Subject: For the suckers, nitwits, and rubes,
" The Dogs of the Dow Have Their Best Year Since 2019
This was a good year to be a Dog of the Dow—especially for dividend investors. The 10 highest-yielding stocks in the Dow Jones Industrial Average are notching their best year on an equal-weighted basis since 2019.
The stocks are up an average of 17.8% through Dec. 26, beating the Dow 30’s 14.5% gain. Healthcare giants Amgen and Johnson & Johnson and tech leaders IBM and Cisco each gained 28% to 44% this year.
Dividend-paying stocks, particularly ones with above-average yields, could keep outperforming in 2026, especially if the Federal Reserve cuts interest rates again. Long-term bond yields have tumbled from a high of 4.8% for the 10-year Treasury in January to 4.1% now.
The Dow dogs will probably change in the year ahead. Based on current dividend yields, IBM, Cisco, and McDonald’s would be out. Their replacements would be a trio of underperformers this year: Nike, UnitedHealth, and Home Depot.
Of the seven remaining stocks, Verizon and Chevron pay the biggest yields—6.7% and 4.6%, respectively. Verizon in particular looks attractive because it’s relatively cheap, too, trading at just 8.5 times 2026 earnings estimates.What’s Next: Investors can take comfort that the dogs pay reliable—and often very large—dividends, which should help provide steady income if bond yields head lower next year. That mix of proven income and potential rebound plays should keep the Dogs competitive in 2026.
—Paul R. La Monica and Janet H. Cho "