15 Best Dividend Stocks To Buy and Hold

7. McDonald’s Corporation (NYSE:MCD)

Number of Hedge Fund Holders: 60

An American multinational fast food company, McDonald’s Corporation (NYSE:MCD) ranks seventh on our list of the best dividend stocks to buy and hold. The company faced several challenges last year, and analysts note that while it has historically been able to pass on increased costs to customers, there is now greater resistance, making growth more difficult. In the quarter ending September 30, 2024, global comparable sales fell by 1.5%, with minimal growth of just 0.3% in its primary US market. To regain customer interest, the company may need to adopt more competitive pricing strategies. However, while this could help boost sales, it may also result in lower margins and profits.

Despite these challenges, McDonald’s Corporation (NYSE:MCD) has a strong portfolio that can endure various economic conditions. The company remains a dominant force in the fast-food industry, with over 40,000 locations in more than 100 countries. Known for its iconic menu and commitment to quality, convenience, and affordability, McDonald’s has become a global household name. Its focus on innovation, including digital ordering, delivery services, and sustainability efforts, aligns with changing consumer preferences, further cementing its leadership in the expanding fast-food market.

McDonald’s Corporation (NYSE:MCD) reinforces its reputation as a strong investment through its consistent dividend payments, highlighting its financial stability and dedication to delivering value to shareholders. The company has increased its payouts for 48 consecutive years and currently pays a quarterly dividend of $1.77 per share. As of February 4, the stock has a dividend yield of 2.44%.

Insider Monkey’s database of Q3 2024 indicated that 60 hedge funds were bullish on McDonald’s Corporation (NYSE:MCD), compared with 67 a quarter earlier. The consolidated value of these stakes is more than $2.37 billion. With over 1.3 million shares, Adage Capital Management was the company’s leading stakeholder in Q3.