Amgen focuses on:

  • Inflammation
  • Oncology/hematology
  • Bone health
  • Cardiovascular disease
  • Nephrology
  • Neuroscience

The company’s products include:

  • Enbrel to treat plaque psoriasis, rheumatoid arthritis, and psoriatic arthritis
  • Neulasta reduces the chance of infection due to a low white blood cell count in patients with cancer
  • Prolia to treat postmenopausal women with osteoporosis
  • Xgeva for skeletal-related events prevention
  • Otezla for the treatment of adult patients with plaque psoriasis, psoriatic arthritis, and oral ulcers associated with Behcet’s disease
  • Aranesp to treat a lower-than-normal number of red blood cells and anemia
  • KYPROLIS to treat patients with relapsed or refractory multiple myeloma
  • Repatha reduces the risks of myocardial infarction, stroke, and coronary revascularization

Piper Sandler has an Overweight rating with a $329 target price.

IBM

International Business Machines Corp. (NYSE: IBM), nicknamed Big Blue, is an American multinational technology company. The legacy blue-chip tech giant offers conservative investors a safer way to play the sector and is up 7.1% in 2025. IBM provides integrated solutions and services worldwide through four segments.

The Software segment offers a hybrid cloud and AI platform that allows clients to realize their digital and AI transformations across the applications, data, and environments they operate. IBM has partnered with Amazon Web Services (AWS) to allow users to access Watsonx AI features and its data platform. IBM also partnered with Palo Alto Networks, allowing the cybersecurity company to acquire IBM’s QRadar Software as a Service (SaaS) assets.

The Consulting segment focuses on skills integration for strategy, experience, technology, and operations by domain and industry.

The Infrastructure segment provides on-premises and cloud-based server and storage solutions and life-cycle services for hybrid cloud infrastructure deployment.

The Financing segment offers client and commercial financing that facilitates IBM clients’ acquisition of hardware, software, and services.

The company has a strategic partnership with various companies, including:

  • Hyperscalers
  • Service providers
  • Global system integrators
  • Software and hardware vendors such as Adobe, Amazon Web Services, Microsoft, Oracle, Salesforce, Samsung Electronics, and SAP

Oppenheimer has an Outperform rating with a $320 target price.

McDonald’s

This American multinational fast-food chain does business as McDonald’s. The legacy fast-food heavyweight is a solid pick when the economy goes south or north and is among the safest large-cap restaurant ideas. McDonald’s Corp. (NYSE: MCD) operates and franchises McDonald’s restaurants in the United States and internationally. Ninety-five percent of its approximately 13,500 U.S. restaurants are owned and used by independent business owners.

The company’s restaurants offer:

  • Hamburgers and cheeseburgers
  • Chicken sandwiches and nuggets
  • Fries
  • Salads
  • Shakes
  • Frozen desserts
  • Sundaes
  • Soft serve cones
  • Bakery items
  • Soft drinks
  • Coffee
  • Muffins
  • Sausages
  • Biscuit and bagel sandwiches
  • Oatmeal
  • Hash browns
  • Breakfast burritos
  • Hotcakes

Citigroup has a Buy rating to go with its $353 target price.

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