10 Best Dow Jones Dividend Stocks According to Wall Street Analysts

8. McDonald’s Corporation (NYSE:MCD)

Upside Potential as of February 6: 11.81%

McDonald’s Corporation (NYSE:MCD) is an American multinational fast-food company. It encountered some difficulties last year, but these setbacks were largely due to temporary challenges rather than fundamental threats to its core business. The company is actively addressing these short-term obstacles while continuing to expand its global loyalty program, which reported 150 million active members by the end of 2023. It aims to increase this number to 250 million by 2027.

As it strengthens customer engagement, McDonald’s Corporation (NYSE:MCD) is enhancing its digital platform with personalized promotions and automating more locations to manage labor costs. Additionally, since the majority of its restaurants are franchised, the company primarily benefits from high-margin royalties and fees rather than direct earnings from company-owned stores.

McDonald’s Corporation (NYSE:MCD) boasts a resilient portfolio capable of withstanding different economic cycles. With over 40,000 restaurants across more than 100 countries, it remains a leading player in the fast-food industry. Renowned for its signature menu and emphasis on quality, convenience, and affordability, the brand has achieved global recognition. By embracing innovation—such as digital ordering, delivery services, and sustainability initiatives—the company continues to adapt to evolving consumer preferences, further reinforcing its position in the growing fast-food market.

McDonald’s Corporation (NYSE:MCD) is one of the best dividend stocks on our list as the company has raised its payouts for 48 consecutive years. It currently pays a quarterly dividend of $1.77 per share and has a dividend yield of 2.41%, as of February 6.

Insider Monkey’s database of Q3 2024 indicated that 60 hedge funds held stakes in McDonald’s Corporation (NYSE:MCD), compared with 67 in the previous quarter. The overall value of these stakes is more than $2.37 billion. Among these hedge funds, Adage Capital Management was the company’s leading stakeholder in Q3.