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Dogs Of The Dow: How You Can Get Dividend Stocks With Yields Up To 6.3%

Benzinga·07/01/2025 16:34:36
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The Dow Jones Industrial Average was up around 4% in the first half of 2025, with 21 of the 30 components positive year-to-date through the first six months.

The index, which contains a diverse basket of stocks across sectors, offers many dividend stocks, with some having high yields for investors.

What Happened: When looking for dividend stocks, the Dow Jones Industrial Average is one place with the index having a basket of what are considered blue-chip American companies.

The 30 index components have strong track records of revenue and earnings growth, and in many cases, a long history of paying dividends and raising the dividend amounts.

While investors can buy an ETF like the SPDR Dow Jones Industrial Average ETF (NYSE:DIA), which tracks the entire index, another option is to buy the “Dogs of the Dow.”

The "Dogs of the Dow" is a popular strategy that often coincides with the beaten-down stocks of the index which also offer high dividend payouts.

Here are the current top-yielding dividend stocks in the Dow Jones Industrial Average after the first six months of 2025.

  1. Verizon Communications Inc (NYSE:VZ): 6.3%
  2. Chevron Corp (NYSE:CVX): 4.8%
  3. Merck & Co Inc (NYSE:MRK): 4.1%
  4. Amgen Inc (NASDAQ:AMGN): 3.4%
  5. Johnson & Johnson (NYSE:JNJ): 3.4%
  6. Coca-Cola Company (NYSE:KO): 2.9%
  7. UnitedHealth Group (NYSE:UNH): 2.8%
  8. Procter & Gamble (NYSE:PG): 2.7%
  9. Home Depot Inc (NYSE:HD): 2.5%
  10. McDonald's Corp (NYSE:MCD): 2.4%

In the Dow Jones Industrial Average, 28 of the 30 stocks pay out dividends. The average dividend yield of the 30 companies is 2% with the 10 highest averaging a yield of 3.5%.

Twenty of the 30 stocks in the index pay out at least a 1% dividend yield based on current stock prices.

Read Also: Dow Jones 2025 First Half Scoreboard: Top 10 Winners, Losers — Where Do Nvidia, Apple Stock Rank?

Why It's Important: Along with stock price gains, dividends can be a nice form of consistent growth for companies and investors.

Investors can choose to collect dividend yield and put the capital to work in other stocks, or use it as income for other investments or spending. Investors can also reinvest the dividends back into the companies from which they got dividends.

Over a long period of time, dividend stocks can offer strong returns for investors with yields sometimes outpacing the returns of the overall stock market or other asset classes such as bonds and treasuries.

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Photo: Shutterstock